Still smarting from a sharp rebuke by the U.S., the government is studying ways to implement sweeping changes to the Penal Code or the enactment of a new law to combat human trafficking and protect victims, government officials said Saturday.

The Justice Ministry, the Health, Labor and Welfare Ministry, the National Police Agency and other government agencies are set to meet Tuesday to prepare bills for submission to the Diet next year, the officials said.

The latest moves follow the release of an annual report in which the United States downgraded its assessment of Japan's efforts against human trafficking, putting the nation on a special watch list of countries on the verge of falling into the worst category.