Japan’s new Prime Minister Sanae Takaichi outlined an assertive agenda, promising economic relief for citizens while pledging significant defense spending increases and tighter security ties with the United States amid rising regional tensions.
During her inaugural policy statement to parliament on October 25, 2025, Ms. Takaichi declared her intention to “turn public anxiety into hope.” She vowed to address soaring product prices and the rising cost of living for Japanese households.
Her cabinet will expedite special economic measures and propose a supplementary budget to support these initiatives. Further plans include considering the abolition of a “temporary oil tax” and reviewing personal income tax exemption ceilings.
The new prime minister also signaled a more robust stance on national security. She expressed concerns over military activities by China, North Korea, and Russia.
Ms. Takaichi underscored that the alliance between Japan and the United States remains “a pillar of the national security strategy.” She voiced hopes of building personal trust with former U.S. President Donald Trump to elevate bilateral relations.
Her government aims to increase the defense budget to 2% of the nation’s Gross Domestic Product (GDP) within the current fiscal year. This initiative is part of a broader review of three national security strategy documents, targeted for completion by the end of next year.
She also pledged to use all available means to repatriate Japanese citizens abducted by North Korea as quickly as possible.
Ms. Takaichi committed to restoring Japan’s position as a central player on the international stage.
To drive sustainable economic growth, the government will establish an economic growth strategy council. This body will work towards building a stable future for all citizens.
The prime minister also stated a willingness to genuinely consider proposals from opposition parties, provided they do not conflict with the government’s core policies.