Tokyo, Japan — In the wake of ongoing trade negotiations, Japan’s envoy for discussions with the United States underscored Tokyo’s insistence that all existing tariffs be reassessed as a condition for finalizing a new trade agreement. Following a second round of talks, Ryosei Akazawa expressed that while progress has been made, Japan remains firm on its demand for a comprehensive review of the tariffs imposed by the US.
Japan, a significant ally and leading investor in the United States, faces a 10-percent baseline tariff similar to most other nations, with additional higher duties on automobiles, steel, and aluminum. In early April, former US President Donald Trump announced a 24-percent reciprocal tariff on Japanese goods, although this measure was paused for 90 days, excluding China from this suspension.
Upon his return to Japan, Akazawa highlighted that “the entire series of tariffs” affecting cars, auto parts, steel, and aluminum are seen as unfavorable by Tokyo. He emphasized that an agreement would not be possible without addressing these concerns, stating, “Unless this demand is acknowledged in an ultimate package, there is no way we can agree to a deal.”
Automobile exports, which represent approximately 28 percent of Japan’s shipments to the US, are a crucial focus in these discussions. Earlier, Prime Minister Shigeru Ishiba noted the significant gap still existing between the two nations’ positions, indicating the complexity of reaching a consensus.
Compounding these tensions, the Trump administration has recently implemented a new 25-percent import tax on auto parts, such as engines and transmissions, which Ishiba described as a “regrettable” development. Japan remains steadfast in seeking a reassessment of these tariffs to facilitate smoother trade relations.
This call for tariff revision reflects Japan’s strategy to secure more favorable terms and underscores the ongoing challenges in bilateral trade negotiations between these two major economies.