Japan Proposes Joint Fund for Reviving Shipbuilding Industry in US During Tariff Talks

Includes Joint Development of Icebreakers

According to reports by the Asahi Shimbun and the Nihon Keizai Shimbun (Nikkei) on May 26, Japan proposed the establishment of a joint Japan-US fund as a means to revive the shipbuilding industry in the United States during tariff negotiations with the US.

Yonhap News Agency

Nikkei and other outlets, citing multiple Japanese government officials, reported that Japan had compiled and presented a proposal for cooperation in the shipbuilding sector to the US side during the negotiation process.

This proposal included the creation of a joint fund, support for the maintenance and repair of ships in the US, and the joint development of next-generation ships and icebreakers powered by ammonia fuel.

The US shipbuilding industry has declined to the point where even the construction and repair of naval vessels faces difficulties. As a result, the US is also requesting cooperation from South Korea in the shipbuilding sector.

Japanese Prime Minister Shigeru Ishiba has expressed his commitment to cooperation between Japan and the US in the shipbuilding sector. On the previous day, during a visit to Maizuru, Kyoto, for an inspection event of a Maritime Self-Defense Force escort ship, Prime Minister Ishiba told reporters that the government would consider promoting cooperation on the repair of US Navy vessels in Japan and on icebreakers to be used for Arctic navigation.

He specifically stated, "Japan has a significant technological advantage in icebreakers," and added, "Icebreakers could become a focal point of cooperation."

He further said, "There is also the issue of whether US naval vessels can be repaired in Japan, and the government intends to provide support in this area."

In relation to this, NHK reported, "During the Japan-US tariff negotiations, the Japanese side proposed the 'Japan-US Shipbuilding Golden Age Initiative' to promote cooperation in the shipbuilding sector," and added, "It appears that work is underway within the Japanese government to further develop concrete measures."