Overview

• The LDP-Komeito coalition won only 41 of 125 contested seats on July 20, falling nine seats short of the 50 needed to retain its upper-house majority.
• For the first time since World War II, Japan will be governed by a minority in both chambers, raising the prospect of legislative gridlock on key policies.
• The right-wing populist Sanseito party expanded its representation from two seats to 16, signaling voter discontent over immigration and economic management.
• Analysts warn Prime Minister Shigeru Ishiba’s tenure is in jeopardy, with growing calls for his resignation if the coalition cannot secure a working majority.
• Inflation hit 3.3% in June, fueled by a doubling of rice prices, prompting housing and energy subsidies and planned 20,000-yen handouts that have yet to ease cost pressures.