Sanae Takaichi Set to Highlight Japan's Investments in US Amid Defense Spending Pressure by Trump Administration: Report

Japanese Prime Minister Sanae Takaichi reportedly plans to highlight Japan’s U.S. investment and the American jobs it will create at her meeting with President Donald Trump in New York on Tuesday.

‘The Summit Will Cover the Investments We’ve Promised’

“The summit will cover the investments we’ve promised” to the U.S., a senior Japanese official told Nikkei.

Earlier this year, Japan committed to invest $550 billion in the U.S. under its tariff deal with Washington, which set a reciprocal 15% tariff on Japanese imports.

The projects have included oil and gas development in Texas, a critical minerals facility in Georgia to reduce U.S. reliance on foreign sources, and power generation projects supporting artificial intelligence infrastructure.

The meeting will be held on the sidelines of the U.N. General Assembly, marking the two leaders’ first formal summit since Takaichi’s March visit to Washington.

Defense Spending and Base Costs Could Complicate Talks

The U.S. could use the meeting to press Japan to raise defense spending to 3.5% of GDP, up from Tokyo’s current 2% target, and to increase its contribution to U.S. troop costs in Japan, Nikkei added.

Tokyo hopes to point to its investment pledges and defense buildup while avoiding firmer commitments, since Japan isn’t expected to finalize new national security documents until later this year.

The White House and Japan’s Government did not immediately respond to Benzinga’s request for comment.

In July, the U.S. Treasury and Japan’s Ministry of Finance coordinated a yen-buying operation to counter excessive volatility and disorderly movements in the currency.

Trump Meets China’s Xi on Thursday

The meeting comes days before Trump is set to meet Chinese President Xi Jinping in Washington on Thursday.

Nikkei reported that any U.S.-China deals on AI regulation or rare-earth export controls could ripple through Japanese industry and security, with Takaichi planning to gauge Washington’s intentions before the Beijing talks.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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