Japanese Prime Minister Shigeru Ishiba has vowed to remain in power to oversee the implementation of a new Japan-U.S. tariff agreement

An emerging U.S.-Japanese trade deal could unlock major investment, avert a potential shock to the global economy and may deliver political wins for both U.S. President Donald Trump and Japanese Prime Minister Shigeru Ishiba,

The reports come after Trump announced a trade deal with Japan, and days after Ishiba's governing coalition lost its majority in the country's upper house.

Embattled Japanese Prime Minister Shigeru Ishiba is facing speculation that his days are numbered after facing a historic defeat in the upper house election on Sunday.

Progress in relations between China and Japan could lose some steam if embattled Japanese Prime Minister Shigeru Ishiba steps down following a crushing electoral loss. Ishiba, leader of the Liberal Democratic Party (LDP), has come under intense pressure since the ruling coalition’s defeat in upper house elections on Sunday.

The embattled prime minister said he would remain in office to oversee tariff talks with the United States and other pressing matters.

Japanese Prime Minister Shigeru Ishiba’s ruling coalition has lost its majority in the upper house of parliament.