President Donald Trump signed a decree lowering customs duties on Japanese cars at 15% on Thursday, instead of 25% so far. They confirm the interpretation that the Japanese government had given from the agreement signed with Washington.
These surcharges will come into force seven days after the publication of the new decree in the American Official Journal, which is not yet effective.
Depending on the details of the decree, the agreement signed at the end of July between the United States and Japan therefore provides for a 15% customs ceiling for the majority of Japanese products exported to the United States, those being already affected by a surcharge beyond this limit seeing their rates unchanged.
An exemption for products sought
Certain sectors, like aeronautics, raw materials not available in the United States or generic drugs are free from this rate of 15%, specifies the decree.
>> Read also: What is a customs right?
Seeing the surcharge imposed on its cars set at 15%, compared to 25% for the majority of vehicles now entering the United States, Japan obtains a treatment similar to that granted to the European Union. The document, published on the White House website, raises doubts about the conditions of the agreement signed in late July between Tokyo and Washington.
Considered counterparts
Signed on July 22, the agreement provides for certain counterparts from Japanese companies, in particular via investments up to “550 billion dollars” of which “90% of the profits generated will remain in the United States”, said the President on his social social network.
Japan has also been committed to buying “for eight billion dollars of American products”, without specifying calendar, and the two countries must study the conditions of purchase of liquefied natural gas (LNG) from Alaska.
Finally, Tokyo has promised to buy “American manufacturing aircraft, including 100 Boeing”, according to the White House, as well as “lifting long-standing restrictions” which prevented access to American cars to the Japanese market.
ats/lbl
