Japan was thrown into political uncertainty on Friday after the collapse of its long-standing ruling coalition, following the decision by the Komeito party to withdraw from its alliance with the Liberal Democratic Party (LDP). The shock move has cast serious doubt over Sane Takaichi’s prospects of becoming Japan’s first female prime minister.
Takaichi, who only recently became leader of the LDP, had been poised for parliamentary approval as prime minister later this month. However, Komeito’s abrupt exit from the coalition that has steered Japan for nearly 25 years has triggered a new phase of instability in Tokyo’s political landscape.
The announcement sent immediate tremors through financial markets — the yen weakened against the dollar, and the Nikkei index closed 1.0 per cent lower, reflecting investor anxiety over Japan’s political future.
Komeito leader **Tetsuo Saito** confirmed the party’s withdrawal after a tense meeting with LDP representatives in Tokyo.
> “We want the LDP-Komeito coalition to go back to the drawing board and end our relationship for now,” Saito told reporters. “Since we have not received clear cooperation from the LDP on our key reform demands, it is impossible for us to nominate Ms. Takaichi for prime minister.”
Saito said Komeito had lost confidence in the LDP’s willingness to address internal corruption, particularly following the recent slush fund scandal that has tainted the ruling party’s credibility. According to Japanese media, Saito told Takaichi directly that her explanations regarding the scandal were “unsatisfactory” and did not inspire trust.
Despite ending the political partnership, Saito noted that Komeito would still support certain pending legislation, including **budget bills and administrative reforms**, to ensure governmental continuity.
The coalition collapse marks a major setback for Takaichi, 64, who succeeded Shigeru Ishiba after he resigned amid falling approval ratings and electoral losses in both houses of parliament. Voter frustration over **rising inflation, stagnant wages, and corruption scandals** has severely eroded support for the LDP.
Komeito’s exit is also believed to have been influenced by ideological differences. The party, traditionally moderate and backed by the Buddhist organization Soka Gakkai, reportedly grew uneasy with Takaichi’s hardline conservative views, particularly her past visits to the controversial Yasukuni Shrine, which honors Japan’s war dead — including convicted war criminals.
Takaichi’s mentor, the late Shinzo Abe, faced intense backlash from China, South Korea, and the United States after visiting the shrine as prime minister in 2013. Japanese media reports this week suggest that Takaichi may avoid visiting the shrine during the upcoming **autumn festival from October 17 to 19**, in an effort to prevent diplomatic tensions.
Upon her victory in the LDP leadership race, Takaichi — often compared to Margaret Thatcher, whom she cites as an inspiration — declared the dawn of a “new era” for Japan. She defeated Shinjiro Koizumi, a popular 44-year-old lawmaker known for his reformist and socially progressive stance, in a runoff that exposed deep divisions within the LDP.
The party’s internal fractures and loss of voter confidence have opened the political field to smaller opposition movements, including the anti-immigration Sanseito party, which has seen a surge in support among disaffected voters.
If confirmed as prime minister, Takaichi would face formidable challenges — an ageing population, sluggish economic growth, geopolitical tensions in East Asia, and contentious debates over immigration policy.
One of her first major international tasks would be hosting U.S. President Donald Trump, who is expected to make an official stopover in Japan in late October — a visit that will likely test Takaichi’s diplomatic mettle amid Japan’s most uncertain political moment in decades.
