The nine candidates vying to lead the ruling Liberal Democratic Party — and ultimately Japan — gathered over the weekend for a series of wide-ranging discussions on a number of issues, including Japan's relations with the U.S. and China, as well as how to restore public trust following a political funds scandal that has rocked the party.
With the LDP leadership election set for Sept. 27 and the U.S. presidential poll just weeks away on Nov. 5, the ruling party candidates, one of whom is almost certain to become prime minister, jostled over the best way to resolve Nippon Steel's contentious $14.9 billion bid for U.S. Steel, while also grappling with the challenge China represents to Japan.
In terms of U.S.-Japan relations, while the two country’s military alliance has soared to a fresh high, a decision by the White House on whether to block the sale of U.S. Steel over national security concerns has confounded Japan.
Speaking on a TV show Sunday with the other candidates, former environment minister Shinjiro Koizumi echoed comments from a day earlier stressing the need for the allies to work together closely in order to strengthen the two countries' positions and confront the “shared challenge” coming from China's steel industry.
"The problem is not that Japan and the U.S. are fighting — the problem is China," he said, claiming the world's biggest steelmaker is "dumping" its product on the market, adversely affecting the fair and competitive market.
Koizumi, one of the front-runners for the post according to recent public opinion polling, also noted the charged political atmosphere surrounding the deal, urging a calm approach as election campaigns in both countries heat up.
“We are holding elections, but the U.S. is also holding elections ... so I think that overreacting to this would call into question our diplomatic sense,” the 43-year-old said during a joint news conference with the other candidates on Saturday.
Economic security minister Sanae Takaichi, 63, who has emerged as a dark horse for the prime minister’s post, also weighed in on the deal during Sunday's TV show, stressing the need for cooperation.
Takaichi said that Democrats in the administration of U.S. President Joe Biden, as well as influential Republicans and business people are "aware that this is a win-win situation where we can work together as allies to strengthen the steel industry."
However, she added, if the powerful U.S. Committee on Foreign Investment — the national security panel reviewing the bid — recommends that the deal be blocked, this "would be the same as regarding Japan as a country of concern," and Tokyo would "protest vehemently."
Meanwhile, The New York Times reported Friday that the Biden administration is likely to delay a final decision on whether to block the sale until after the November election, slowing a process that has been caught up in presidential politics.
Japan has watched with keen interest the White House election pitting former President Donald Trump against current Vice President Kamala Harris.
But a possible return of Trump, who in the past reportedly threatened to withdraw U.S. forces from Japan unless it coughed up more cash to host them — and how the next Japanese leader would deal with him in the absence of someone like late former Prime Minister Shinzo Abe — has been a foreign policy focus in the LDP election.
Former defense chief Shigeru Ishiba, 67, another front-runner for the prime minister’s post, said that it would be important to explain Japan’s unique role in U.S. grand strategy to the winner of the U.S. presidential election.
“The bases that the United States has in Japan are not just front-line bases,” Ishiba told the joint news conference Saturday. “They also serve as bases of operations, where ships, apart from those with nuclear reactors, aircraft and vehicles can be repaired. Japan is the only country that has this ability.
“We need to explain this clearly and logically, with figures,” he said. “This won’t change regardless of who is president.”
On China, meanwhile, Koizumi faced questions Saturday over his dearth of experience with the Asian powerhouse and how he would confront economic and military challenges from Beijing.
Koizumi said that while he has never traveled to China due to “risks” associated with the acrimonious relationship his father, former Prime Minister Junichiro Koizumi, had with Beijing, he believes leader-to-leader ties are crucial to improving Sino-Japanese relations.
“As long as this is not possible, I don't think there will be any significant developments or positive breakthroughs on the various pending issues,” he said, while also delivering a pointed jab at Chinese leader Xi Jinping, whose country, he added, was “now moving from a one-party dictatorship to a one-man dictatorship.”
China is Japan’s biggest trading partner, but Tokyo has also labeled its neighbor as its most pressing security challenge as Beijing ramps up its military assertiveness in the region, including in the airspace and waters between Taiwan and Japan. The two countries also remain at odds over the release of treated radioactive water into the Pacific Ocean from the crippled Fukushima No. 1 nuclear power plant.
On Sunday, all nine candidates also emphasized during a separate TV appearance the need to be better prepared for a Taiwan emergency involving an attack or naval embargo of the self-ruled island by China.
The economy and political reform were also at the top of the agenda during the weekend discussions, with Takaichi saying the Bank of Japan had moved “too early” in hiking ultralow interest rates and a number of other candidates backing stronger rules and greater transparency in the handling of political funds following the slush fund scandal that eroded public trust in the LDP.
With your current subscription plan you can comment on stories. However, before writing your first comment, please create a display name in the Profile section of your subscriber account page.