The abrupt destruction of Tokyo on July 16, 1988, began the third world war. On artificial islands in Tokyo Bay, the metropolis has been reconstructed as Neo-Tokyo. In 2019, the city is beset by corruption, anti-government rallies, terrorism, and gang violence, prompting the imposition of martial law in an attempt to maintain order. Shtar Kaneda leads his vigilante bszoku group, the Capsules, against their rival biker gang, the Clowns, during a violent demonstration. Tetsuo Shima, Kaneda's best friend, unexpectedly collides with Takashi, an ESPer who escaped from a government laboratory with the help of a rebel group. Colonel Shikishima of the Japan Self-Defense Forces recaptures Takashi, takes Tetsuo away, and arrests the Capsules with the help of fellow ESPer Masaru. While being questioned by the cops