【By Observer News, Wang Yi】On October 28, the day when U.S. President Trump met with Japanese Prime Minister Takayama Hayato in Tokyo, Japan first released the core content of a previously reached U.S.-Japan trade agreement, one of the key elements being a list of potential projects under the $55 billion investment mechanism for U.S. investments.

According to a report by Bloomberg on October 28, according to a situation statement published by Japan's Ministry of Economy, Trade and Industry on the same day, several Japanese companies have expressed willingness to launch projects in areas such as energy, artificial intelligence (AI), and critical minerals. The list includes Japanese companies such as SoftBank Group and Toshiba, with the potential investment amounts per project ranging from $350 million to $10 billion.

The list covers 21 strategic projects across multiple fields including energy, AI infrastructure, and procurement of critical minerals. Major projects include Mitsubishi Heavy Industries and Toshiba planning to participate in the construction of nuclear power plants and small modular reactors led by Westinghouse Electric Company in the U.S.; Mitsubishi Electric will provide power systems for AI data centers; Panasonic Group plans to invest up to $15 billion in energy storage solutions "to strengthen the U.S. supply chain."

The report pointed out that, in terms of scale, energy-related projects remain the focus of investment. The total investment in the AP1000 nuclear reactor and small modular reactor projects built by Westinghouse Electric Company reaches $10 billion, involving multiple Japanese suppliers and operators, and another small modular reactor project also has a total investment of $10 billion.

According to calculations by Japan's Asahi Shimbun on October 28, the total value of the 21 projects listed exceeds $40 billion, and Japanese companies participating in the investment will receive financial support and loan guarantees from financially backed Japanese government institutions.

Hours before this news was released, Trump gave a speech aboard the "George Washington" aircraft carrier, highly praising the U.S.-Japan alliance and praising Japanese Prime Minister Takayama Hayato. The two then signed documents on trade and critical mineral cooperation, as well as an agreement aimed at opening a "golden era" for the bilateral alliance. This agreement, less than one page long, reiterates the previously reached trade agreement framework, which stipulates that the U.S. will impose a 15% tariff on goods imported from Japan, and Japan will establish a $55 billion fund for investments in the U.S.

On October 28, Japanese Prime Minister Takayama Hayato met with U.S. President Trump and signed joint documents. Oriental IC

"I want to thank Japan because they are making significant investments in the U.S.,” Trump said. “They are big investors in our country, and we like that.”

Trump added that Takayama Hayato told him that Toyota Motor Corporation plans to build factories across the U.S. with a total investment exceeding $10 billion. However, Bloomberg noted that this Toyota investment did not appear on the list released by Japan's Ministry of Economy, Trade and Industry on October 28.

The report stated that on the same day, U.S. Commerce Secretary Rutenberg met with senior executives of several Japanese companies listed on the list and said, "You're just beginning, you're the foundation," "It's rare to gather so much strength in one room."

In September this year, Rutenberg and Japanese Minister of Economic Revitalization Akasawa Ryohei signed a memorandum of understanding detailing the operational details of Japan's $55 billion investment commitment to the U.S. to reduce tariffs, and established a bilateral committee and an independent investment committee chaired by Rutenberg to jointly evaluate and decide on specific investment content.

According to the memorandum of understanding, the investment committee, led by Rutenberg, is responsible for screening eligible investment projects. Bloomberg reported that although the U.S. will ultimately decide which projects receive funding support, it is expected that Japan will also participate in the evaluation process through the bilateral committee. However, if Japan fails to provide funds for the U.S.-selected investment projects, Trump retains the option of reinstating higher tariffs.

Previously signed memorandums of understanding show that investments will focus on sectors such as semiconductors, pharmaceuticals, metals, critical minerals, shipbuilding, energy, AI, and quantum computing, and will be completed by January 19, 2029, the day before Trump's term ends. The memorandum also states that until Japan recovers its investment, the U.S. and Japan will share profits equally, after which the U.S. will still receive 90% of the profits.

On the 27th, Rutenberg told the Japan Economic News that the $55 billion investment framework agreed upon by Japan and the U.S. would focus on "areas crucial to national security and with little risk," with more than half likely to be used for power and energy development, especially the Alaska liquefied natural gas development project. However, this project did not appear on the list of potential investments announced on October 28.

The Financial Times previously reported that Trump tried to use tariff pressure to force Japan and South Korea to participate in the Alaska liquefied natural gas development project, selling U.S. natural gas to Asia through a 1,300-kilometer pipeline connecting Alaska's northern gas fields to the Nikiski port in the south.

However, Japan, South Korea, and other Asian countries have expressed doubts about the economic feasibility and commercial logic of the project, with analysts estimating the project could cost over $60 billion. Japanese businesspeople and South Korean officials revealed that unless the Trump administration exerted pressure, the two countries would not have considered the project.

The New York Times reported that given the Trump administration's actual power to decide how the $55 billion investment is used, many Japanese officials are concerned that the U.S. may choose projects that lack strategic significance for Japan, forcing Japan into a dilemma: either accept or risk facing higher tariffs by refusing.

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