Takaichi of Japan Says "$550 Billion Investment Deal With U.S. May Be Renegotiated if Unequal"

First Debate Among Five LDP Presidential Candidates
Only Former Minister Takaichi Raises Possibility of "Renegotiation"
Koizumi Says, "The Agreement Is Not Unequal"

Sanae Takaichi, former Minister in charge of Economic Security and a leading candidate in the upcoming Liberal Democratic Party presidential election scheduled for October 4, publicly raised the possibility of "renegotiation" regarding the $550 billion (approximately 766 trillion won) investment agreement with the United States.

During a debate program hosted by Fuji TV on September 28, Takaichi was the only one among the five candidates to raise her hand when the moderator asked, "If you think there are unequal aspects in this agreement, please raise your hand." She emphasized, "If any inequalities that harm the national interest are revealed during the implementation process, we must clearly address them," adding, "Renegotiation is also possible."

In the ruling Liberal Democratic Party presidential election in Japan, Sanae Takaichi, former Minister in charge of Economic Security (left), and Shinjiro Koizumi, Minister of Agriculture, Forestry and Fisheries, are forming a two-strong candidate race. Photo by Yonhap News

On the other hand, Shinjiro Koizumi, Minister of Agriculture, Forestry and Fisheries and another frontrunner, stated, "I do not believe this agreement is that unequal," and added, "The results of the negotiations should be evaluated."

Chief Cabinet Secretary Yoshimasa Hayashi commented on the investment structure, saying, "Before the principal is recovered, both countries split the profits evenly, but after that, the United States takes 90%." He pointed out, "The key is that President Trump posted on social media for domestic purposes, claiming he 'secured' the deal."

Toshimitsu Motegi, former Secretary-General, explained, "There will be no cases where investment is forced in a way that excludes Japan's involvement," and added, "Taking economic security into consideration, we will create projects that benefit both countries." Takayuki Kobayashi, another former Minister in charge of Economic Security, also said, "Even if there is criticism that the treaty is unequal, what matters is how to create a 'win-win' relationship."

Analysts say that the differences in the candidates' positions revealed during this debate suggest that the large-scale investment agreement between the United States and Japan may emerge as a key issue in the presidential election.