Ishiba plans resignation after election defeat, according to a source close to the Japanese prime minister. Although he denied immediate plans to step down, reports indicate he will resign next month.
Prime Minister Shigeru Ishiba, 68, dismissed media claims that he had already made the decision to quit. “Completely unfounded,” he said during Tuesday’s press conference. However, insiders suggest his exit is imminent.
He reportedly delayed resignation to avoid political instability before the August 1 deadline for finalizing a major U.S. trade agreement. Ishiba and President Donald Trump unveiled the deal this week, lowering tariffs on Japanese auto exports and averting harsher duties.
Ishiba plans resignation after election defeat, which saw his ruling Liberal Democratic Party (LDP) lose its majority in the upper house. The LDP already lacked control of the lower house after October’s elections.
His departure, less than a year after taking office, will ignite a leadership contest within the LDP. The party faces growing pressure from rising opposition forces, especially from the political right.
The Sanseito party, a far-right nationalist group, surged in Sunday’s vote. It expanded its presence in the 248-seat upper house from one seat to 14. Their agenda includes cutting immigration, lowering taxes, and providing relief to households burdened by inflation.
Ishiba had previously defeated conservative rival Sanae Takaichi in a party leadership runoff. His successor will inherit a divided parliament, lacking a majority in both houses.
The incoming leader’s first challenge will be winning enough support from opposition lawmakers to secure confirmation as prime minister. A general election is unlikely in the near term, as the LDP looks to rebuild public trust and its voter base.
Ishiba plans resignation after election defeat, but his final act may be seen as a success. The U.S.-Japan trade deal capped months of tense negotiations. Japan avoided a looming 25% tariff on autos and other key goods. The pact reduces the tariff to 15% and opens access to U.S. markets for Japanese products.
Nonetheless, Ishiba’s handling of economic pressures, rising prices, and voter concerns has drawn criticism. His approval ratings fell sharply following the election losses. Party insiders fear the LDP could lose more ground if swift leadership changes don’t happen.
With his resignation expected in early August, the LDP will soon begin internal discussions to choose a successor. The new leader will face a fractured political landscape and mounting pressure to deliver economic results.
The next few weeks will be critical for Japan’s political direction. All eyes are on who the LDP selects to lead the country into a new phase of governance.
