deskbook
Emerging Life Sciences Companies
second edition
Chapter 35
_____________________________
Regulation of Pharmaceutical Products
and Medical Devices in Japan
284 Emerging Life Sciences Companies Deskbook
Chapter 35
REGULATION OF PHARMACEUTICAL PRODUCTS AND
MEDICAL DEVICES IN JAPAN
This chapter highlights the major points to bear in mind when manufacturing, importing,
marketing, or engaging in other businesses involving pharmaceutical products and medical devices in
Japan.
Pharmaceutical Products
Licenses and Approvals
License for Marketing Authorization
The Pharmaceutical Affairs Law of Japan requires a license for marketing authorization when
importing to Japan and selling pharmaceutical products manufactured in other countries.
To receive a license for marketing authorization, the manufacturer/seller must, at the very
least, employ the following personnel full time: a General Manufacturing and Marketing Officer, a
Quality Assurance Officer, and a Safety Management Officer.
A license for marketing authorization may not be granted if the quality management meth-
ods and postmarketing safety management methods applied with respect to the pharmaceutical
product fail to conform to the standards stipulated in the ordinances promulgated by the Ministry of
Health, Labour and Welfare.
Licenses for marketing authorization are granted by the prefectural government for the loca-
tion of the office where the General Manufacturing and Marketing Officer is stationed.
The holder of the license for marketing authorization may entrust import services to third
parties who have not received licenses for marketing authorization when importing pharmaceuticals
from other countries.
However, the first purchaser of the pharmaceutical product in Japan must be the license for
marketing authorization holder. Schemes in which the party entrusted with import services initially
purchases the pharmaceutical product and then sells it to the license for marketing authorization
holder are not allowed.
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In addition to the license for marketing authorization, a manufacturing license may be re-
quired in the event that the party entrusted with import services makes substantive modifications to
the pharmaceutical products packaging or labeling or temporarily stores the pharmaceutical product.
Parties that receive licenses for marketing authorization may be held criminally accountable
and/or may be subject to administrative disposition, including cancellation of licenses, in the event
of violations of the Pharmaceutical Affairs Law.
Manufacturing License
When manufacturing pharmaceuticals in Japan, each manufacturing location requires a
manufacturing license.
As a condition to receiving a manufacturing license, there must be a full-time pharmacologist
in each manufacturing location who serves as the Pharmaceuticals Manufacturing Manager (Manag-
ing Pharmacist). In addition, the structure and facilities at the location must satisfy criteria stipulated
in the ordinances promulgated by the Ministry of Health, Labour and Welfare.
The manufacturing license is issued by the governor of the prefecture in which the manufac-
turing location is located except in cases requiring particularly high levels of expertise.
To manufacture pharmaceutical products, a license for marketing authorization holder must
also obtain a manufacturing license. A license for marketing authorization holder may entrust all
manufacturing of the pharmaceutical product to a third party, but the party entrusted with manufac-
ture must obtain a manufacturing license.
Parties that receive manufacturing licenses may be held criminally accountable and/or may be
subject to administrative disposition, including cancellation of licenses, in the event of violations of
the Pharmaceutical Affairs Law.
Accreditation of Foreign Manufacturers. The Pharmaceutical Affairs Law stipulates that
when pharmaceutical products are manufactured in other countries for export to Japan, the foreign
manufacturer may receive accreditation from the Minister of Health, Labour and Welfare for each
foreign location at which pharmaceutical products are manufactured, and in actual practice, foreign
manufacturers are required to obtain this accreditation.
Manufacture and Sale Approval
Parties engaged in manufacture/sale must in principle receive the approval of the Minister
of Health, Labour and Welfare for the manufacture and sale of each pharmaceutical product to be
manufactured and sold (including import sales) in Japan.
Notwithstanding, approval may be revoked in the event of problems with the efficacy or
safety of a pharmaceutical product after it has been approved.
Exceptional Approvals for Foreign Countries. Under the Pharmaceutical Affairs Law,
enterprises located in foreign countries may apply for manufacture and sale approval from outside
of Japan. For example, a foreign pharmaceuticals manufacturer who wishes to obtain approval for
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manufacture and sale in Japan may nominate a party to conduct manufacture/sale in Japan and
seek approval from the Minister of Health, Labour and Welfare for manufacture and sale by that
party. The party nominated to manufacture and sell the pharmaceutical must obtain a license for
marketing authorization and must discharge all responsibilities as a manufacturer/seller.
Pharmaceuticals Labeling and Advertising Methods
Certain matters stipulated in the Pharmaceutical Affairs Law (e.g., manufacturers/seller’s
name and address, name of product, product number or production indication, names of ingredi-
ents) must in principle be indicated directly on the container or on the packaging for pharmaceutical
products.
The advertising of pharmaceutical products must be within the scope of the pharmaceutical
products indications. Both false and exaggerated advertising are prohibited.
