Japan’s Intelligence Overhaul: Why Takaichi’s New Agency is a Game Changer for Taiwan

2026-07-14 13:00
Under the leadership of Sanae Takaichi, Japan is set to establish a National Intelligence Agency this month — the most sweeping intelligence reform in 80 years since the end of World War II. (Sanae Takaichi Facebook)
Under the leadership of Sanae Takaichi, Japan is set to establish a National Intelligence Agency this month — the most sweeping intelligence reform in 80 years since the end of World War II. (Sanae Takaichi Facebook)

Japan will formally launch a National Intelligence Agency by the end of July 2026, its first prime minister-led intelligence body since World War II, in an overhaul that Prime Minister Sanae Takaichi has long argued is essential to national security.

The agency was created under legislation both chambers of the National Diet passed in late May, replacing a post-war structure widely criticized as fragmented and legally toothless. For Taiwan, whose security concerns closely track Japan's, the reform could bring a significantly stronger intelligence partner in Tokyo.

Takaichi Turns A Campaign Promise Into Law

Intelligence reform was central to Takaichi's security platform well before she entered government. A 2024 book she authored identified intelligence capacity as one of five pillars Japan urgently needed to develop, alongside economic and technological strength, and the position anchored her bid for the Liberal Democratic Party leadership that year.

After winning a landslide House of Representatives majority in February 2026, she moved quickly. The National Intelligence Council Establishment Act creates two bodies: a National Intelligence Council chaired by the prime minister and comprising nine cabinet ministers, and a National Intelligence Agency as its operational arm.

The council replaces the Cabinet Intelligence Council, previously chaired by the chief cabinet secretary, a rank below the premier, and widely seen as lacking the authority to drive change. Describing Japan's current conditions as "the most severe and complex security environment since the end of World War II," Takaichi cited Russia's invasion of Ukraine as proof that nations must modernize how they collect and use intelligence. "To improve Japan's intelligence analysis capabilities," she said, "we can avoid crises and strategically protect national interests."

Japan's intelligence system has long been divided among central ministries including the Ministry of Defense, Ministry of Foreign Affairs, National Police Agency, and Public Security Intelligence Agency, with no sufficiently empowered central command authority. Pictured: the Ministry of Defense. (Wikipedia)
Japan's intelligence system has long been divided among central ministries including the Ministry of Defense, Ministry of Foreign Affairs, National Police Agency, and Public Security Intelligence Agency, with no sufficiently empowered central command authority. Pictured: the Ministry of Defense. (Wikipedia)

Eight Agencies, No Central Authority — Until Now

Japan's intelligence community spans eight bodies: the National Police Agency, the Ministry of Foreign Affairs, the Ministry of Defense, the Public Security Intelligence Agency (under the Justice Ministry), the Finance Ministry, the Financial Services Agency, the Ministry of Economy, Trade and Industry, and the Japan Coast Guard.

Coordinating them has fallen to the Cabinet Intelligence and Research Office, established in 1952 and renamed twice since. But as the Nikkei has reported, the office has never had legal authority to compel any agency to share intelligence, leaving the government without a complete operational picture.

Japan has also never enacted a counter-espionage law, a gap that has long made it an attractive operating environment for foreign intelligence services.

The new National Intelligence Agency addresses both problems. It will hold the same institutional standing as the National Security Council and carry statutory authority to direct collection and analysis across all eight bodies, a mandate its predecessor was never granted. A foreign intelligence unit under the agency is planned to be operational by the end of fiscal year 2027.

Diagram of Japan's current intelligence system. (Website of the House of Councillors of Japan)
Diagram of Japan's current intelligence system. (Website of the House of Councillors of Japan)

A Security Strategy Revised Three Times In 13 Years

Dr. Wang Tsun-yen of Taiwan's Institute for National Defense and Security Research (INDSR) sees the reform as driven by external pressure as much as institutional failure. "Governments establish new agencies for one of two reasons," he said. "Either the existing organization has not met its objectives, or external change has made those objectives impossible to reach."

Japan's defense policy timeline bears that out. The National Security Strategy, one of the "Three Defense Documents" that guide Japanese defense planning, was first issued in 2013 with a 10-year horizon. It was revised early in 2022, a year ahead of schedule, as Russia's invasion of Ukraine accelerated Tokyo's threat calculus. Japan is now preparing a third revision, just four years later.

Political momentum has built in parallel. In their October 2025 coalition agreement, the ruling LDP and Nippon Ishin no Kai stated that Japan's intelligence capabilities are weak and that strengthening them is "an urgent priority," committing to comprehensive reform.

Japan's latest intelligence reform will elevate the Cabinet Intelligence and Research Office to a National Intelligence Agency, reporting to the newly established National Intelligence Council, which will be chaired by the prime minister. (Website of the House of Councillors of Japan)
Japan's latest intelligence reform will elevate the Cabinet Intelligence and Research Office to a National Intelligence Agency, reporting to the newly established National Intelligence Council, which will be chaired by the prime minister. (Website of the House of Councillors of Japan)

FBI Director And Taiwan Welcome The Intelligence Overhaul

When Kazuya Hara, head of the Cabinet Intelligence and Research Office, visited FBI headquarters in May 2026, Director Kash Patel publicly welcomed the reform, saying it would deepen US-Japan cooperation in cybersecurity, counterintelligence, and counterterrorism.

Dr. Wang sees clear benefits for Taiwan as well. Given the two countries' deep ties across security and technology, a stronger Japanese intelligence apparatus will sharpen Tokyo's awareness of conditions around Taiwan. "Taiwan should welcome this development," he said.

The July launch is the first step in a longer timeline. A legislative working group on counter-espionage will form in the second half of 2026, with a foreign agents bill expected in the Diet in 2027. Authorities are also studying a foreign agent registration framework, a tool common in the United States but not yet in Japan.

German Defense Minister Boris Pistorius (left) and Japanese Defense Minister Shinjiro Koizumi (right) hold a joint press conference at Yokosuka Naval Base on March 22, 2026. (Associated Press)
German Defense Minister Boris Pistorius (left) and Japanese Defense Minister Shinjiro Koizumi (right) hold a joint press conference at Yokosuka Naval Base on March 22, 2026. (Associated Press)


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