Negotiations between Japan and the United States to reduce import tariffs on Japanese vehicles have entered their final stages, according to a Japanese government source. Following an executive order from the US President, the reduction is expected to be implemented within ten to fourteen days. The current 27.5 percent tariff is proposed to be lowered to 15 percent, potentially taking effect by the end of the month. However, the exact date remains under discussion and requires approval from President Trump. Washington has yet to issue an official statement on the matter.
This move is seen as part of efforts to strengthen trade relations between the two countries and to enhance the competitiveness of Japanese vehicles in the US market. In recent years, the US increased import tariffs to support its domestic manufacturers, which led to higher prices for Japanese cars and a greater financial burden on consumers. The new agreement could result in lower vehicle prices and increased trade cooperation. While this development is viewed positively, a backlash from US domestic manufacturers is anticipated, as tariff reductions may affect their competitiveness. Additionally, global trade conditions and the political relationship between the two nations will influence the agreement’s success. The US Embassy has not commented on the issue, but analysts believe this step could pave the way for future trade agreements. Tariff rates in the global automobile trade remain a sensitive issue, and such agreements can have significant economic impacts on both countries.
Source: binance
