Sanae Takaichi won Japan’s ruling Liberal Democratic Party’s (LDP) leadership election on Saturday 4 October, defeating rival Shinjirō Koizumi in a run-off vote. The 64-year-old conservative politician will take over from Shigeru Ishiba, who resigned after the ruling coalition lost its parliamentary majority for the first time in 70 years. Takaichi is expected to be formally appointed prime minister on 15 October but she faces significant challenges governing without a majority in either house of parliament.

This week on The Globalist, Monocle and Tomohiko Taniguchi, former special adviser to the cabinet of Shinzo Abe, explored what the country might look like under the so-called Iron Lady of the East.

The following interview has been edited for length and clarity. Listen to the full conversation on ‘The Globalist’.

What kind of politician is Sanae Takaichi and how is her victory being received in Japan?
Takaichi is admittedly a protégé of late prime minister Shinzo Abe, inheriting his economic policy and conservative approach to monarchism and social institutions. She is a self-made person; she financed her high school and university tuition by moonlighting in multiple jobs. She’s a motorcyclist and was a drummer for a punk-rock band as a teenager.

Over the past few decades, she has become known as someone with an encyclopedic knowledge of policy issues. The challenge for her now is to develop a broader vision.

How will that affect her ability to govern – and can she automatically become prime minister?
No, she cannot become prime minister automatically. If you have a broad, strong coalition across the opposition parties, some of those opposition members could be elected. But today there is deep division among the opposing parties on numerous issues. As a result, Takaichi will likely be elected as she is now the head of the LDP, which is a big party.

What are some of the notable policies that she’s advocating for?
In terms of economic policy, Takaichi has repeatedly mentioned that growth is what counts. She believes that while fiscal prudence is important, it is secondary when compared to generating growth. Some of the other candidates are more for fiscal prudence.

When it comes to foreign and national security, particularly regarding the US-Japan alliance or what should be done in relation to China, there is little discrepancy among the candidates.

Will Takaichi’s election significantly change Japan’s relationships with China and South Korea?
Naturally, Beijing has been extremely cautious. As prime minister, she knows that she must balance Japan’s national security concerns and economic imperatives. That is to say, Japanese businesses have huge stakes in China. 

Japan and South Korea have been undergoing a softening period, so it would be wise for her to continue fostering a smooth relationship with them rather than not.

Do you think that she can reunite and reinvigorate the LDP? And what does her victory mean for Japan’s political landscape today?
There is no easy answer to those questions. There will be parliamentary sessions every month until June 2026. There will be opportunities for Takaichi to demonstrate her ability to lead the LDP and to form a coalition, which will be like shooting a flying object. It will be a difficult task, be it Takaichi or anyone else. We’ll have to wait and see.