Japan Foreign Population Tops 4 Million as Driver License Rules Tighten

After Japan’s registered foreign resident population exceeded 4 million, the government strengthened regulatory oversight, significantly increasing the difficulty of the foreign driver’s license conversion examination.

New license conversion regulations lead to a sharp decline in foreign license skill test pass rates in Japan, falling to just 13.1% by the end of 2025. (Photo via MERXWIRE)

OSAKA, JAPAN (MERXWIRE) –Japan is experiencing a surge in foreign population growth. According to the latest statistics released by the Immigration Services Agency of Japan, the number of registered foreign residents reached 4.12 million as of the end of 2025. This represents an increase of 350,000 from the previous year, marking the first time the figure has exceeded 4 million and setting another historical record. The scale of this increase is comparable to that of a mid-sized city’s population.

By nationality, Chinese residents remain the largest group at approximately 930,000, followed by Vietnamese nationals at 680,000. Nepalese residents totalled 300,000, with an annual increase of 67,000, making them the fastest-growing source country.

Regarding residence status, Japan’s “Specified Skilled Worker” program, introduced to address labour shortages, continues to expand. By the end of 2025, foreign workers under this visa category exceeded 390,000, an increase of nearly 100,000 year-on-year. The number of “Specified Skilled Worker Type 2” holders rose to approximately 8,000—nearly ten times the previous year’s figure.

As the foreign population and foreign workforce rapidly increase, Japan is facing new challenges in public services and social governance. One closely watched issue is the assessment of foreign driver qualification standards.

According to the National Police Agency, approximately 68,000 people obtained Japanese driver’s licenses through the “foreign license conversion” system (gai-men kirikae) in 2024, more than double the figure in 2015. Due to differences in traffic regulations across countries and rising public concern over traffic accidents involving foreign drivers, critics have questioned whether the system was too lenient.

Previously, the written test for license conversion consisted of only 10 questions, with a passing threshold of 7 correct answers, a standard widely regarded as too lenient. To improve road safety, the National Police Agency substantially raised the requirements, effective October 2025. The written examination was expanded to 50 questions, and the passing threshold increased to 90%. The practical test was also enhanced with additional evaluation items, including compliance with pedestrian crossing rules and intersection safety checks.

The impact of these reforms was quickly reflected in performance data. According to the National Police Agency, the pass rate for the written test from October to December 2025 fell to 42.8%, down from 92.5% in 2024. The practical test pass rate dropped to 13.1%, from 30.4% the previous year.

Comparison chart showing pass rates before and after adjustments to the foreign driver’s license conversion examination system. (Chart/MERXWIRE)

Amid labour shortages driven by a declining birthrate and ageing population, Japan is expected to continue expanding its acceptance of foreign talent and workers. However, as the foreign resident population surpasses 4 million, the government is simultaneously strengthening institutional frameworks to ensure traffic safety. From expanding the Specified Skilled Worker program to stricter license conversion examinations, Japan’s policy direction is increasingly shifting from “increasing numbers” toward “improving quality.” Balancing labour force supply with public safety will remain a key societal challenge in the years ahead.