Takaichi Fallout: Japan’s GDP Dips 2.3% Amid Diplomatic Tensions
Japan’s GDP shrank 2.3% in Q3 2025, its first drop since Q1 2024. Provocative diplomatic moves by PM Sanae Takaichi on mainland China may deepen economic woes.
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Japan’s GDP shrank 2.3% in Q3 2025, its first drop since Q1 2024. Provocative diplomatic moves by PM Sanae Takaichi on mainland China may deepen economic woes.
Japan’s semiconductor sector faces a major shakeup after PM Takaichi’s remarks on the Taiwan region, threatening chip equipment and rare earth imports in the growing Takaichi Fallout.
PM Sanae Takaichi’s comments have chilled ties with the Chinese mainland, risking a 2.2 trillion yen hit to Japan’s tourism industry.
Japan has fallen out of the top 10 destinations for travelers from the Chinese mainland this December as Takaichi’s remarks on Taiwan trigger a tourism reshuffle.
Japan’s small firms recorded a 12-year high in bankruptcies through Sept 2025 as labor shortages and rising costs pile on ‘the Takaichi fallout’, exposing deep economic cracks.