In this fortnightly online column, ADM journalist Corey Lee Bell covers defence news across Japan and the Republic of Korea.
ATLA celebrates 10-year anniversary with pledge to strengthen Japan’s defence industry
Japan’s Acquisition, Technology and Logistics Agency (ATLA) has expanded international technological collaboration, but must do more to strengthen the nation’s defence industry, according to recent statements by senior Japanese defence figures.
ATLA is responsible for Japan’s administration of defence equipment,
On September 29, speaking on the eve of ATLA’s 10th anniversary, Japan’s Defense Minister, Gen Nakatani, praised the agency for its many successes, including “steady results in achieving efficient [defence equipment] procurement.”
He also lauded its contribution to the transfer of Air Surveillance Radar Systems to the Philippines, Japan’s partnership with the United Kingdom and Italy to jointly produce a sixth-generation stealth fighter (GCAP – Global Combat Air Program), and Mitsubishi Heavy Industry’s (MHI) successful bid to build Australia’s next generation Sea 3000 General-Purpose Frigate (GPF).
During the Agency’s official 10th anniversary event in Tokyo, Nakatani counted among ATLA’s achievements its key role in producing the Act on Enhancing Defense Production and Technology Bases, and establishing the Defense Innovation Science and Technology Institute.
However, he also acknowledged pressing challenges, stating the difficulties confronting the nation’s defence are “changing at a pace far exceeding initial expectations,” and that a failure to adapt to them could see Japan’s defence “left behind” and in “crisis.”
On Wednesday October 1, Nakatani addressed the high number of defence contractor closures since the inauguration of the Agency.
He noted that strong measures were being taken to shore up the industry including allowing healthier profit margins on contracts, increasing cost fluctuation adjustment rates, and assisting start-ups, which had often been locked out of contracts due to high capital and asset requirements.
Addressing the challenges that lay ahead in the next 10 years, ATLA’s Commissioner, Hajime Aoyagi said the agency must endeavour to speed up the absorption of technological innovations, and do more to ensure the sustainability of the industrial and technological bases that underwrite the nation’s defence capabilities.
ATLA’s shifting role
During the press conference on Wednesday, Nakatani stated that ATLA’s role had become “even more important” in recent years. In particular, he emphasised the late 2022 National Security Strategy and Defence Buildup Program’s view that the nation’s defence industrial and technological bases, and by extension the “research and development, production, procurement and maintenance of [defence] equipment” overseen by the Agency, constitutes the nation’s defence capability “in itself.”
He also stated that the Ministry of Defense (MoD) was strongly considering the recommendations of the recently released Fundamental Strengthening of Defence Capability expert panel report.
The report called for radical defence industry reforms, in part overseen by ATLA, including establishing state factories for the sustainable production of munitions, strengthening domestic and international supply chains through public-private collaboration, and expanding government support for defence start-ups to promote a ‘virtous cycle’ between industry strengthening and economic growth in the broader economy.
Growing emphasis on digitalisation, AI and unmanned systems
ATLA is also accelerating the implementation of the 2022 National Defense Strategy plan – further emphasised in the Fundamental Strengthening of Defence Capability report – to expand technological collaboration with security partners and transform the nation’s force structure through the wholesale introduction of a “digital transformation,” AI/automated systems, and unmanned assets.
Last week, Turing Inc was awarded a contract from ATLA for tests on end-to-end autonomous driving technologies capable of operating on uneven/unsealed surfaces.
ATLA has announced a further number of competitive tenders for drone-related technology in 2025, including potential contracts for the acquisition, testing or development of transportation drones, mine-hunting underwater drones, drone weapon mountings, attritable airframe systems, drone cybersecurity packages, fixed and hand-held drone jamming technology, and manned-unmanned pairing.
Drones were a key feature of Japanese exhibits at the September 24-25 ATLA-hosted and supported 4th Industrial Day – a matching event for US and Japanese defence firms – with exhibits including Prodrone’s all-weather water landing helicopter prototype, AirKamuy’s low-cost cardboard drone, and Oki Electric Industry’s compact drone-fitted multibeam echosounder.