Japanese Prime Minister Shigeru Ishiba is preparing to step down following the Liberal Democratic Party’s (LDP) significant loss in the July 20 upper house elections, according to a report by the Yomiuri newspaper on Wednesday. The defeat cost the LDP-led coalition its majority in the upper house, forcing the government to seek support from regional parties and even opposition rivals to advance legislation.
Ishiba reportedly plans to announce his resignation before the end of July, taking responsibility for the ruling party’s poor performance. The timing aligns with his earlier statements suggesting he would remain in office until the completion of a trade agreement with the United States.
Just hours before news of his resignation emerged, U.S. President Donald Trump confirmed a new trade deal with Japan imposing a 15% tariff on Japanese goods. Ishiba welcomed the agreement and said he would review its details after Japan’s top negotiator, Ryosei Akazawa, returns from Washington. Following that review, he is expected to formally confirm his decision to step down.
An earlier report from the Mainichi newspaper suggested Ishiba could wait until late August to make the resignation official. However, political analysts expect an accelerated timeline as the LDP seeks to stabilize leadership amid heightened economic and diplomatic challenges, including the implementation of the U.S.-Japan trade agreement and ongoing domestic policy disputes.
This potential leadership change could reshape Japan’s political landscape, signaling policy shifts and coalition negotiations ahead of upcoming legislative sessions.