Japanese Prime Minister Shigeru Ishiba is facing a worsening approval rating of 28% after his party’s woes escalated over a scandal involving gift vouchers and an economy he neglected since taking power. The latest development – U.S. President Donald Trump imposing 25% tariffs on imports of foreign autos and car parts – has exposed the shortcomings in Ishiba’s approach to handling Trump.
In February, Ishiba met with Trump, claiming to have forged a solid relationship with the U.S. leader. However, this pledge proved hollow as Japanese markets prepare for the impending trade war. Ishiba’s party failed to learn from previous experiences under Shinzo Abe, who grappled with how to handle Trump but ultimately failed to secure key concessions.
Trump’s latest statements lumping Japan together with China as Asian economies manipulating exchange rates further complicated Ishiba’s chances of avoiding a short tenure in power. The impact of the trade war has now become apparent, with officials like Tokyo’s Governor Kazuo Ueda forced to pause interest rate hikes due to Trump’s potential weakening of the dollar.
As July national elections approach, Japan is facing increasing economic uncertainty. With China exporting deflation and Trump imposing taxes on autos, a recession looms large, putting Ishiba’s reputation at risk. The ongoing crisis has raised concerns about Ishiba’s ability to navigate Tokyo’s politics effectively, casting doubt on his chances of avoiding short-term infamy.
Source: https://www.forbes.com/sites/williampesek/2025/03/29/trump-hits-japan-with-25-tariff-tokyo-shouldve-seen-coming