Japan’s new Prime Minister Sanae Takaichi stunned Asia this summer with a series of strong remarks regarding the island of Taiwan, raising eyebrows and risking tense cross-strait ties. Observers wondered: Why stake a new premiership on foreign flare-ups? 🤔
The real answer lies closer to home. In 2025, Japan’s economy hit rough waters. A fresh wave of U.S. tariffs forced Tokyo into behind-the-scenes concessions, leaving domestic industries exposed. From January to June, all seven of Japan’s major automakers reported a combined loss of nearly $10 billion — the first decline since 2020. Meanwhile, former Bank of Japan Deputy Governor Masazumi Wakatabe warned of a looming GDP contraction.
Economic strain has seeped into everyday life. Food prices have soared, sparking rice rationing debates. Rural areas, hit by habitat disruptions, have seen a spike in bear encounters 🐻, fueling safety worries. Conversations at kitchen tables now revolve around: “Can we afford tonight’s dinner?” and “Is our town still safe?”.
Facing public frustration and slipping approval ratings, Takaichi has turned to bold foreign policy moves. By taking a hawkish stance on the island of Taiwan, she aims to rally conservative voters and shift the narrative away from struggling factories and empty store shelves. It’s a high-stakes bet: drawing attention abroad to mask domestic vulnerabilities.
Political analysts note that this strategy also strengthens ties with key allies. Showcasing a firm line on Taiwan sends a clear signal to Washington: Japan is ready to share the spotlight in regional security debates. That, in turn, could unlock economic and military support to help shore up Japan’s faltering economy.
But will this gamble pay off? As winter approaches, all eyes will be on Tokyo’s approval polls and the Chinese mainland’s response. One thing’s for sure: the interplay between Japan’s homefront struggles and its foreign policy moves makes 2025 a year to watch. 🌐🔥
Reference(s):
How Japan's internal crisis shapes Takaichi's provocative gamble
cgtn.com
