Gunpowder was taken in Japan when guns were introduced from Portuguese to Tanege-shima in 1543.The word "FIREWORKS" appeared in our history in 1585. It was published in Hojogodaikiwhich was written in Edo period, but it is doubtful weather fireworks or not.
In 1613 it was the first time Japanese had seen the fireworks when Ieyasu Tokugawa who was one of the greatest shogun in Edo period saw the fireworks which was fired off by Chinese.
People were affected by Ieyasu, and fireworks became popular among Japanese in an instant.However a lot of fire happenings took place, the Tokugawa shogunate sometimes prohibited it.
One of the most famous fireworks festival which is still held at the Sumida river has kept for over 260 years.