Postmarketing Safety
The pharmaceutical manufacturer/seller and the party obtaining approval under foreign
country exceptions are required under the Pharmaceutical Affairs Law to collect and investigate
information on side effects and infections resulting from the pharmaceutical product. Reports must
be filed with the Minister of Health, Labour and Welfare in the event that an objective assessment of
the information obtained indicates that the pharmaceutical product meets certain criteria stipulated
in the ordinances promulgated by the Ministry of Health, Labour and Welfare.
Medical Devices
Scope of Medical Devices
Medical devices are placed into one of the following three categories, depending on the type
of medical device and the degree of risk presented to the human body: Highly Advanced Controlled
Medical Devices (Class III and IV), Controlled Medical Devices (Class II), and General Medical
Devices (Class I).
Licenses and Approvals
License for Marketing Authorization
The Pharmaceutical Affairs Law of Japan requires a license for marketing authorization when
importing foreign-manufactured medical devices into Japan for sale. Licenses are issued according to
risk category, as outlined in the previous section.
A license for marketing authorization may not be granted if the medical devices quality
management methods and postmarketing safety management methods fail to conform to standards
stipulated in the ordinances promulgated by the Ministry of Health, Labour and Welfare.
As with pharmaceutical products, a license for marketing authorization holder may entrust
import services to third parties who have not received licenses for marketing authorization when
importing medical devices from other countries.
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However, the first purchaser of the medical device in Japan must be the license for marketing
authorization holder. Schemes in which the party entrusted with import services initially purchases
the medical device and then sells it to the license for marketing authorization holder are not allowed.
In addition, a manufacturing license may be required in the event that the party entrusted
with import services makes substantive modifications to the medical devices packaging or labeling or
temporarily stores the medical device.
Parties that receive licenses for marketing authorization may be held criminally accountable
and/or may be subject to administrative disposition, including cancellation of licenses, in the event
of violations of the Pharmaceutical Affairs Law.
Manufacturing License
When manufacturing medical devices in Japan, each manufacturing location requires a
manufacturing license for each category of medical device. In this case, the applicable categories
include “Sterilized Medical Devices”; “Nonsterilized Medical Devices”; “Medical Devices Only
Packaged, Labeled, or Stored”; and “Biologically Derived Medical Devices.”
To manufacture medical devices, a license for marketing authorization holder must also ob-
tain a manufacturing license. A license for marketing authorization holder may entrust all manufac-
turing of the medical device to a third party, but the party entrusted with manufacture must obtain a
manufacturing license.
Parties that receive manufacturing licenses may be held criminally accountable and/or may be
subject to administrative disposition, including cancellation of licenses, in the event of violations of
the Pharmaceutical Affairs Law.
Accreditation of Foreign Manufacturers
As with pharmaceutical products, the Pharmaceutical Affairs Law stipulates that when
medical devices are manufactured in other countries for export to Japan, the foreign manufacturer
may receive accreditation from the Minister of Health, Labour and Welfare for each foreign location
at which medical devices are manufactured, and in actual practice, foreign manufacturers are
required to obtain this accreditation.
Manufacture and Sale Approval and Certification
To manufacture and sell medical devices in Japan, a manufacturer/seller is required to obtain
approval for each item from the Minister of Health, Labour and Welfare for all Highly Advanced
Controlled Medical Devices and also for Controlled Medical Devices when the Minister of Health,
Labour and Welfare has not created certification standards. Notwithstanding, approval may be
revoked in the event of problems with the efficacy or safety of a medical device after it has been
approved.
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Controlled Medical Devices for which the Minister of Health, Labour and Welfare has cre-
ated certification standards do not require manufacture and sale approvals but must be certified by a
third-party registration institution.
General Medical Devices do not require manufacture and sale approval, but the Pharmaceu-
ticals and Medical Devices Agency must be notified of manufacture and sale after self-certification
has been completed.
Exceptional Approvals for Foreign Countries. As with pharmaceutical products,
enterprises located in foreign countries may apply for a manufacturing and sale approval from
outside of Japan by nominating a manufacturer/seller in Japan and causing the manufacturer/seller to
manufacture and sell the medical device. The party nominated to manufacture and sell the medical
devices must obtain a license for marketing authorization and must discharge all responsibilities as a
manufacturer/seller.
Medical Device Labeling and Advertising Methods
Certain matters stipulated in the Pharmaceutical Affairs Law (e.g., manufacturers/seller’s
name and address; name of medical device; medical device number or production indication; and
for medical devices designated by the Minister of Health, Labour and Welfare, weight, volume, or
number of pieces) must in principle be indicated directly on the container or on the packaging for
medical devices.
As with pharmaceutical products, the advertising of medical devices must be within the scope
of the medical devices indications. Both false and exaggerated advertising are prohibited.
Postmarketing Safety
The medical device manufacturer/seller and the party obtaining approval under foreign
country exceptions are required under the Pharmaceutical Affairs Law to collect and investigate
information on the efficacy and safety of the medical device. Reports must be filed with the Minister
of Health, Labour and Welfare in the event that an objective assessment of the information obtained
indicates that the medical device experiences malfunctions and accidents that meet criteria stipulated
in the ordinances promulgated by the Ministry of Health, Labour and Welfare.