Virus surge raises prospect of new emergency in Tokyo, Osaka

TOKYO • The governors of Tokyo and Osaka have opened the door to declaring another coronavirus emergency in Japan's biggest metropolitan areas as infections surge, adding to the challenges facing the Olympics that are less than 100 days away in the capital.

Tokyo Governor Yuriko Koike said late on Sunday that she has instructed officials to consider a state of emergency as an option to contain infection numbers that rose over the weekend to the highest in more than two months, when the last declaration was in effect in the capital.

Her comments came as a new survey showed broad opposition to holding the delayed 2020 Games in the city.

In Osaka, Governor Hirofumi Yoshimura yesterday said he is set to seek a state of emergency as infection numbers hit record highs this month.

The public statements put pressure on Prime Minister Yoshihide Suga's government to make a decision, which local media said could come as early as this week.

Mr Suga, who will make the call after consulting experts, earlier stepped up virus restrictions in Tokyo, Osaka and other regions, imposing measures similar to those under an emergency.

He now has little left in his toolbox to control the latest surge, with vaccinations proceeding at a slow pace and not set to kick into high gear until next month.

The measures now in place call on bars and restaurants to close by 8pm, and those that fail to comply face fines. Incentives are provided to eateries that follow virus guidelines such as maintaining sufficient space between tables.

Even under these measures, commuter trains are packed, while crowds flock to stores and restaurants. Civil liberties enshrined in the Constitution prevent the imposition of an enforced lockdown.

Tokyo may be looking to step up those curbs by asking restaurants to close if a state of emergency is declared, TV network TBS reported.

Tightened measures could raise the risk of a double-dip recession and deal a heavy blow to thousands of eateries struggling to survive.

"If not only restaurants but also other shops are asked to close, the economic impact can be big, and we may see another contraction in the second quarter," said IHS Markit economist Harumi Taguchi.

The Japanese Premier faces a backlash from a public worried that the Summer Olympics - one of the biggest global events of the pandemic era - could be a superspreader event.

The Games have already been delayed for a year, and 73 per cent of those polled over the weekend said they were against the event being held as planned from July, according to a survey conducted by Japanese broadcaster ANN.

About the same proportion wanted the government to declare a state of emergency and enact stricter prevention measures.

Daily cases in Tokyo hit 759 last Saturday, the highest since the end of January.

Mr Suga has tried to move the economy forward while keeping cases in check to appease voters, many of whom see him as being slow in imposing measures to stem infections and putting the economy before public health concerns.

The Premier needs to strike a careful balance ahead of a party leadership vote in September that will determine if he stays on.

Mr Suga visited Mr Joe Biden at the White House last Friday, becoming the first foreign leader to hold an in-person meeting with the US President since he took office.

Mr Biden reiterated his support for Tokyo hosting the Olympics.

Mr Suga, who has touted the Olympics as an opportunity to prove that the world has defeated the virus, has faced pushback from within his own ruling Liberal Democratic Party. Last week, party stalwart Toshihiro Nikai indicated that cancelling the Tokyo Games was an option amid the surge in infections.

Even so, Japan still has, by far, the fewest recorded Covid-19 cases and deaths of any Group of Seven country.

BLOOMBERG