Flag of Japan and Flag of US
US President Donald Trump announced a trade agreement with Japan that includes a 15% tariff on Japanese imports from the US, while also reducing tariffs on automobiles to the same level.
"I just signed the largest TRADE DEAL in history with Japan," Trump said on his Truth Social platform, adding that Japan will invest $550 billion in the US.
Japan will open its country to trade, including cars, trucks, rice, and some recent agricultural products, among others, explaining that the agreement will create hundreds of thousands of jobs.
Automotive exports to the US are a cornerstone of the Japanese economy, accounting for 28.3% of total shipments in 2024.
This agreement avoids the 25% tariffs Trump threatened to impose on Japanese imports, which were due to take effect next week.
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