Japan, US Dispute Details of Auto Tariff Deal

Japan and the United States have reached a last-minute trade agreement to reduce tariffs on Japanese car and auto part imports, though the absence of a signed joint text and ambiguity over the implementation timeline have sparked criticism within Japan. Japan’s chief negotiator, Ryosei Akazawa, has traveled to Washington to press for the prompt enactment of the tariff cuts, but differences remain between the Japanese and U.S. interpretations, particularly regarding whether additional duties will apply to already heavily taxed items. U.S. customs guidance and executive orders have not addressed certain Japanese-specific exemptions, adding to the uncertainty. American automakers and labor unions argue that the new 15% tariff is insufficient to protect U.S. jobs or deter production shifts abroad. Both countries are working to clarify and implement the agreement, but doubts persist about its ultimate benefits for workers and industries on both sides. The lack of a formal written accord continues to fuel concerns about the deal’s enforceability.