A forest in Japan.
A recent survey by Japan's Forestry Agency found that foreign individuals and corporations purchased 382 hectares (945 acres) of privately owned forests across the country in 2024. The area is roughly equivalent to 81 Tokyo Domes or seven and a half Tokyo Disneylands.
Despite the scale of these acquisitions, the agency confirmed that Japan has no regulations restricting foreign ownership of forest land. The findings have reignited concern over whether Japan's forests are truly safe if left unmonitored.
Foreign Investment Concentrates in Hokkaido's Forests
According to the agency, foreign buyers with overseas addresses conducted 48 transactions in 2024, acquiring a total of 171 hectares (423 acres) of forest land.
Hokkaido accounted for the largest share, with 36 purchases totaling 162 hectares (400) in popular areas such as Furano, Niseko, and Kutchan. Most of the buyers were individuals from China and Hong Kong, who cited long-term asset ownership as their primary motive. They represented 28 cases overall.
In Shiranuka Town, a Singapore-based corporation acquired 93 hectares (230) allegedly for a solar power project, highlighting how forest purchases are increasingly linked to renewable energy development.
Other notable cases include a Chinese investor who purchased 0.2 hectares (0.5 acres) in Karuizawa, Nagano Prefecture, allegedly for asset ownership, and an Australian company that bought 0.1 hectares (0.25 acres) in Hakuba Village ostensibly for residential development. In Hita City, Oita Prefecture, a German firm acquired two hectares (five acres). The company claimed it was for the construction of a solar power facility.
Separately, foreign-affiliated companies already operating in Japan acquired 37 properties totaling 211 hectares (521), further underscoring the steady expansion of overseas capital into Japan's forest sector.
How Much Forest Land Has Been Sold So Far?
Just how much of Japan's forest land has already come under foreign ownership?
According to the Forestry Agency, the government managed to track transactions since 2006, using ownership notifications that forest buyers submitted to local municipalities.
Between 2006 and 2024, a total of 794 transactions covering 10,396 hectares (25,695 acres) of forest have been confirmed as sold to foreign individuals or entities. While this accounts for only 0.07% of Japan's 14.31 million hectares (35.36 million acres) of privately owned forest, the area is still vast, the equivalent of more than 2,200 Tokyo Domes.
As for purchases made before 2005, officials admit that "the actual situation remains unknown."
Shifting Investment Motives
Some investors who bought forests as "long-term assets" later turned them into sites for solar panels or other commercial projects.
A Forestry Agency official said that as long as prefectural approval is obtained, changes in land use are not considered problematic. "For foreign individuals or corporations, buying forest land is treated the same as purchasing any other property," the official added. "There are currently no restrictions in place."
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(Read the article in Japanese.)
Author: Tomohiro Murakami, The Sankei Shimbun
