Politics

¥1 Trillion, ¥1.5 Trillion or ¥3 Trillion? The Bill for US Bases in Japan Is Up for Renegotiation

Every five years, Tokyo and Washington sit down to settle a question that sounds technical but is deeply political: how much should Japan pay towards the upkeep of the roughly 50,000 American troops stationed on its soil? This time, the gap between the two opening positions is unusually wide.

According to sources cited in Japanese reporting on Saturday, the United States is asking Japan to contribute a total of ¥3 trillion under its Host Nation Support programme for the five years starting in fiscal 2027. That would be roughly three times what Japan is paying now.

What Japan pays today

The current five-year arrangement runs until the end of fiscal 2026, which closes in March 2027. Over that period, Japan’s contributions add up to about ¥1.06 trillion, or around ¥210 billion a year. The money covers items such as wages for Japanese staff working on US bases, utilities, training relocation and facility upgrades.

Tokyo’s own working estimate for the next period is about ¥1.5 trillion. That is already a significant increase, and officials say most of it is not a policy choice at all. A weaker yen and higher prices push up the cost of the same services; one source noted that currency movements alone would lift the bill to about one and a half times the previous level. Even Japan’s figure would mean an average of roughly ¥300 billion a year.

A familiar pattern

Big American opening numbers are not new. During Donald Trump’s first term, Washington reportedly sought more than four times the amount Japan was then paying. The final deal landed far lower. Negotiators on both sides know the ritual: a headline demand, months of quiet bargaining, and a compromise that each side can present at home as a win.

What is different now is the backdrop. Japan is already debating a much larger five-year defence plan of its own, with figures of ¥60 trillion and more in circulation. Every extra yen for US bases competes with money for Japan’s own Self-Defense Forces, for missile defence, and for the domestic arms industry Tokyo wants to grow.

Shelters and resilience

One idea under discussion in Tokyo is to put part of the money into making US bases harder to knock out: building shelters and other measures so that the facilities could keep functioning even if attacked. That framing matters politically. It lets the government argue that higher spending is about protecting Japan and its people, not simply handing cash to an ally.

The clock

The two governments want an agreement by the end of this year, which leaves only weeks. A Japanese official described the mood plainly: Tokyo is working hard to make adjustments in response to very high demands.

For voters in Okinawa, where many of the bases are concentrated, the debate is not abstract. For Prime Minister Sanae Takaichi’s government, it is a test of whether it can keep the alliance close without being seen to sign a blank cheque. Somewhere between ¥1.5 trillion and ¥3 trillion lies the answer, and probably closer to the lower end than Washington would like.

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