Trump threatens Japan with up to 35% tariff ahead of deadline

By AFP

Trump threatens Japan with up to 35% tariff ahead of deadline

WASHINGTON: US President Donald Trump said Tuesday a trade deal with Japan was unlikely before the July 9 deadline, threatening to raise tariffs on Japanese imports to 30 or 35 percent.

Speaking to reporters aboard Air Force One, Trump criticized Japan鈥檚 reluctance to accept imports of US rice, as well as the imbalance in auto trade between the two countries.

鈥淚鈥檓 not sure we鈥檙e going to make a deal,鈥 Trump said. 鈥淚 doubt it with Japan, they鈥檙e very tough.鈥

While Trump imposed a sweeping 10 percent tariff on imports from most trading partners in April, he unveiled 鈥 then paused 鈥 higher rates on dozens of economies to allow room for negotiations.

This pause expires July 9, meaning the elevated rates are due to kick in next week if countries fail to reach agreements with Washington to avert them.

To date, only two pacts have been announced. One was a broad framework with Britain and the other a deal to temporarily lower steep tit-for-tat duties with China.

Trump said he was going to write a letter to Japan, asking them to 鈥減ay a 30 percent, 35 percent or whatever the number is that we determine鈥 because of the 鈥渂ig trade deficit鈥 with Tokyo.

鈥淚t鈥檚 very unfair to the American people,鈥 he said.

Japan, a key US ally and its biggest investor, is subject to the same 10 percent baseline tariffs imposed on most nations plus steeper levies on cars, steel and aluminium.

Ryosei Akazawa, Tokyo鈥檚 trade envoy, told Japanese reporters in Washington last month that some progress had been made during a fifth round of talks with the United States.

However, he added: 鈥淲e鈥檝e not been able to find a point of agreement yet鈥.

Read More…