Japan

Japan's economy is in a state of strategic investment, channeling billions into AI infrastructure and semiconductor sovereignty. Microsoft plans a $10 billion investment in AI infrastructure, while Japan invests billions to boost Rapidus in the global AI chip race and offers a $10 billion support package to Southeast Asia for oil security. Concurrently, domestic firms like Nissan are restructuring, and the BOJ is considering policy to curb inflation.

• 11Japan offers $10 billion support package to help Southeast Asia secure oil
• 8Nissan cuts model lineup by 20% as it unveils new AI tech strategy
• 6Nissan Cuts Loss Forecast, Sees Operating Profit
• 6Nissan exits Argentina, automakers bet on China for global growth
• 6Nissan held talks with China’s Chery on building cars in Sunderland

Japanese politics is dominated by Prime Minister Takaichi's foreign policy maneuvers and the LDP's constitutional revision agenda. Takaichi plans an Australia visit for rare earths talks and seeks talks with Iran's leader, while the government downgrades its description of China in a diplomatic report. Domestically, the LDP renews its push to revise the pacifist constitution, targeting spring 2027 for advancement.

• 6Japan lifts decades-old restrictions on weapons exports
• 6Japan downgrades description of China in annual diplomatic report - The Straits Times
• 5Marcos to undertake state visit to Japan
• 5China firmly opposes Japan's negative moves related to Yasukuni Shrine - news.cgtn.com
• 5Trump renews criticism of Japan, S. Korea for not helping U.S. in Iran war - Japan Wire by Kyodo News

Japan's security posture is actively engaged in the Strait of Hormuz while facing regional criticism and planning a major arms expansion. French, Japanese, and Omani ships crossed the Strait of Hormuz, and Japan is closely monitoring U.S. blockade plans there. Concurrently, China warns of Japan's military expansion ambition, and U.S. allies are eyeing Japan's biggest arms opening since WWII, rattled by Trump's criticism.

• 18Japan scraps a ban on lethal weapons exports in a change of its postwar pacifist policy
• 11Japan changes rules to allow weapons sales to other countries
• 6Japan eases arms export rules, boosting defense production
• 4China slams transiting of Japanese warship via Taiwan Straits, calls it ‘deliberate provocation’
• 4Japan ‘closely monitoring’ U.S. plans to blockade Strait of Hormuz

Japanese society exhibits a dominant tension between public commemoration of past disasters and contemporary social isolation. The imperial family visited Fukushima to inspect recovery efforts, highlighting ongoing engagement with the 2011 disaster's legacy. This contrasts with a government survey finding that 4.5% of the population constantly feels lonely, pointing to a persistent issue of social disconnection.

• 27Japan issues tsunami warning after powerful earthquake off coast
• 76.2-magnitude earthquake hits Japan's Hokkaido island
• 4Alert for potential mega-quake issued, tsunami warnings lifted | NHK WORLD-JAPAN News
• 4Strong M5.0, 5.1 quakes hit Nagano Prefecture in central Japan - Japan Wire by Kyodo News
• 3Japan deploys hundreds of firefighters as wildfires rage in north