TOKYO (Kyodo) -- Japan's government is planning to expand the scope of its in-advance screening on foreign investors as part of efforts to prevent data leaks from industries essential to national security, a source close to the matter said Wednesday, apparently with Chinese firms in mind.

Companies that are designated as possible collaborators for foreign intelligence agencies will be required to notify the Japanese government before investing in Japanese companies vital for national security, such as those dealing with infrastructure, the source said.

The government will be able to order a foreign firm to give up its investment plan if it is judged to pose a threat to national security, according to the source.

The move comes as concerns grow over data leaks in critical industries after China's national intelligence law took effect in 2017, obliging businesses to cooperate with national authorities in information gathering.

Currently, Japan's foreign exchange and trade law requires listed domestic companies engaged in certain industries, such as cybersecurity and aviation, to notify the government if foreign investors acquire a stake of 1 percent or more.