Yoshinobu Tsutsui, chairman of the Japan Business Federation (Keidanren), said the debate over the Vice Capital Law must not focus solely on Osaka.
The selection of a secondary capital is critical for Japan's disaster resilience and long-term economic growth. If the process appears biased toward a single city, it could undermine the legitimacy of the backup functions intended to protect the nation's governance during a crisis.
Tsutsui said the selection process requires a high standard of impartiality. "It must not be the case that discussions proceed based on the assumption that it will be Osaka," Tsutsui said. He said that ensuring objectivity, transparency, and fairness is essential.
The Vice Capital Law is intended to create a sustainable economic trajectory and build a resilient society. Tsutsui said these goals are important in the context of putting the country on a path of continuous growth.
The legislative process has already moved into the Diet. The Vice Capital bill was submitted to the House of Representatives on June 24, 2026 [1].
Business leaders said that a fair selection process is necessary to ensure the new administrative hub can effectively support the primary capital. A narrow focus on one region may ignore other strategic advantages or logistical requirements needed for a truly robust backup system.
“"It must not be the case that discussions proceed based on the assumption that it will be Osaka."”
The intervention by Keidanren signals a tension between regional political ambitions and the strategic requirements of national security. While Osaka is a primary contender due to its size and infrastructure, the business community is concerned that a predetermined outcome would ignore the objective criteria needed for a functional disaster-recovery capital, potentially compromising the law's effectiveness in a real-world emergency.
