US and Japan to discuss bilateral trade relations

The United States and Japan will meet today to discuss bilateral trade relations.

Japanese Economic Revitalization Minister Ryosei Akazawa will visit Washington, DC until Sunday to discuss tariffs. Japan is currently subject to 10 percent tariffs but may be subject to 24 percent tariffs if the two countries are unable to reach an agreement before the end of the 90-day reprieve in July. The US and Japan have met repeatedly to negotiate a trade agreement—most recently on Wednesday when Secretary of the Treasury Scott Bessent met with Finance Minister Katsunobu Kato in Canada.

Japan is just one of the many countries seeking to hold talks with the US and reach a trade deal that includes a reduction of tariffs. The United Kingdom was the first country to successfully reach such a deal with the United States, reducing tariffs to the base level of 10 percent. Tokyo will likely try to work out a similar agreement with the US. Japan has condemned President Trump’s reciprocal tariffs but has remained committed to reaching a deal. Any deal will require concessions from both sides. The US will have to offer relief on tariffs on Japan’s automotive industry, while Japan will have to be content with tariffs remaining in place, albeit at a lower rate. With Japan likely to see this concession as a necessary step to an agreement, the prospects for a deal depend on the Trump Administration’s willingness to offer relief to Japan’s auto industry.