Overview

• Takaichi won the Liberal Democratic Party’s leadership in a second-round vote over Agriculture Minister Shinjiro Koizumi, taking about 54.25% to 45.75%.
• The National Diet is scheduled to vote on her nomination on October 15, and the governing coalition’s seat advantage makes her confirmation likely.
• A protege of Shinzo Abe, she backs expansionary fiscal policy and low rates, and market analysts said her victory reduces the odds of a near-term Bank of Japan rate hike.
• Taiwan’s president welcomed her win, while her visits to Yasukuni Shrine and push to revise the pacifist constitution could strain ties with China and South Korea.
• Her elevation follows Shigeru Ishiba’s resignation after election setbacks, with the LDP seeking to recover support as households face persistent inflation and economic pressures.