Quick Read
Sanae Takaichi is set to become Japan’s first female prime minister after winning the LDP leadership.She faces a deeply divided party, economic stagnation, and complex negotiations with the U.S. over tariffs and defense spending.Takaichi is a conservative protégé of Shinzo Abe, advocating for a return to Abenomics and hardline policies.The LDP lost its majority in both houses of parliament, forcing coalition-building to pass legislation.Her leadership comes amid mounting public dissatisfaction with corruption and lack of reform.The Unprecedented Ascent of Sanae Takaichi
When Sanae Takaichi won the leadership of Japan’s long-ruling Liberal Democratic Party (LDP) on October 4, 2025, she didn’t just claim a political victory. She shattered a ceiling that had held firm for generations, becoming the first woman to lead the party—and, almost certainly, the nation as prime minister. Her triumph, however, is just the beginning of a formidable test of leadership in a country at a crossroads.
At 64, Takaichi brings over three decades of political experience, representing Nara in the lower house and serving as economic security minister. Her campaign, marked by a tireless work ethic and a promise to “work, work, work” for Japan’s renewal, drew both laughter and respect among party ranks. Yet, beneath the surface, her rise is both a product and a symbol of deep divisions within the LDP and the nation at large.
Fractured Party, Waning Trust: The Political Terrain
The LDP’s recent history is marked by electoral losses and a dramatic loss of its once-unshakeable majority in the Japanese parliament, known as the Diet. The resignation of Shigeru Ishiba, who served less than a year, left the party searching for direction. Takaichi’s ascent comes after defeating four rivals in a tense leadership race—most notably besting Shinjiro Koizumi, once seen as the frontrunner, in a narrow runoff.
But victory at the top does not guarantee unity below. The LDP is riven by disputes over the legacy of former prime minister Shinzo Abe, assassinated in 2022. Takaichi, seen as Abe’s protégé, is closely associated with his hardline faction, which has both energized right-wing supporters and alienated moderates. The party’s refusal to enact meaningful campaign finance reform or address corruption scandals has fueled public disillusionment. As Time reports, decades of tolerating “endemic corruption” in exchange for economic growth are no longer palatable when the economy itself is in the doldrums.
Professor Jeff Kingston of Temple University, speaking to the BBC, noted that Takaichi’s hardline credentials may restore the party’s right-wing “DNA” but are unlikely to heal internal rifts or broaden its popular appeal. Even Takaichi herself, reflecting on her victory, admitted, “We won’t be able to rebuild the party if I don’t get everyone’s help, from all generations.”
Economic Headwinds and Social Challenges
Takaichi inherits an economy battered by high inflation, stagnant wages, and a ballooning national debt—now over 260% of GDP. The signature economic policies of her mentor, Abenomics, are back on the table, despite widespread criticism that they favored the wealthy, worsened inequality, and failed to deliver sustainable growth. As former Prime Minister Kishida observed, these policies left the most vulnerable behind and increased Japan’s fiscal burden.
Japan’s labor market is another flashpoint. The rise in poorly paid non-regular employment—now accounting for nearly 40% of all workers—has contributed to a sense of malaise among the middle and working classes. The weak yen, a legacy of negative interest rates and monetary easing, has driven up prices for essentials, pinching household budgets.
On the social front, Takaichi’s stances reflect the LDP’s conservative core. She has opposed legislation allowing women to keep their maiden names after marriage and remains against same-sex marriage. Despite her historic candidacy, she has not championed major reforms to empower women in Japanese society, and critics argue her leadership may be more symbolic than transformative in this regard.
International Pressures and the Trump Factor
Beyond domestic woes, Takaichi faces a diplomatic minefield. Relations with the United States, Japan’s key ally, have become more unpredictable with President Donald Trump’s return to the White House. A recently negotiated auto tariff deal—imposing a 15% duty on Japanese car exports in exchange for $550 billion in U.S. investments—has left Japanese businesses reeling. The deal, as UPI reports, remains subject to Trump’s shifting demands, with the threat of further tariff hikes looming if Tokyo fails to satisfy U.S. expectations.
The auto industry’s centrality to Japan’s economy cannot be overstated: it employs 5.5 million workers and accounts for 10% of industrial jobs. The imposition of 25% tariffs earlier in the year reportedly cost the top six carmakers a staggering 2.6 trillion yen in profits. The pressure to relocate production to the U.S. or accept unfavorable terms is mounting, while the risk of further escalation is ever-present.
Meanwhile, Japan’s commitment to double its defense spending to 2% of GDP by 2027 is being tested by U.S. lobbying for an even more ambitious 3.5% target. With an aging population—30% of Japanese are over 65—and social welfare already consuming a third of the national budget, Takaichi will have to navigate a tightrope of fiscal responsibility, security imperatives, and social needs.
Her hawkish stances, including regular visits to the controversial Yasukuni Shrine and a revisionist view of Japan’s wartime history, risk straining ties with China and South Korea, threatening the fragile recent thaw in relations.
The Road Ahead: Coalition Building and Political Survival
With the LDP-led coalition now a minority in both houses of the Diet, Takaichi’s immediate priority is forging alliances—likely with Osaka-based Nippon Ishin, whose platform broadly aligns with hers. The urgency is palpable; without a stable majority, legislative gridlock and policy paralysis could undermine her premiership before it begins.
Perhaps most daunting is the shadow of recent political history. The period from 2006 to 2012 saw a rapid succession of “one-and-done” prime ministers, each brought down by the very challenges Takaichi now faces. Voters have grown weary of revolving-door leadership and demand tangible results. Takaichi’s ability to compromise, inspire trust, and deliver change will determine not only her own political fate but the course of Japan’s immediate future.
Sanae Takaichi’s ascent marks a watershed moment for Japan, but symbolism alone cannot heal deep political divides, revitalize a struggling economy, or navigate fraught alliances. If her leadership becomes another chapter in Japan’s cycle of instability, it will be less for lack of ambition than for the magnitude and complexity of the crises at hand. The true test is not breaking barriers, but building bridges—across parties, generations, and the nation itself.
AloJapan.com