Latest news with #JapanUSRelations
Japan Times
9 hours ago
- Business
- Japan Times
Japan won't fixate on July 9 in U.S. trade talks, says Akazawa
Japan won't fixate on the looming date for so-called reciprocal tariffs to go back to higher levels, Tokyo's top trade negotiator said, signaling that the Asian nation stands ready for the possibility that talks will drag on. "To avoid any misunderstanding, I would like to confirm that I have not said at all that July 9 is the deadline for negotiations between Japan and the U.S.,' Economic Revitalization Minister Ryosei Akazawa told reporters on Friday in Tokyo. "Japan and the U.S. are in regular communication through various channels, and we will continue to consider what is most effective and engage in appropriate consultations.' Akazawa deflected a question over whether Japan will seek an extension of the deadline for the across-the-board tariffs. The U.S. is poised to return the duties to their original levels on July 9 for many nations, which would mean an increase to 24% from 10% at present for Japan. U.S. Treasury Secretary Scott Bessent has indicated the U.S. may grant an extension to countries that are negotiating in good faith. Prime Minister Shigeru Ishiba and U.S. President Donald Trump failed to reach a deal earlier this week on the sidelines of the Group of Seven leaders' summit in Canada, despite holding three phone calls to discuss the tariffs prior to their in-person meeting. Akazawa on Friday said he's yet to schedule the next round of negotiations with his U.S. counterparts and that Japan won't set a specific deadline for the talks. He once again described the trade discussions as similar to "walking through fog,' a phrase he used before the G7 gathering. The Japanese trade negotiator also hinted at some trouble in vying for time with the U.S. when various matters including rising tensions in the Middle East compete for Washington's attention. "It is also possible that the U.S. side may find it difficult to allocate sufficient time domestically to make substantial progress in the Japan-U.S. negotiations,' Akazawa said. "This is truly the case for both sides. We are not solely doing the tariff negotiations.' Akazawa spoke a day after Ishiba met with opposition party leaders, who came away from the conference with the notion that Japan's trade surplus in autos with the U.S. is a sticking point between the two sides. As with other nations, Japan has also been slapped with a 25% tariff on cars and related parts as well as a 50% levy on steel and aluminum. "Both Japan and the U.S. have national interests that can't be compromised,' Akazawa said. "Protecting the profits of the automotive industry, which is our key industry, is in Japan's interest.'
Bloomberg
11 hours ago
- Business
- Bloomberg
Japan Won't Fixate on July 9 in US Trade Talks, Akazawa Says
Japan won't fixate on the looming date that could see so-called reciprocal tariffs rise in its ongoing trade negotiations with the US, Tokyo's top negotiator said, signaling the Asian nation stands ready for the possibility that the talks will drag on. 'To avoid any misunderstanding, I would like to confirm that I have not said at all that July 9 is the deadline for negotiations between Japan and the US,' Economic Revitalization Minister Ryosei Akazawa told reporters on Friday in Tokyo. 'Japan and the US are in regular communication through various channels, and we will continue to consider what is most effective and engage in appropriate consultations.'
