Editorial

16:09 JST, October 2, 2025

While Japan has managed to weather the adverse effects of U.S. President Donald Trump’s tariff policy, there are more than a few causes for concern. It is hoped that the government and the Bank of Japan will formulate necessary measures to vitalize the Japanese economy.

The central bank has released the results of its Tankan quarterly economic survey for September. The diffusion index indicates corporate business confidence. The index for large manufacturing companies, which is a leading indicator, was 14, up 1 percentage point from the previous quarter, marking an improvement for the second consecutive quarter.

The latest Tankan survey was the first conducted after the Japan-U.S. tariff negotiations concluded and a 15% tariff rate, in principle, was applied regarding “reciprocal tariffs” and tariffs on automobiles.

Uncertainty surrounding tariffs,........

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