• Japan cancels annual 2+2 security talks due to US defense spending demands.
• Washington requested an increase in Japan's defense budget to 3.5% of GDP.
• The cancellation comes ahead of Japan's parliamentary elections and regional tensions.

Japan has announced the cancellation of its high-level security talks with the United States, originally scheduled for July 1, in response to a demand from the Trump administration for increased defense spending. US Secretary of State Marco Rubio and Secretary of Defense Pete Hegseth were to meet their Japanese counterparts, Defense Minister Gen Nakatani and Foreign Minister Takeshi Iwaya, for the annual 2+2 security discussions. However, Tokyo's decision comes after Washington requested Japan raise its defense budget from an earlier target of 3% of GDP to 3.5%, as reported by Indiatimes, The Jakarta Post, and Reuters.

Sources indicate that the increased spending demand is connected to opinions expressed by Elbridge Colby, the third-most senior Pentagon official, who has stirred controversy over similar requests to other allies in the region. Notably, during his nomination hearings, Colby suggested Japan boost its military spending to address threats from China. In reaction, Prime Minister Shigeru Ishiba emphasized that Japan's defense budget would be determined independently and not dictated by external pressures, as highlighted by South China Morning Post and Indiatimes.

In addition to defense budget disputes, the cancellation is influenced by Japan’s political landscape, particularly the upcoming upper house elections on July 20, which are seen as a crucial test for Ishiba's government. Analysts suggest that ongoing trade negotiations between Japan and the US, coupled with tariffs imposed by the Trump administration, further complicate these dynamics. These developments unfold just before a NATO meeting where Trump is expected to encourage European allies to increase their own defense spending to as much as 5% of GDP, according to Reuters, The Jakarta Post, and South China Morning Post.