US lowers Japan auto tariffs to 15% in new trade pact implementation ...Middle East

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The White House published the order’s text confirming the new rate structure as part of a broader trade agreement between the two nations. This adjustment represents a significant victory for Japan following weeks of negotiation and diplomatic engagement.

The 15% tariff cap will apply retroactively to goods shipped from August 7, the effective date of Trump’s earlier tariff increases on dozens of trading partners.

The revised tariff structure eliminates the additional 25% sector-specific duty that Trump had imposed on autos and parts, which had combined with an existing 2.5% tariff to create the 27.5% total rate.

This agreement provides Japan with relief similar to that granted to the European Union, which also faces a 15% maximum tariff on many products.

The executive order states these investments “will be selected by the United States Government” without providing specific details.

The Nikkei business daily reported that Akazawa had cancelled an earlier visit when Washington considered including reductions in Japanese agricultural tariffs in the presidential order.

Trump has consistently pressured Japan to increase imports of American rice, though this particular issue did not appear in the final agreement. – AFP

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