The term trigger clause refers to a system wherein specific laws or regulations are automatically activated when certain conditions are met. In this context, it refers to a mechanism for temporarily reducing gasoline tax in response to factors such as inflation.

Recently, in the Japanese Diet, where discussions about supplementary budget proposals backing economic measures are taking place, there has been a lively exchange of opinions about the unfreezing of this trigger clause to reduce gasoline taxes.

The National Democratic Party has embarked on policy discussions on the unfreezing of this trigger clause together with the Liberal Democratic Party and Komeito party, aiming to lower gasoline prices. The advantage of this is that lower gasoline prices are beneficial for consumers and can also stimulate overall economic activity.

Masao Hamaguchi, executive officer and member of the House of Councillors, questioned the income tax cut and the unfreezing of the trigger clause. Prime Minister Fumio Kishida also stated that he intends to present the conclusion of the talks with the ruling parties and the National Democratic Party on this issue at a ruling party tax panel.

As a next step, Prime Minister Kishida has proposed discussing the unfreezing of the trigger clause for after May next year, when the current price control measures end. These developments are closely tied to our everyday lives, and therefore, they are attracting attention.