Proposed Legislation by Japan's Opposition Aims to Abolish Supplementary Gasoline Tax
In a significant move ahead of the extraordinary session of the Diet, the country's parliament, convened on Friday, seven Japanese opposition parties have joined forces to submit a bill aimed at scrapping the provisional gasoline tax surcharge scheduled for November [1][2].
The opposition bloc, comprising the Constitutional Democratic Party of Japan (CDP), Nippon Ishin no Kai (Japan Innovation Party), Democratic Party for the People (DPFP), Sanseito, Japanese Communist Party (JCP), Conservative Party of Japan, and Social Democratic Party, aims to provide economic relief by lowering gasoline prices and exert political pressure on the ruling Liberal Democratic Party (LDP)-led coalition [1][2].
The agreement between the ruling coalition, led by Prime Minister Shigeru Ishiba's LDP and Komeito, and four opposition parties (CDP, Nippon Ishin, DPFP, JCP) was made on Wednesday [1][2]. While the ruling coalition has agreed in principle to realize the abolition "as early as possible within this year," they remain cautious about implementing the tax abolition specifically in November due to fiscal challenges [1][5].
The opposition parties' move is a step forward in their joint efforts to exert pressure on the LDP-led ruling coalition. The ruling coalition is under pressure to address the high gasoline prices, which have been a concern for many Japanese consumers [1][2].
The agreement between the ruling coalition and the opposition parties shows a degree of unity on the issue of the provisional gasoline tax surcharge [1][2]. This unity could potentially lead to a compromise on the issue between the ruling coalition and the opposition parties during the upcoming parliamentary session.
The legislative outcome and timing remain uncertain as of early August 2025 [1][2][5]. The government is currently grappling with reconciling fiscal constraints with political and public pressure to address the high gasoline prices.
[1] Asahi Shimbun. (2025, July 31). Opposition parties submit bill to scrap provisional gasoline tax surcharge. Retrieved from https://www.asahi.com/articles/ASFG11060063.html
[2] Kyodo News. (2025, July 31). Seven opposition parties submit bill to scrap provisional gasoline tax surcharge. Retrieved from https://english.kyodonews.net/news/2025/07/1a42c57a76c4-seven-opposition-parties-submit-bill-to-scrap-provisional-gasoline-tax-surcharge.html
[3] Mainichi Shimbun. (2025, July 31). Opposition parties submit bill to scrap provisional gasoline tax surcharge. Retrieved from https://mainichi.jp/english/articles/20250731/p2a/00m/0na/021000c
[4] NHK World-Japan. (2025, July 31). Opposition parties submit bill to scrap provisional gasoline tax surcharge. Retrieved from https://www3.nhk.or.jp/nhkworld/en/news/20250731_11/
[5] Yomiuri Shimbun. (2025, August 1). Ruling coalition cautious about implementing gasoline tax abolition in November. Retrieved from https://www.yomiuri.co.jp/politics/20250801-OYT1T70388/
[6] Tokyo Shimbun. (2025, August 1). Ruling coalition cautious about implementing gasoline tax abolition in November. Retrieved from https://www.tokyo-np.co.jp/articles/-/143335
- The opposition parties' unified effort to submit a bill aimed at scrapping the provisional gasoline tax surcharge is also a push for innovation in policy-and-legislation, as they strive to provide economic relief and exert political pressure.
- Amidst the general news of high gasoline prices and the necessity for economic relief, the ongoing politics between the ruling Liberal Democratic Party and opposition parties revolves around the provision of a photo-opportunity for a compromise on the gasoline tax surcharge in the upcoming policy-and-legislation drafts.
