| | OCTOBER 20258IN FOCUSJapanese stocks have reached an all-time high, and this is because the ruling Liberal Democratic Party (LDP) in Japan has chosen a new leader, Sanae Takaichi, who is a pro-business politician and will become the Next Prime Minister of Japan.The benchmark Nikkei 225 index jumped by more than four percent in Tokyo as it rose above 47,000 for the first time.Takaichi is known for her support of higher public spending and lower borrowing costs.She is also a long-time admirer of former UK Prime Minister Margaret Thatcher and her free market approach to economics.Investors welcomed the announcement of her victory in the LDP leadership race, with shares rising in real estate, technology and heavy industry companies.While the Japanese stocks rose, the yen hit a record low against the euro. It also fell by more than 1.5 percent against the US dollar. If confirmed later this month as the successor to Shigeru Ishiba, Takaichi will be Japan's first female Prime Minister.She will have to contend with a sluggish economy and households grappling with higher costs and slow wage growth.Takaichi will also have to navigate a challenging US-Japan relationship and see through a tariff deal with US President Donald Trump's administration, which was previously agreed by the Ishiba government. A competition is occurring for dominance in the energy export market between the two largest economies globally: The US aims to have the world purchase its fossil fuels, while China seeks to promote its clean energy technologies worldwide.The nation's shipments of electric cars, solar power systems, batteries, and other technology for reducing carbon emissions have been increasing for years. Exports reached a record high in August, totaling $20 billion in goods sent worldwide, as stated in a recent report from the think tank Ember."China achieved a historical high in cleantech exports despite a significant drop in technology prices," stated Euan Graham, a data analyst at Ember.The US, now a significant fossil fuel exporter, exported $80 billion in oil and gas overseas by July, the most recent month for which data is available. China sent $120 billion worth of green technology abroad during that time.In oil shipments in 2024, based on the Energy Information Administration. However, China's clean technology exports exceeded by $30 billion.Money only reveals part of the narrative. The cost of solar panels is decreasing, resulting in China exporting a greater quantity for every dollar made. August's solar export earnings were far from the peak reached in March 2023. However, the 46,000 megawatts of power capacity exported reached a new high.Importantly, China's sales to emerging markets are expanding swiftly. This year, over fifty percent of China's electric vehicle exports originate from countries outside the Organization for Economic Cooperation and Development, a group of wealthy nations.During President Donald Trump's first term and subsequently under former President Joe Biden, the US advocated for increased oil and gas output.It's important to mention that China is a major importer of oil and gas, and its energy demands are so high that it utilizes the majority of the clean technology it produces. This quarter, China will sell a higher number of electric cars domestically than the total cars sold in the US, independent of fuel type. Conversely, the US is capable of fulfilling all its fossil fuel requirements. JAPAN STOCKS HIT NEW RECORD AS RULING PARTY PICKS BUSINESS LEADERCHINA TO SURPASS THE U.S. IN ENERGY EXPORT SUPREMACY
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