Japan's Shigeru Ishiba 'Could Be A Problem' For US, Experts Warn: 'Hardest For Americans To Read'

Shigeru Ishiba has been elected as Japan’s new prime minister, replacing Fumio Kishida and raising questions about future U.S.-Japan relations.

What Happened: Experts predict how Shigeru’s appointment might crop up changes in the relations between Tokyo and Washington, as reported by Politico on Monday. According to Jesper Koll, a German-born economist in Tokyo, Ishiba must overcome his reputation for micromanagement and stubbornness. Ishiba lacks a grand vision, Koll added.

For Washington, Ishiba’s stance on military relations is crucial. He has suggested revising the U.S. forces deployment agreement and amending Japan’s pacifist constitution. Ishiba also proposed an Asian NATO, potentially elevating Japan to a peer ally of the U.S.

Gerry Curtis, a retired Columbia scholar, noted that Ishiba views the current U.S. deal as outdated.

"He could be a problem for the U.S.," he said.

Ken Weinstein, a prominent Japan watcher, described Ishiba as the "hardest for Americans to read” among the other candidates.

A Japanese official explained that 60% of Ishiba’s motivation is to enhance deterrence and strengthen the alliance, while 40% is about restoring Japanese sovereignty. This dual motive makes Washington uneasy.

Ishiba stated that security issues would be discussed with the next U.S. president post-November elections. Additionally, Japan faces challenges from U.S. protectionist trade policies and restrictions on technology transfers to China, impacting Japanese manufacturers.

Hiro Akita of Nikkei described Ishiba as a realist who understands Japan must adapt to a changing world. While not seeking to push America back, Ishiba’s leadership could still stir the waters of U.S.-Japan relations.

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Despite his reputation for micromanagement, Ishiba’s election marks a shift from the policies of former Prime Minister Shinzo Abe. His pragmatic stance could bring changes to Japan’s domestic and international policies.

Why It Matters: The election of Shigeru Ishiba has already had significant economic repercussions. On Monday, Japan’s key stock market gauge, the Nikkei 225, plummeted over 2,000 points, or 5.02%, amid the change of leadership. The index, heavily reliant on exports, reacted negatively to Ishiba’s victory, reflecting investor uncertainty about his policies.

Additionally, Ishiba’s stance on international trade and defense could strain Japan’s relationship with the United States. Earlier this month, Ishiba warned that President Joe Biden‘s opposition to Nippon Steel‘s acquisition of U.S. Steel might undermine trust between the allies.

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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari