Japan’s economy minister, Ryosei Akazawa, has made it clear that any trade deal with the United States hinges on the removal of all tariffs. His stance is firm. Without concessions on auto tariffs and reciprocal duties, Japan will not move forward with an agreement. The negotiations have reached a critical stage, with both sides preparing for another round of talks ahead of the G7 summit.
The stakes are high. Japan faces a 24 percent tariff rate starting in July unless a deal is reached. The auto industry, a cornerstone of Japan’s economy, is particularly vulnerable. Washington’s 25 percent tariff on automobiles threatens to disrupt trade and weaken Japan’s manufacturing sector. Akazawa has emphasized that these tariffs are unacceptable and must be eliminated.
Japan is not backing down. Officials have stressed that they will not rush into an agreement that fails to protect their economic interests. The government is pushing for a comprehensive review of all tariffs, including those on steel, aluminum, and auto parts. The goal is clear—secure fair trade terms that benefit Japanese industries.
The negotiations have been intense. Akazawa met with U.S. Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick for 130 minutes in Washington. Discussions covered trade expansion, non-tariff barriers, and economic security. Japan is also leveraging its role in semiconductor supply chains and rare earths to strengthen its position.
Sources:
https://japannews.yomiuri.co.jp/politics/politics-government/20250524-256139/