japan Secures Tariff Deal with US, Halving Auto Duties
Tokyo, Japan – Prime Minister Ishiba Shigeru announced today that Japan has successfully negotiated a tariff agreement with the United States, a pact he described as mutually beneficial. The deal, finalized following a meeting between Japan’s Economic Revitalization Minister Akazawa Ryosei and US President Donald Trump at the White House, addresses previously imposed US tariffs on Japanese automobiles.
Under the terms of the agreement, the 25 percent additional duty the US had levied on automobiles will be reduced by half, to 12.5 percent. When combined with Washington’s existing 2.5 percent duty, the new tariff rate for Japanese autos entering the US market will stand at 15 percent. This development averts a planned 25 percent “reciprocal tariff” that the US had threatened to implement starting August 1.
Prime Minister Ishiba highlighted that Japan secured these tariff reductions on vehicles and auto parts ahead of othre nations and without any accompanying quota restrictions. He emphasized the government’s commitment to a balanced approach, protecting domestic interests while concurrently advancing bilateral economic ties. “Such an agreement has now been realized,” Ishiba stated.
the japanese government intends to expedite the implementation of the agreement, including the necessary intergovernmental paperwork. Officials have indicated that support for domestic industries will continue, with plans to publish specific tariff rates for each item and offer dedicated consultation services.
However, the agreement has drawn scrutiny from the opposition. Noda Yoshihiko, president of the Constitutional Democratic Party of Japan, noted that the new auto tariff rate will be six times higher than the previous level, stressing the importance of a thorough examination of its potential impact. Prime Minister Ishiba is scheduled to brief leaders of other political parties on the details of the US agreement this Friday.
