Japanese Prime Minister Sanae Takaichi conducted an official visit to India in early July 2026, meeting with Prime Minister Narendra Modi to expand bilateral defense and economic security cooperation. The visit included cultural engagement, with Takaichi trying her hand at playing the santoor.
Prime Minister Sanae Takaichi announced a 370 trillion yen ($2.3 trillion) public-private investment plan spanning 17 sectors including AI, semiconductors, quantum technology, defense, space, and nuclear fusion through fiscal year 2040. The announcement drove Japan's Nikkei 225 to cross 72,000 for the first time.
China has significantly reduced shipments of rare earth minerals to Japan, with May exports of materials used in powerful magnets dropping to negligible levels. The supply squeeze is pressuring Japanese companies and Prime Minister Sanae Takaichi's government to seek diplomatic resolution with Beijing over tensions related to Taiwan.
A powerful 7.5 magnitude earthquake struck off the Sanriku Coast in northern Japan, triggering tsunami warnings and prompting evacuations. Prime Minister Sanae Takaichi established a crisis management team to respond to the disaster.
