Compulsory moral education has been included in the Japanese national curriculum since 1872. Recent demographic trends have created an unstable society, and with the increase in heinous juvenile crimes, urgent demands are being made for a more effective program. Japan's Education Reform Plan for the 21st Century has as its second major strategy the improvement of moral education. The results of this exploratory study find that over 80% of third-grade elementary students can comprehend a moral theme from their text once it has been taught. Further discussion provides lessons to be learned from Japan for Western character education specialists as well as curriculum development specialists. (Contains 2 figures and 3 tables.)