TOKYO – Shigeru Ishiba, Japan’s Prime Minister, resigned on Sunday, 7 September 2025, bringing his 11-month leadership to a sudden finish. His decision came just before a potentially decisive vote within the Liberal Democratic Party (LDP) that might have seen him forced out.
Ishiba faced mounting pressure from party members after a series of tough election losses and growing unrest within the party. His exit adds to Japan’s political uncertainty, especially as the country grapples with sluggish economic growth and changing international pressures.
Ishiba, a centrist with a long political career, took charge in October 2024 after a tight race against Sanae Takaichi for LDP leadership.
His win, labelled “Ishibamania” by the international press, surprised many due to his previous unsuccessful bids and lukewarm support from parts of the LDP. Despite the initial excitement, his administration soon ran into trouble.
Under his watch, the LDP-led coalition lost its majority in both houses of parliament for the first time in more than ten years.
The problems began in October 2024 when Ishiba called an early general election. Instead of strengthening his position, the LDP and partner Komeito lost control of the lower house, a setback not seen since 2009.
Links to the Unification Church
Things worsened with a crushing defeat in the July 2025 upper house vote, the worst in the LDP’s 70-year history. Voters frustrated by surging costs of living, particularly a spike in rice prices, and anger over financial scandals and the party’s links to the Unification Church, turned against the government.
Calls for Ishiba’s resignation grew louder within the LDP, especially from its conservative side. Figures allied with former Prime Minister Taro Aso and those loyal to the late Shinzo Abe wanted a new leadership election, which would amount to a vote of no confidence.
On Saturday, 6 September 2025, Ishiba held talks with Agriculture Minister Shinjiro Koizumi and ex-Prime Minister Yoshihide Suga. Both reportedly pressed him to step aside for the party’s sake.
In a televised address on Sunday, Ishiba said wrapping up important trade talks with the United States influenced his decision. “I promised to lead until I accomplished the necessary work,” he said, with emotion in his voice. “With the US tariff talks at a turning point, I feel it’s time for someone else to take over.”
The new trade deal, agreed last week, saw US President Donald Trump slash tariffs on Japanese car exports from 27.5% down to 15%, which Ishiba called a step that averted a “national crisis.”
Ishiba’s time in office will likely be remembered for an inability to unite the LDP and push through big changes. His approach of working more closely with China and South Korea, while trying to manage US protectionist moves, upset many conservatives, who thought he was too soft and not firm enough on national interests.
He also struggled because the LDP no longer held a majority, so he had to seek support from rival parties to pass laws, further weakening his government. With Ishiba stepping down, the LDP must now pick a new leader.
Japan’s Next Prime Minister
The party is planning an emergency election for early October. Leading contenders include Sanae Takaichi, an outspoken conservative who finished second to Ishiba last year, and Shinjiro Koizumi, the 44-year-old agriculture minister well known for his reform ideas and broad appeal with younger voters.
Yoshimasa Hayashi, the Chief Cabinet Secretary and close ally of Ishiba, might also run, but he would likely follow a similar policy direction.
Japan’s next prime minister faces a tough road ahead. The country is dealing with stubbornly low economic growth, high inflation, and the effects of US tariffs hitting its important car industry.
The yen dropped and government bond yields soared last week as word of Ishiba’s uncertain future shook the markets. On top of economic troubles, Japan must also address growing anxiety over military moves by China, Russia, and North Korea.
Reactions to Ishiba’s resignation differ. In Shibuya, Tokyo, a 40-year-old visitor from Kyoto said she was surprised and thought Ishiba would stay on longer. A local man in his thirties called the resignation “inevitable,” pointing to what he saw as poor leadership. Others voiced concern about the stubborn cost of living, with a resident from Chiba saying, “prices are still high, and nothing’s changed.”
Without an LDP majority in parliament, the incoming leader will need to work with other parties to form a stable government. Many analysts warn that if the LDP cannot fix public trust and tackle everyday concerns like wages and inflation, Japan could see further deadlock and instability.
“The LDP needs to come together and quickly restore steady government,” said Yoshinobu Tsutsui, head of the Keidanren business group.
Ishiba plans to stay in his role until a successor is chosen. In his parting statement, he urged the next government to focus on wage growth, rice production, and stronger US relations.
“The LDP should be a party that listens to people from all walks of life,” he said, admitting that public trust has been shaken. For now, Japan faces an uncertain future, and its next leader will need to steady the ship during these turbulent times.
