Behind-the-Scenes of the First U.S.-Japan Tariff Negotiations
U.S. President Donald Trump reportedly expressed dissatisfaction during the recent first round of U.S.-Japan tariff negotiations, stating, "The United States protects Japan, but Japan bears none of the burden."
Akazawa Ryosei, Japan's Minister for Economic Revitalization and chief negotiator, met with President Donald Trump at the White House on the 16th (local time) for about 50 minutes. He also held a 75-minute meeting with U.S. Treasury Secretary Scott Besant, Commerce Secretary Howard Lutnick, and Jamison Greer, the U.S. Trade Representative (USTR).
Afterward, Minister Akazawa returned to Japan on the 18th, reported the details of the negotiations to Prime Minister Ishiba Shigeru, and shared information within the government while discussing future response strategies.
Local media outlets such as NHK reported that, during his meeting with Minister Akazawa, President Trump expressed his desire to reduce the U.S. trade deficit with Japan to zero. They also noted that President Trump occasionally glanced at a small memo he held in his hand during the meeting.
The Yomiuri Shimbun and Asahi Shimbun also reported that, in the subsequent ministerial-level talks, the U.S. side raised complaints such as "U.S. automobile safety standards are not treated equally with those of Japan" and "There is a lack of transparency in rice imports and distribution structures." The U.S. also demanded expanded imports of agricultural products such as meat, seafood, and potatoes.
All of these issues were previously raised in the USTR's trade barriers report. In response, the Japanese side stated that "it is difficult to change all non-tariff barriers" and requested that priorities be set. Upon receiving Minister Akazawa's report, Prime Minister Ishiba instructed the government to "accelerate internal review and coordination."
Japan is reportedly considering expanding imports of rice and soybeans and easing certification requirements for imported automobiles as possible negotiation cards. Regarding the outlook for future negotiations, Minister Akazawa stated, "We will only reach a package agreement once everything is settled," and added, "We will conduct thorough investigation and analysis before the next round of talks."
The two countries have agreed to hold a second round of negotiations later this month.
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