“Soft power” is one of the key foundations of Japan’s modern foreign policy. In this regard, the purpose of the article is to study this phenomenon at the present stage, as well as to predict its development in the future, taking into account positive and negative trends. The relevance of the research is due not only to global tendencies of transition towards more flexible foreign policy instruments, but also to a number of relatively recent changes in international relations: from the rise of the “green agenda” to the COVID-19 pandemic. The article examines the most important tools of Tokyo’s “soft power”: culture, international cooperation, governance and participation of non-governmental actors in creating the image of Japan. Methodologically, the research is conducted on the basis of “soft power” indices systems developed by Portland and Brand Finance companies. In addition, the study is based upon a systemic approach, implying a clear causal relationship between changes in one part of a complex phenomenon with its other elements, as well as the nature of the phenomenon itself. The scientific novelty of this research is attributed to consideration of Japan’s peculiarities, previously unnoticed in the discourse of “soft power” studies, which may influence the possibilities of Japan’s “soft” policy both today and in the future. The author comes to the conclusion that Japan retains its leading positions in the world through “soft power” capabilities. The Land of the Rising Sun is actively using its rich cultural tradition and introducing modern trends in its development into “soft” policy. At the same time, there are factors that can damage Tokyo’s “soft power”: the attitude towards foreigners and migrants, environmental problems, a relatively high degree of dysfunction of democratic institutions and some controversies of Japanese politics. This, according to the author, can have a significant negative impact on the country image in the foreseeable future.