Japan Times
a day ago
- Automotive
- Japan Times
U.S. focus on auto trade gap is sticking point for Japan deal
A strong U.S. focus on its auto trade deficit with Japan is a key factor keeping the two nations from reaching a deal, according to a Japanese opposition party leader who met with Prime Minister Shigeru Ishiba to discuss the tariff negotiations. Yoshihiko Noda, who heads the Constitutional Democratic Party of Japan, said on Thursday that he asked Ishiba what was preventing the two sides from finding common ground in the talks that have continued for around two months. "He didn't give a clear explanation, but it seems that the U.S. has the strongest interest in the auto trade deficit,' Noda told reporters. "Various ideas were probably proposed, but there are differences in thinking regarding autos. So, he said a general consensus has yet to be reached.' Ishiba briefed Noda and other party leaders about the latest developments in the bilateral trade negotiations. The prime minister and U.S. President Donald Trump met on the sidelines of the Group of Seven summit in Canada earlier this week, but failed to come to an agreement. Japan's trade surplus with the U.S. last year stood at ¥8.6 trillion ($59.3 billion), the fifth largest on record. Roughly 82% of the gap was due to Japan's surplus in cars and auto parts. The differential put the nation in Trump's crosshairs as he kicked off a global campaign to rebalance U.S. trade deficits using tariffs. Trump has imposed levies of 25% on cars and related parts. The auto duties are a particular concern for Japan as the car sector is crucial to its economy, employing some 5.6 million people, about 8.3% of the country's work force, and generating around 10% of gross domestic product, according to the Japan Automobile Manufacturers Association. The tariffs are raising the risk that Japan's economy enters a technical recession after contracting in the first quarter of the year, ahead of the bulk of the measures. Exports to the U.S. fell 11% in May, with shipments of autos slumping about 25%. Japan's trade surplus with the U.S. in the month stood at ¥451.7 billion, with 93% of that due to autos and related parts, according to the Finance Ministry. Thursday's gathering among party leaders comes ahead of an Upper House election in July. The tariff negotiations loom large not only for the economy, but also Ishiba's public standing. Prime Minister Shigeru Ishiba meets with opposition party leaders Thursday to brief them about the latest developments in the tariff talks with the United States. | Jiji Nippon Ishin no Kai co-leader Seiji Maehara also cited the prime minister as saying that autos are the biggest point of disagreement between the two nations. "He didn't mention the details,' Maehara said after the meeting. "But I felt that the biggest difference exists in automobiles. Japan is requesting a reduction in automobile tariffs, but I suspect that Trump may not have agreed to that.' Ishiba emphasized in the conference that he will make sure companies in the auto sector are getting ample support for loans, while seeking cooperation beyond party lines to secure Japan's interest in the trade talks, Maehara said. It's also unclear what the U.S. will decide regarding its July 9 trade deadline, when so-called reciprocal tariffs are poised to return to their original, higher levels, Noda said, citing his exchange with Ishiba. For Japan, that will mean a bump in across-the-board tariffs to 24% from 10%. In addition to the levies on cars and auto parts, the nation is already facing 50% tariffs on steel and aluminum. Japan's top trade negotiator, Ryosei Akazawa, is expected to continue discussions with U.S. counterparts including Treasury Secretary Scott Bessent. The two sides have held six rounds of talks in Washington so far. Ishiba and Trump also had three phone conversations on tariffs prior to their in-person meeting in Canada. Maehara, a former foreign minister, voiced support for Ishiba's ongoing efforts. "In the end, I believe that President Trump will make the final decision,' Maehara said. "We ask the Japanese government to continue to build the content of the package without compromising Japan's interests, and we won't simply say that it is unacceptable because an agreement wasn't reached this time.'
Bloomberg
a day ago
- Automotive
- Bloomberg
US Focus on Auto Trade Gap Is Sticking Point for Japan Deal
A strong US focus on its auto trade deficit with Japan is a key factor keeping the two nations from reaching a deal, according to a Japanese opposition party leader who met with Prime Minister Shigeru Ishiba to discuss the tariff negotiations. Yoshihiko Noda, who heads the Constitutional Democratic Party of Japan, said on Thursday that he asked Ishiba what was preventing the two sides from finding common ground in the talks that have continued for around two months.
Bloomberg
2 days ago
- Business
- Bloomberg
Japan to Protect Trade Interests And Not Rush Deal, Ishiba Says
By and Yoshiaki Nohara Save Japan will prioritize protecting its national interests in trade talks without rushing into a deal with the US, Japanese Prime Minister Shigeru Ishiba said as he wrapped up two days of meetings at the Group of Seven gathering. Ishiba is set to leave Canada without a trade deal or a clear path toward achieving one with US President Donald Trump, who departed the gathering early in order to cope with rising tensions in the Middle East. The two had frank discussions but their views remained apart over some aspects related to trade.
