Japan, U.S. Agree On 15% Tariffs For Tokyo Exports

President Trump announced overnight that his administration and Japan have reached a trade agreement that includes a 15% tariff on imported goods from Japan.

The breakthrough came during a 75-minute Oval Office meeting with Japanese negotiators. I Photo: PM's Office of Japan X

As part of the deal, Japan will also invest $550 billion in the US, Jenny McCall reported for Yahoo Finance.

Trump, who made the announcement during a White House reception with members of Congress and later on Truth Social, called it the "largest trade deal in history" with Japan.

The deal follows months of tough negotiations. Japan’s Prime Minister Shigeru Ishiba had hoped to meet Trump during the G-7 summit in June, but earlier this month, Trump referred to Japan as "spoiled" and expressed doubts that a deal would happen.

The breakthrough came during a 75-minute Oval Office meeting with Japanese negotiators, Bloomberg News reported.

The deal spares Japan from a threatened 25% tariff that was set to take effect next week.

Under the agreement, automobiles and parts will be subject to the same 15% rate as Japan’s other exports. In return, Japan will accept cars and trucks built to US motor vehicle safety standards without additional local requirements — a potentially significant win for American auto manufacturers.

Prime Minister Ishiba confirmed the terms in Tokyo amid local media reports that he is considering stepping down following a poor showing for his party in recent elections.