Bloomberg reported that Japan’s authorities have begun negotiations with Washington. Japan aims to clarify the details of the retaliatory tariffs introduced by US President Donald Trump.
According to a statement from the Ministry of Trade of Japan, Tokyo started discussions with the White House on this issue after Trump instructed his administration to consider the possibility of imposing retaliatory tariffs.
The White House officials said that the president singled out Japan and South Korea as the countries that, in his opinion, "take advantage of their relationship with the US." However, Japan’s authorities are concerned about the negative consequences for the national economy in case new tariffs come into force. In the meantime, the latest macroeconomic data reveals that Japan’s economy contracted in 2024. Experts believe it cannot withstand another blow. Further problems may exacerbate the current malaise.
Japan’s Ministry of Trade reckons that it is necessary to clarify the specifics and obtain information about Washington’s stance on retaliatory tariffs as soon as possible. Nowadays, Japan's tariff rate is higher than America's, which means Trump might target Tokyo.
Japan's average tariff rate on all imports from the US will be 3.2% in 2025. Meanwhile, the US charges 1.4% on Japanese imports. Experts believe it would be more reasonable for the US to assure Tokyo that it will trim its import tariffs rather than implement tariff hikes.
