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U.S. Goods Deficit Sets Record as Japan’s Ruling Bloc Moves to Fast-Track Agenda

Policy recalibration now looms across trade and governance.

Overview

  • U.S. Commerce Department data show the 2025 goods trade deficit hit a record $1.2409 trillion, with officials concluding recent high tariffs failed to narrow the gap as intended.
  • Imports rose about 4.3% to $3.4384 trillion and exports climbed roughly 5.7% to $2.1975 trillion, both record highs, with pre-tariff import surges offsetting later declines.
  • Japan’s Diet resumes Feb. 24 with representative questions, and the ruling coalition plans to secure passage of the fiscal 2026 budget by March as the LDP holds a two‑thirds lower‑house majority.
  • Prime Minister Sanae Takaichi has signaled readiness to advance constitutional debate, and a Jiji Press poll finds 51.4% of respondents expect progress in Diet discussions.
  • Fukui Prefecture submitted a harassment‑prevention ordinance covering special posts and requiring managerial reporting, Ibaraki will launch a 2026 reward program for tips on illegal employment following the nation’s highest detections, and separate diplomatic signals included Motegi’s Germany video topping one million views and Kim Jong Un’s policy review at the party congress.