TOKYO, Reuters – Japan plans to increase spending in order to improve its supply chain and protect against cyberattacks using imported software and systems. The cabinet approved draft legislation on Friday.

These measures form part of an ongoing economic security policy that Prime Minister Fumio Kishhida has pushed, which primarily targets threats from China.

However, bill was published at a moment of increased concerns over cyberattacks on key infrastructures worldwide in light of Russia’s attack on Ukraine.

This legislation will be presented to parliament and would tighten restrictions on security-sensitive companies that purchase software from overseas.

This would allow the government to require companies to give advance information to update software, procure new equipment or make vet purchase orders.

This regulation will target 14 critical industries to national security like energy, water supply and finance.

The legislation provides that the government will subsidise projects or companies helping to build stronger supply chains for critical items like semiconductors.

Japan faces pressure from the United States to increase countermeasures to cyberattacks. It also has to compete with Beijing’s increasing push to export sensitive technology such as security cameras and drones commercially.