Can Japan’s arms industry benefit from loss of trust in Trump?

Japan has relaxed its arms export restrictions, marking a departure from its post-World War II pacifist policies. This change coincides with a record defense budget exceeding 9 trillion yen ($58 billion) for 2026, aimed at enhancing military capabilities amid rising tensions with China. Japanese defense firms, such as Toshiba and Mitsubishi Electric, are expanding to meet potential demand from countries like the Philippines and Poland, as Japan seeks to assert greater control over its security policy and reduce reliance on U.S. defense imports.

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