Global Scans · Japan · Weekly Summary

---

WHAT'S NEXT?: The latest sign of weakness in Japan's economy will likely add to mounting skepticism about the prime minister's expansionary policies. His coalition government has just achieved the supermajority it needs to amend the constitution which many are worried that Japan is about to remove the mask of pacificism and convert its "Self-Defense Force" into the military threat it really is.

• [New] In financial markets, mounting fears about the impact of Takaichi's policies on Japan's fiscal health - the worst among Group of Seven economies - have pushed up long-term interest rates. Japan Wire by KYODO NEWS
• [New] GDP growth in Japan begins at negative 0.4% in the fourth quarter of 2025 and increases to 1.8% in the third quarter of 2026. Board of Governors of the Federal Reserve System
• [New] Japanese Defence Minister Shinjiro Koizumi confirmed that Japan will advance plans to deploy medium-range surface-to-air missiles to Yonaguni Island, which is 110 kilometers east of Taiwan. American Enterprise Institute - AEI
• [New] PRC-Japan tensions: The CCP has further escalated against Japan in response to Japanese Prime Minister Takaichi saying that a war over Taiwan could threaten Japanese security. American Enterprise Institute - AEI
• [New] Takaichi's package has stoked fears about adding to Japan's already colossal debt pile, sending government bond yields to record highs and the yen lower against the dollar. Mint
• [New] Xi's emphasis on Taiwan comes amid a downturn in Japan-PRC relations following Japanese Prime Minister Sanae Takaichi's suggestion that Japan could deploy its military against the PRC if it attempted to invade Taiwan. American Enterprise Institute - AEI
• [New] The CCP has further escalated its pressure against Japan in response to Japanese Prime Minister Sanae Takaichi saying that a war over Taiwan could threaten Japanese security. American Enterprise Institute - AEI
• [New] The relief package is projected to temporarily lower consumer prices by up to 0.7 percentage point, while boosting Japan's real gross domestic product by 24 trillion yen, or an annualized 1.4%. The Mainichi
• [New] By 2025, IoT devices could consume 3.5% of global electricity - more than the entire current consumption of Japan and Germany combined. Futurist Speaker on AI Leadership, Future of Work, Futu
• [New] A Chinese attack on Taiwan threatening Japan's survival could trigger a military response. gCaptain
• [New] Blue Cross (Asia-Pacific) Insurance Limited has unveiled a specialised rider to address emerging travel risks following a sharp increase in wildlife encounters across Japan and neighbouring regions. Insurance Business
• [New] Analysts expect investment returns from Japanese assets to keep rising. Australian Broadcasting Corporation
• [New] Most analysts now consider 2030-2032 a more realistic timeline for any meaningful price competitiveness. / Japan Sezarr Overseas News
• [New] Households will get gas and electricity subsidies, a ¥20,000 child payment, and regions will receive ¥2 trillion in support. / Japan Cryptopolitan
• [New] 2026's growth will be driven by continued momentum in the United States, resilient local demand in Europe and Japan, and progressively improving trends in China. The Business of Fashion
• [New] Demand from emerging countries in Southeast Asia (including Indonesia, Malaysia, Philippines, Thailand and Vietnam) and high-value markets (such as Japan, Korea and Hong Kong) are expected to continue rising in 2025-26, despite slowing global economic growth. Warakirri Asset Management
• [New] High-value markets such as China, Hong Kong, Korea and Japan are anticipated to maintain strong demand for premium-quality produce, despite slower global economic growth weighing on consumer confidence and discretionary spending. Warakirri Asset Management
• [New] Horticulture export prices are forecast to continue rising with strong global demand from emerging countries in Southeast Asia and high-value markets in China, Japan and South Korea. Warakirri Asset Management
• [New] 6G networks are expected to begin commercial deployment in 2030, with significant early rollouts in China, Japan, South Korea, the US, the GCC states, Europe, Vietnam and India. Newsroom
• [New] Based on previous mobile generation cycles' subscriptions uptake, EMR researchers expect the first commercial launches to be driven by leading service providers in front-runner markets, such as the US Japan, South Korea, China, India and some Gulf Cooperation Council countries. ComputerWeekly.com
• [New] In a recent parliamentary session, Takaichi declared that a Chinese blockade or armed attack on Taiwan could constitute an existential crisis for Japan, potentially triggering the exercise of collective self-defence rights for an armed response. Center for the Study of the Presidency and Congress
• [New] In essence, the Takaichi Doctrine discards the Yoshida bargain of security outsourcing to the U.S., compelling Japan to assume greater sovereignty in an era where U.S. commitments remain dubious and the triple regional threats from China, Russia, and North Korea loom larger. Center for the Study of the Presidency and Congress
• [New] Beyond tourism, Japanese officials fear Beijing could escalate tensions by tightening exports of rare earth elements. The Asahi Shimbun

Last updated: 29 November 2025