Japan Refuses to Bow Down
On the 16th local time, when attending the summit in Canada, Japanese Prime Minister Shigeru Ishiba held a 30-minute talk with Trump regarding tariff issues, but they failed to reach an agreement.
Ishiba expressed that he hopes to protect the automobile industry as it is of great significance. However, it is difficult to say when a trade deal can be reached, and they will seek an agreement beneficial to both economies.
Considering that Japan has proactively approached the U.S. five times before, which ultimately ended in failure, both sides originally planned for communication between their leaders during the summit to lay the groundwork for the sixth round of talks. However, it now appears that reaching an agreement will be very difficult.
Even more so, the U.S. did not discuss further extension of the tariff suspension, meaning that if Japan does not compromise before July 9, it is highly likely to face additional tariffs, which would severely impact its automobile and steel industries.
At present, the U.S. not only demands Japan purchase more American energy and agricultural products but may also require some support for the U.S. military stationed in Japan, although there is significant domestic public opinion pressure in Japan.
In April 2025, the U.S. still maintained a dominant position in the trade deficit with Japan, reaching a trade surplus of $63 billion in 2024. Therefore, Japan is very anxious, as being subjected to more tariffs by the U.S. would hinder economic growth.
As an ally of the U.S., if Japan does not quickly sign an agreement, it would also be unfavorable for the implementation of tariff policies.
Source: https://www.toutiao.com/article/1835130981275664/
Disclaimer: This article solely represents the author's personal views.