The president of the United States, Donald Trump, has announced a “massive” commercial agreement with Japan, since China said that he will send his vice president to the US commercial conversations next week to ensure his own agreement before an imminent deadline.
In an attempt to reduce the colossal commercial deficit of his country, the president of the United States has promised to hit dozens of countries with “reciprocal” punitive tariffs if they do not highlight a pact with Washington for August 1.
Japan’s agreement, along with another pact with the Philippines, also announced on Tuesday, means that Trump has now secured five agreements since his administration promised in April “90 agreements in 90 days.” The others are with Great Britain, Vietnam and Indonesia, that the White House said that on Tuesday it would relieve critical restrictions of mineral export.
The negotiations are still ongoing with US business partners much larger China, Canada, Mexico and the European Union.
Representatives of China and the United States will meet next week in the Stockholm capital of Sweden to try to reach an agreement before a deadline of August 12 in May was agreed.
As the clock progresses, China said Wednesday that it will seek to “strengthen cooperation” with Washington in the conversations, and confirmed that Vice Premier who would attend Lifleg.
Japan treatment
“We have just completed a massive agreement with Japan, perhaps the greatest agreement ever made,” Trump wrote on his Truth social platform on Tuesday.
He said that according to the agreement, “Japan will invest, in my direction, $ 550 billion in the United States, which will receive 90% of the profits.”
He did not provide more details about the unusual investment plan, but said that “he will create hundreds of thousands of jobs.”
Japanese exports to the United States were already subject to a 10 percent rate, which would have increased to 25 percent on August 1 without an agreement.
25 percent tasks in Japanese cars, an industry that represents eight percent of Japanese works, were also in place, plus 50pc in steel and aluminum.
Japanese prime minister, Shigeru ishiba, said the car tax had been reduced to 15 percent, sending the Japanese cars that rose, with Toyota and Mitsubishi around 14 percent each. The Nikkei Rose 3.5pc.
“We are the first (country) in the world to reduce tariffs in cars and auto parts, without limits in volume,” he told reporters.
“By protecting what should be protected, we continue negotiations with the aim of reaching an agreement that meets the national interest of Japan and the United States,” Istiba added.
Rice imports
However, Japan Ryosei Akazawa’s commercial envoy, who assured the agreement on his eighth visit to Washington, said that 50 % tariffs on steel and aluminum would remain.
Akazawa also said that Japan’s greatest defense expense, something for what Trump has pressed, was not part of the agreement.
Trump said Japan also agreed to “open his country to commerce, including cars and trucks, rice and certain other agricultural products, and other things.”
Rice imports are a delicate problem in Japan, and the Government of Ishiba, which lost its majority of the house in Sunday’s elections, had previously ruled out any concession.
Currently, Japan imports 770,000 tons of rice tariffs without rates under its commitments of the World Trade Organization, and ishiba said that it would matter more of the United States. UU. Within this.
Ishiba said Wednesday that the agreement does not “sacrifice” the agricultural sector of Japan.
Tatsuo Yasunaga, president of the Foreign Trade Council of Japan, welcomed the announcement of the commercial agreement, but said that the business community needed to see details to evaluate its impact.
“The fact that this important milestone has achieved and dissipated the uncertainty that private companies had worried,” said Yasunaga.
Naomi Omura, an 80 -year -old voter, said it was “disappointing that Japan cannot act more strongly” towards the United States.
Tetsuo Momiyama, 81, said that ishiba “is finished … It’s a good time for him to leave.” The reports stated on Wednesday that their goal is to give up soon after the electoral debacle.
Eyes in the prize
Other important commercial partners of the United States are closely observing as the end of the month is approaching.
The Philippines agreement also announced on Tuesday that it only saw levies cut at a percentage point, to 19 percent, after Trump received President Ferdinand Marcos. China said Wednesday that he supported the “equal dialogue” after the announcement of the agreement with Japan-United States.
Beijing and Washington imposed intense bumps of Teta by eye on each other’s exports at the beginning of this year, reaching triple digits levels.
But in the conversations in Geneva in May, they agreed to reduce them temporarily until August 12.
