This paper describes advances in the study of handwritten Kanji character recognition mainly performed in Japan. The research focus has shifted from the investigation of the possibility of recognition by the stroke structure analysis method to the study of the feasibility of recognition by the feature matching methods. A great number of features and their extraction methods have been proposed according to this approach. On the other hand, studies on pattern matching methods of recognizing Kanji characters using the character pattern itself have been made. The research efforts based on these two approaches have led to the empirical fact that handwritten Kanji character recognition would become more effective by paying greater attention to the feature of directionality. Furthermore, in an effort to achieve recognition with higher precision, active research work has been carried out on pre-processing techniques, such as the forced reshaping of input pattern, the development of more effective features, and nonlinear flexible matching algorithms. In spite of these efforts, the current character recognition techniques represent only a skill of guessing characters" and are still on an insufficient technical level. Subsequent studies on character recognition must address the question of how to understand characters".