The LDP Presidential Campaign Begins

The LDP Enters the Policy Discussion Phase of its Presidential Election

By Takuya Nishimura, APP Senior Fellow, Former Editorial Writer for The Hokkaido Shimbun.

The views expressed by the author are his own and are not associated with The Hokkaido Shimbun.
You can find his blog, J Update here.
Sept 22, 2025. Special to Asia Policy Point
 
Japan’s Liberal Democratic Party (LDP) kicked off its presidential election campaign on September 22. Five lawmakers officially submitted their candidacies to the party on the 22nd with only a 15 minute window to file. The deadline for entries has now passed. All five were losers in the last election a year ago.
 
Having lost the majority in both Houses of the Diet under the leadership of Prime Minister Shigeru Ishiba, the presidential election should be about how to regain power through reforming the party. Yet the candidates are not talking much about reform.  They are instead focusing on their economic policies for households or maneuvers to attract support from the opposition parties.
 
One of the biggest reasons for the defeats in the 2024 Lower House election and the 2025 Upper House election was the LDP’s kickback fund scandal. It revealed LDP’s mismanagement of political funds without transparency. The opposition parties called for stricter regulation of donations from companies and organizations, which have been the financial lifeline for the LDP.  After receiving protests from LDP lawmakers, Ishiba did not reach a consensus with the opposition on the issue. Ishiba announced his resignation as the LDP president on September 7.
 
The LDP set the presidential election for October 4 and opened the starting gate for campaigns on September 22. Five people have entered the race. They are: former Minister on Economic Security Takayuki Kobayashi, former LDP Secretary General Toshimitsu Motegi, Chief Cabinet Secretary Yoshimasa Hayashi, former Minister on Economic Security Sanae Takaichi, and Minister of Agriculture, Forestry and Fisheries Shinjiro Koizumi. Each has his or her own platform.
 
Kobayashi is running on three key issues. First, he supports a temporary income tax cut with a fixed rate. The tax cut would provide greater benefits to high-income taxpayers than to low-income ones. Kobayashi would offset the cut with surplus tax revenue in the current year. Second, reflecting his hawkish perspective, Kobayashi supports an increase in the defense budget to more than 2 percent of GDP. Finally, he advocates greater regulation of foreign intervention in communications in Japan.
 
Announcing his candidacy immediately after Ishiba’s announcement, Motegi promises that he will pursue economic growth policies that will increase the annual income of each worker by 10 percent within three years. While other candidates prioritize policy talks with the opposition parties, Motegi aims to assemble a coalition to secure a majority in the Diet.
 
Hayashi would continue the policies of the Ishiba administration in the hope of attracting the votes of Ishiba and his allies. Setting a target of one percent growth in real wages each year, Hayashi would establish a Japanese version of “universal credit,” a social security payment which the United Kingdom has introduced. In addition, to reform the party, he would create a digital platform for real-time communications with the public. He would also amend the party constitution.
 
In her campaign speech at the LDP headquarters, Takaichi emphasized her conservative agenda. This includes greater regulation of foreigners in Japan, limiting the line of succession to the imperial throne to male offspring in the male line, and amendments to Japan’s Constitution. Unusually, however, she would pursue economic policies that include positions held by the opposition parties. These include a refundable tax credit system, a gasoline tax cut, and an increase in the income threshold for tax liability.
 
Finally, Koizumi has actually distanced himself from his platform a year ago. Party “reform” is no longer at the center of his campaign. He has also withdrawn his support for a different surname system and the deregulation of worker dismissals. Instead, Koizumi promises a one-million-yen increase in the annual average wage by FY2030 and domestic investment up to 135 trillion yen. These economic policies were already part of the Ishiba administration’s agenda.
 
Remarkably, none of the five candidates has offered a plan that would settle the dispute over regulation of (or prohibitions on) donations from companies and organizations. The opposition parties have proposed new regulations on and even the abolition of this kind of fundraising. If the LDP insists on this traditional form of fundraising, the party will retain its negative image as an old-line party.
 
In the polls by news organizations, Takaichi has the greatest popularity among general voters. However, among LDP supporters, Koizumi has the greatest support, and only LDP members will vote in the election. There is no certainty that the party election results will be consistent with the popularity of the candidates among the public voters.
 
Five is the largest number of candidates in the history of LDP presidential elections except for the 2024 election, which had nine. Since a candidate can win only with a majority vote, it is almost certain that the election will go to a run-off. Negotiations over policies among the candidates may determine the winner; there is no way to predict which of the five will emerge victoriously.