In Japan, signs of renewal can be seen in the transformation of old cabbage fields on its southernmost main island. A new semiconductor plant operated by Taiwan Semiconductor Manufacturing Co. has sparked growth in the prefecture of Kumamoto, leading to the development of new apartment blocks, hotels, and auto dealerships. The plant has attracted suppliers and related businesses, boosting wages and land prices in the area. However, not all regions are experiencing this economic revitalization. In towns like Misato, economic distress is evident with shuttered storefronts and a declining population. The challenge for Japan’s next prime minister will be to ensure a broad and lasting recovery across the entire nation, not just in certain areas. With the population declining and productivity stagnating, new strategies are needed to revitalize the economy and address issues such as rural decline and low birthrates. Despite the economic challenges, Japan is making efforts to strengthen its ties with Taiwan and boost defense spending in response to regional concerns. The recent focus on the semiconductor industry and increasing global investments signal a potential turnaround for Japan’s economy.
