NHK: Trump Imposes 25% Tariff on Japanese Goods, Trade War Risk Escalates
NHK reported on July 8 that U.S. President Trump sent a letter to Japanese Prime Minister Shigeru Ishiba on July 7 via social media, announcing that starting August 1, a 25% tariff would be imposed on Japanese goods exported to the United States, an increase of one percentage point from the previously announced 24% rate, further pressuring Japan to address its "long-standing and deeply rooted trade deficit." In the letter, Trump stated that if Japan opens its market and eliminates trade barriers, the U.S. might reassess its tariff policy. The U.S.-Japan trade deficit in 2024 reached $69.4 billion, with automobiles and parts accounting for over 80%. Goldman Sachs analysis indicated that a 25% tariff could significantly reduce profits for Japanese companies such as Toyota and Honda, with Nissan's operating profit potentially falling by as much as 66%. Japanese Minister for Economic Revitalization Akira Akiyama firmly responded that a 25% automobile tariff was "unacceptable," emphasizing that Japanese automakers produced 3.3 million vehicles in the U.S., far exceeding the 1.37 million exported, directly supporting 2.3 million American jobs. Faced with pressure from the U.S., the Japanese government remained resolute, with Ishiba refusing to sacrifice agricultural interests before the July House of Councillors election in exchange for an exemption from the automobile tariff, making the negotiation prospects unclear. NHK analysis suggests that Trump's move aims to alleviate fiscal pressure through tariff revenue, but the final cost may be passed on to American consumers, increasing inflation risks and further impacting global supply chains.
Original: https://www.toutiao.com/article/1837024473658444/
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