WASHINGTON ― President Donald Trump says his administration has secured a long-sought trade deal with Japan that includes lowering the steep U.S. tariff the country faced under a looming Aug. 1 deadline.
Trump said the U.S. will impose a 15% tariff on Japanese imports under the agreement, which he hailed as “a massive deal” in a July 22 post on Truth Social. Trump previously threatened a 24% tariff on Japan beginning Aug. 1, when higher tariffs for countries across the world are set to go into effect.
“I just signed the largest trade deal in history ‒ I think maybe the largest deal in history ‒ with Japan,” Trump said Tuesday night during a White House reception with Republican lawmakers.
More: Trump announces trade deal with Philippines and 19% tariff
Japan is the fourth largest trading partner of the U.S. behind Canada, Mexico and China.
Trump did not disclose the full details of the deal but said Japan would “invest $550 Billion Dollars into the United States,” with the U.S. receiving 90% of the profits. He said Japan has also agreed to open its country to trade on products that include vehicles, rice and other agricultural products
“This is a very exciting time for the United States of America, and especially for the fact that we will continue to always have a great relationship with the Country of Japan,” Trump said.
Trump officials had suggested being close to a deal with Japan ever since the president in April postponed sweeping reciprocal tariffs on goods from most countries.
More: ‘No extensions will be granted’: Trump vows new tariff deadline is a firm one
Since the April delay, the Trump administration has imposed a lower 10% universal tariff on goods from most countries including Japan. But Trump has set an Aug. 1 deadline for the higher tariff rates on some 170 countries to kick in.
Speaking early on Wednesday in Tokyo, Japanese Prime Minister Shigeru Ishiba said he had received an initial report from his trade negotiator in Washington but declined to comment on the specifics of the negotiation.
Trump’s Japan announcement came after the president earlier in the day touted a new trade deal with the Philippines that coincided with the country’s president, Ferdinand Marcos, visiting the White House. Trump’s three other trade deals are with the United Kingdom, Vietnam and Indonesia.
Contributing: Reuters
Reach Joey Garrison on X @joeygarrison.
This article originally appeared on USA TODAY: Trump reaches trade deal with Japan that includes 15% tariff
