Japan

Today

Philip Patrick

America can’t let the Japanese yen fail

In an extremely rare bilateral move, the US and Japan have intervened to shore up the Japanese yen, which has been steadily losing value and sliding towards a 40-year low. The news was confirmed by the Japanese Finance Ministry this morning. President Trump preceded the announcement by explaining that the US was “always there to help Japan.” In truth, there wouldn’t have been much point in denying it – a Reuters photo showed a memo on US Secretary of the Treasury Scott Beasant's desk with the simple instruction “To Do – Buy Japanese Yen (JPY) 5-10 billion.” The dollar fell to 157 yen after the announcement, well down from the 164 (considered by Morgan Stanley the highest tolerable point for the Japanese government) of the previous week.  This is an extraordinary move.

Thursday

Gary Dexter

The rise of Japan’s organic right

Sanseitō is a new right-wing Japanese party. The name means the “Party of Participatory Politics” or “Do-It-Yourself.” It was founded in 2020 by some disgruntled political YouTubers and gained national fame in 2022 when its founder, Sohei Kamiya, won a seat in the House of Councillors. Sanseitō now has 30 seats in the Diet. The party is nationalistic, proposing much stricter immigration controls under the slogan “Japan First.” It is broadly anti-vaxx. It opposes same-sex marriage and supports nuclear-weapon sharing with the United States, while Kamiya has repeatedly promised the party “would not sell out Japan to Jewish capital.

Thursday

Philip Patrick

Japan is refusing to tiptoe around the Taiwan issue

One of the most serious issues in the well-filled in-tray of freshly endorsed Japanese Prime Minister Sanae Takaichi is Taiwan, which China claims as its own sovereign territory, and the lamentable state of Sino-Japanese relations. Takaichi provoked fury with comments in the Japanese parliament in November when she stated that were China to attack Taiwan, it would be interpreted as a "survival-threatening situation" for Japan, implying a military response could follow. Under the terms of its constitution, Japan is severely limited in its military options but Takaichi appeared to be preparing more solid ground with her phrasing. A 2015 law changed the constitution allowing Japan to retaliate if the country faced a "life-threatening" situation.

Wednesday

Philip Patrick

Sanae Takaichi is making a huge election gamble

Japan will go to the polls in February for a general election after Prime Minister Sanae Takaichi called a snap poll today. Takaichi is looking to make the most of her extraordinarily high approval ratings – in what has proved quite a lengthy honeymoon period – to secure a more comfortable mandate for her ambitious policy platform. It is a bold move by Japan’s first female prime minister and not without risk. Her Liberal Democratic party (LDP), the closest thing Japan has to the UK Conservatives and long seen as the natural party of government, has a slim majority in the lower house thanks to the support of three independent lawmakers but lacks a majority in the upper chamber.

sanae takaichi