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Trump indicates Japan 'very rapidly' softening stance in tariff talks

Monday, July 14


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U.S. President Donald Trump on Sunday claimed Japan and other major trading partners are changing their approach to tariff negotiations"very, very rapidly," indicating he believes there may soon be progress toward agreements.

Trump made the claim while speaking about the current status of the administration's trade negotiations, singling out Japan and the European Union.

He also restated his accusation that Japan has been reluctant to import American cars and agricultural products.

"The European Union is talking to us. They want to open up their country. I would say Japan (is), to a much lesser extent, in terms of opening up their country," Trump told reporters upon arrival at Joint Base Andrews on the outskirts of Washington.

"Japan, as you know...we're very close to Japan, but they sell us millions and millions of cars a year. We sell them no cars because they won't accept our cars, and they won't accept much of our agriculture either," he said."But they're all changing their ways very, very rapidly."

Last week, he unilaterally informed a number of U.S. trade partners of new tariff rates, sending letters to each. For Japan, he said a 25 percent tariff -- up from the 24 percent he unveiled in early April -- will be applied starting Aug 1.

The country-specific rate under his so-called reciprocal tariffs is separate from sector-based duties, such as those targeting foreign automotive and steel industries, that have already gone into effect.

While meeting the press at the air base, Trump boasted that the United States collected more than $25 billion in tariff revenue last month, saying,"Our country is making a lot of money."

Trump said his administration's new auto, steel, and aluminum tariffs have largely contributed to a sharp increase in revenue, and that it is just the beginning, given that country-specific tariffs are still on hold during bilateral negotiations.

He did not elaborate further on Japan or the European Union, which he said Saturday would face a 30 percent tariff, up from his initial plan of 20 percent, starting Aug 1. He also touched on South Korea, saying it wants to"make a deal other than tariffs...to make a difference."

He posted a signed letter addressed to Japanese Prime Minister Shigeru Ishiba on social media last Monday, two days before a 90-day pause on country-specific tariffs was set to expire.

The letter came after tariff negotiations between Japan and the United States stalled over the auto tariff, which Trump raised by 25 percentage points to 27.5 percent in April.

Despite Japan's opposition, the Trump administration has shown no sign of willingness to change the new rate.

Japan imposes no tariffs on imported cars, trucks or buses. Government officials and auto experts have long said the unpopularity of American vehicles has little to do with trade policy, citing the fact that European brands sell well in the country.

© KYODO

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