Japan’s 30-year government bond yield climbed to roughly 3.2% this week, the highest level since the security was introduced in 1999, while the 40-year yield also approached a record peak set after its 2007 debut. The move widens the gap between short-term rates—anchored by the Bank of Japan’s 0.5% policy rate—and the far end of the curve, underscoring investor unease over the country’s heavy debt burden. In response to the surge, the Ministry of Finance has distributed surveys to primary dealers to gauge support for reducing issuance of super-long Japanese Government Bonds, Nikkei reported on Aug. 28. The ministry intends to discuss the proposal at a special meeting with bond-market participants in September, which could lead to the second cut in supply of 20- to 40-year paper this fiscal year. Expectations of lower supply prompted a pullback in yields after the report, but market participants say a formal decision will be needed to ease pressure permanently. Traders warn that sustained increases in Japan’s long-term borrowing costs risk spilling over into global fixed-income markets and could trigger broader shifts in asset prices.