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Japan monitoring impact of China tensions on its economy, says minister

visibility comment0 event January 14, 2026 timer 10:43

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Japan’s diplomatic row with China is casting a shadow on its economy, as Beijing exerts pressure through tourism and trade policies. Japan’s Minister of State for Economic and Fiscal Policy Minoru Kiuchi said his ministry is monitoring the impact. According to the World Bank, Japan’s economy is projected to grow just 0.8% this year, due to a slowdown in exports, consumption and investment. Meanwhile, Prime Minister Sanae Takaichi’s plans to dissolve parliament and call a snap election have raised concerns among some observers. Michiyo Ishida reports from Tokyo.

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