Shinzo Abe Issues 'Strongest Warning Yet' on Trump Tariffs
According to a report by Reuters on April 14 local time, Japanese Prime Minister Shinzo Abe said on the same day that the tariff policy of the US government might disrupt the global economic order. The report said this was "the strongest warning so far" issued by Shinzo Abe against President Trump's possible damage to the world economy.
Shinzo Abe said on April 14 in the parliament, "We need to understand the logic and emotional factors behind Trump's arguments when negotiating with the United States."
"I am fully aware that what has happened so far may disrupt the global economic order," Shinzo Abe emphasized at the same time that Japan will seek common ground with the United States on how the two countries can cooperate on issues such as trade and national security.
Reuters said that these remarks were made by Shinzo Abe before the expected bilateral trade negotiations between Japan and the United States, which are scheduled for April 17. It is expected that the topics of the negotiation will include tariffs, non-tariff barriers, and exchange rates.
According to Kyodo News Agency, Shinzo Abe also expressed on the same day that he did not agree with the practice of constantly compromising and quickly reaching an agreement in the negotiations with the United States. He proposed avoiding hasty conclusions.
Regarding whether to adopt retaliatory tariffs against the United States, Shinzo Abe held a negative attitude: "Under the situation where food and energy prices are high, I do not think that adopting retaliatory tariffs serves the interests of Japan and its people."
Akira Kato, Japan's Minister of Economic Revitalization, who is the chief representative of Japan in the trade talks with the United States, said that any discussion about exchange rates would take place between Japan's Finance Minister Taro Aso and the U.S. Treasury Secretary Janet Yellen.
Taro Aso made the same statement on the same day in the Japanese parliament, saying, "Both sides believe that excessive fluctuations in the market will have an adverse effect on the economy."
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On April 14, Tokyo, Japan, Japanese Prime Minister Shinzo Abe answered questions at the House of Representatives Budget Committee meeting. Visual China.
After Trump proposed the so-called "reciprocal tariff" on April 2, he suddenly announced on April 9 that most countries would be exempted from it for 90 days, during which only 10% of the so-called "benchmark tariff" would be retained.
Japan is seeking exemption from the "reciprocal tariff", while the United States wants Japan to make concessions in agriculture and liquefied natural gas.
As a historically close ally of the United States, Japan has been hit by a 24% "reciprocal tariff" rate, far exceeding market expectations, and the automotive industry, which is the cornerstone of its economy, faces a 25% punitive tariff.
A U.S. media reported that one of the core reasons for Trump's decision to suspend the "reciprocal tariff" was the internal concern within the U.S. Treasury Department over the massive selling of U.S. Treasury bonds. The rumors of Japan selling U.S. bonds especially attracted attention.
Takeshi Onodera, chairman of the Policy Research Council of the Liberal Democratic Party, Japan's ruling party, previously said that during the upcoming Japan-U.S. negotiations, Japan will not consider using its holdings of U.S. Treasury bonds as a negotiating tool against U.S. tariffs.
Takeshi Onodera said, "As allies, we will not intentionally use our holdings of U.S. public debt to cause market chaos, which is certainly not a good idea."
Some officials privately expected that the U.S. side might request Japan to intervene in the yen exchange rate during the negotiations. According to sources from Reuters, the pace of gradual interest rate hikes by the Bank of Japan from ultra-low levels might also be criticized by the U.S. side.
This article is an exclusive contribution from Observer Network and cannot be reprinted without permission.
Original source: https://www.toutiao.com/article/7493063795707740682/
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