President Trump on Tuesday unveiled a new trade framework with Japan, introducing a 15% tariff on Japanese imports and declaring the agreement a landmark achievement.
“This Deal will create Hundreds of Thousands of Jobs — There has never been anything like it,” Trump wrote on Truth Social. He also affirmed that the United States “will continue to always have a great relationship with the Country of Japan.”
As part of the agreement, Japan will invest $550 billion into the U.S. economy “at my direction,” Trump stated, while also committing to “open” its market to American automobiles and rice, according to the Associated Press.
The new 15% tariff marks a significant reduction from the 25% rate the president had previously proposed in a letter to Japanese Prime Minister Shigeru Ishiba.
However, key details remain unclear, including whether Japanese-built automobiles, one of Japan’s major exports to the U.S., will still be subject to the higher 25% tariff. Reuters notes that vehicles account for over a quarter of Japan’s exports to the United States.
In 2024, the U.S. recorded a $69.4 billion trade deficit in goods with Japan, according to data from the Census Bureau.
The announcement comes ahead of the broader tariff measures Trump has indicated will take effect on August 1.
Shongjog 