Japan PM calls China 'important neighbour'

Japanese Prime Minister Sanae Takaichi called China an ‘important neighbour’ in a parliamentary policy address on Monday, pledging to build a stable and constructive bilateral relationship.

Addressing parliament, Takaichi emphasised the need to maintain open communication on shared challenges and promote dialogue to safeguard Japan's national interests despite ongoing diplomatic difficulties.

The prime minister’s conciliatory remarks follow a period of severely strained relations between the two Asian economic giants. Diplomatic ties plummeted after Takaichi previously suggested Tokyo might intervene if Taiwan were attacked. Balancing her call for diplomatic engagement,

Takaichi reassured lawmakers that Japan will firmly assert its national positions and strongly demand responsible behavior from Beijing.

Takaichi’s policy address coincides with recent signals of potential diplomatic thawing from Beijing. Last week, China's top diplomat remarked that bilateral ties were ‘waiting to be normalised again’ during a meeting with a visiting former Japanese foreign minister and trade delegation in Beijing.

Prior to this, China had placed travel warnings and trade restrictions on vital rare earth minerals destined for Japanese firms.

Beyond foreign policy, Takaichi’s parliamentary speech tackled pressing domestic issues, including Japan's demographic decline.

Calling the population drop a ‘quietly advancing national crisis,’ she promised to draft a comprehensive strategy by year-end, while also committing to proactive fiscal policies and proposing temporary consumption tax cuts to ease local inflation.