Saturday, October 25, 2025

Japan's 'Iron Lady' PM Takaichi Vows 'New Heights' with Trump, Pledges 2% Defense Spend in Direct Challenge to China

TOKYO — Japan's new Prime Minister, Sanae Takaichi, delivered a blistering first policy speech on Friday, vowing to forge a powerful personal bond with U.S. President Donald Trump while simultaneously taking a hard swipe at China and signaling a stricter, "resolute" new stance on immigration.

Prime Minister Sanae Takaichi is enjoying high poll ratings so far (Kazuhiro NOGI) (Kazuhiro NOGI/AFP/AFP)

The conservative premier, Japan's first woman to hold the office, used her debut address to a rowdy parliament to firmly plant her flag as a hawkish leader, ready to confront both foreign and domestic challenges. Citing her idol, former British PM Margaret Thatcher, Takaichi is moving to rapidly reshape Japan's posture on the world stage, with her first major test arriving in three days with President Trump's state visit.

In a move clearly timed to precede that visit, Takaichi made a landmark announcement: Japan will hit its long-debated target of spending two percent of gross domestic product on defense this fiscal year—achieving the goal a full two years ahead of schedule.

A New 'Takaichi-Trump' Axis

The speech was carefully crafted to align Tokyo with Washington's "America First" president, who has repeatedly demanded that allies like Japan pay more for their own defense. Takaichi, who is currently enjoying high public approval ratings, is not only meeting that demand but casting it as a mutual objective.

"I will build a relationship of trust with President Trump," Takaichi declared, stating her intention to "elevate the Japan-US relationship to new heights."

This alignment is built on a shared, grim assessment of the global landscape. Known as a "China hawk" long before her premiership, Takaichi did not mince words. She stated that the military activities of China, North Korea, and Russia "have become a grave concern."

"The free, open, and stable international order we have grown accustomed to is being profoundly shaken by historic shifts in the balance of power and intensifying geopolitical competition," she said.

Beijing Fires Back

The 2% defense pledge, a seismic shift for a nation with a historically pacifist constitution, drew an immediate and sharp rebuke from Beijing.

China's foreign ministry spokesman, Guo Jiakun, hit back at the announcement, warning that Japan’s neighbors were watching with alarm.

"These moves inevitably raise serious doubts... about whether Japan is truly committed to an exclusively defensive posture and the path of peaceful development," Guo said.

The Domestic Tightrope: Immigration and Economy

While projecting strength abroad, Takaichi faces a complex minefield at home. Her predecessor, Shigeru Ishiba, survived barely a year in office, his government crippled by public anger over the rising cost of living.

With a flatlining economy and a declining population, Japan is facing critical labor shortages. Takaichi acknowledged the need for foreign workers but pointedly addressed a growing anxiety over immigration that has fueled a rise in populist parties like Sanseito, which calls it a "silent invasion."

"Some illegal activities and breaches of rules by certain foreigners have created situations where the public feel uneasy," Takaichi said, walking a fine line. "While we draw a clear line from xenophobia, the government will respond resolutely to such acts."

As part of this new "resolute" stance, Takaichi has appointed Kimi Onoda as a full-time minister for what is now termed a "society of well-ordered and harmonious coexistence with foreign nationals." The move has already been targeted by online disinformation, with widespread false rumors claiming Onoda was named minister for "mass deportations."

The Economic Riddle

Takaichi's greatest challenge may be reconciling her hawkish posture with Japan's fragile economy. Official data released Friday showed inflation accelerated again last month, with consumer prices jumping 2.9 percent in September.

Ahead of her speech, Takaichi promised a major relief package for households. However, the address was light on specifics. This has left markets in a state of suspense.

Takaichi has long advocated for more government spending and looser monetary policy to spur growth a stance that helped boost stocks to record highs upon her appointment. Now, as prime minister, she faces a new reality. She has tempered her rhetoric, stating that policy decisions will be left to the Bank of Japan (BoJ).

This is a critical distinction, as the BoJ is in the middle of "normalizing" its super-easy monetary policy, with further interest rate hikes likely to combat the very inflation angering voters. Furthermore, analysts at Capital Economics noted the BoJ is "concerned about the impact of US tariffs on the Japanese economy" a signature policy of the very president Takaichi is about to host.

All eyes are now on the Trump visit, which will serve as the first major test of whether Takaichi's "Iron Lady" diplomacy can secure concessions from her closest ally while she battles economic headwinds at home.


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