Trump announces 'massive' trade deal with Japan, 15 percent tariff on exports
The two countries have been locked in negotiations for months since Trump launched his global trade offensive, with levies targeting steel and automobiles -- both important Japanese exports -- seen as particular sticking points.
Trump had previously threatened Japan, a major US trading partner, with a tariff of 25 percent beginning August 1 if a deal was not reached.
"We just completed a massive Deal with Japan, perhaps the largest Deal ever made," Trump announced on his Truth Social platform.
He said that under the deal, "Japan will invest, at my direction, $550 Billion Dollars into the United States, which will receive 90% of the Profits."
He did not provide further details on the unusual investment plan, but claimed the deal "will create Hundreds of Thousands of Jobs."
Japanese Prime Minister Shigeru Ishiba said that he needed to examine the deal before commenting.
"As for what to make of the outcome of the negotiations, I am not able to discuss it until after we carefully examine the details of the negotiations and the agreement," Ishiba told reporters in Tokyo after Trump's announcement in Washington.
Rice imports?
Japan has agreed to "open their Country to Trade including Cars and Trucks, Rice and certain other Agricultural Products, and other things," Trump said.
Rice imports are a sensitive issue in Japan, and Ishiba's government had previously ruled out any concessions on the topic.
Japan's Nikkei index bounced over one percent on news of the deal, with Japanese auto stocks rising six percent.
The deal comes after Ishiba faced a bruising weekend election that left his coalition without a majority in the upper house.
Trump has been under pressure to wrap up trade pacts after promising a flurry of deals ahead of his August 1 tariff deadline.
Earlier on Tuesday, he announced a deal had been reached with the Philippines which would see the country face 19 percent tariffs on its exports.
The White House also laid out details of a deal with Indonesia, which would see it ease critical mineral export restrictions and also face a 19 percent tariff.
Similar agreements have been struck with the United Kingdom and Vietnam, while negotiations are ongoing with the top three largest US trading partners, China, Canada and Mexico.
After an escalatory tit-for-tat with Beijing, the two major economies agreed to a temporary lowering of tariffs, with another round of negotiations expected next week in Stockholm.
Since returning to the White House in January, Trump has imposed a sweeping 10 percent tariff on allies and competitors alike, alongside steeper levels on steel, aluminum and autos.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
France 24
8 minutes ago
- France 24
‘Japanese First': The deep roots of the rising far right
Japan's centre-right Liberal Democratic Party (LDP), which has governed the country almost without interruption since the end of World War II, lost its majority in the country's upper house over the weekend. Prime Minister Shigeru Ishiba seems determined to remain in office despite calls from both party and public for his resignation. At this point, it's not clear that he can. More surprising than the party's loss of support, though, is where those votes went. Rather than benefitting the established opposition, the LDP instead found itself losing ground to more strident right-wing groups, including the far-right Sanseito party, which seized a record 14 seats. Explicitly inspired by far-right political forces in the US and Europe including US President Donald Trump's MAGA movement, Alternative for Germany and France's National Rally, the 'Japanese First' group has championed severely restricting the number of migrants in Japan – to be capped at 5 percent of the native-born population in each municipality – tightening the rules around naturalisation, encouraging women to leave the workplace to become stay-at-home mothers and preventing any recognition of the female Imperial Line. 02:34 Launched on YouTube in the early days of the Covid-19 pandemic, Sanseito gained its first followers with a barrage of videos opposing public health measures put in place by the government to stem the virus's spread, including mask mandates, vaccine requirements and PCR testing. As its audience grew, free videos giving viewers health and well-being advice increasingly gave way to members-only content preaching a global conspiracy by liberal elites to corrode Japan's moral and cultural strength. The group won its first upper house seat in 2022, with 56-year-old leader Sohei Kamiya – a former supermarket manager and reservist in Japan's military Self-Defence Forces – publishing a pamphlet during the campaign claiming that 'international financial capital affiliated with Jews' were pushing for mask mandates to 'incite exaggerated fears of the coronavirus pandemic'. At the heart of this narrative was what the growing ranks of Sanseito cadres called a 'silent invasion' of foreigners, buying up the nation's infrastructure, growing fat on stolen welfare, raising crime rates and dragging down wages for native-born workers. For those who have watched the rise of far-right nativist groups across the world, it's a familiar tale – albeit one that feels somewhat out of place in Japan, a country where immigrants make up just 3 percent of the country's shrinking population. Japan's government loses upper house majority 04:14 Although immigration remains meagre compared to other developed countries, Akira Igarashi, an assistant professor at Osaka University's Faculty of Human Sciences who researches policy and social attitudes towards migrants, said the number of people moving to Japan had risen sharply in the decades since 1989, when the country uneasily opened its borders to migrant labour. 'Nowadays it's almost 3 percent out of the total population, while about 10 years ago, it was more like 1.5 or 1.6," he said. Having long relied on its vast rural workforce and mass-mechanisation of heavy industry, Japan began in the 1980s to attract more and more migrant workers from across Asia and the Japanese diaspora in Latin America. These workers were largely drawn to the country's small- and medium-scale manufacturers and service industries, meeting a demand that has only grown more acute as Japan's population ages and its birthrates drop. Paired with Japan's long-stagnant economy, the weakening yen has led to a sense of economic decline compounded with a global cost-of-living crisis that has hit the nation hard. 'The combination – economic decline and the drastic increase in the migrant population – makes a political opportunity for the anti-migrant party, the radical Sanseito party,' Igarashi said. He said that Sanseito and similar right-wing populist parties in Japan had consciously adopted the rhetoric adopted by far-right forces in the US and Western Europe. 'I think they studied quite a lot of the case of the US and European societies,' Igarashi said. 'They evoke the threat from migrants – although of course, it's not there – but they evoke and they agitate the threat of migrants.' For example, he said these groups falsely claim that immigrants have increased the crime rate or are given preferential access to welfare benefits, or that 'Japanese society and the country's economic situation has declined' because of them. Blaming immigrants 'sounds very convincing' in a social environment such as Japan's, which he noted is a 'relatively ethnically and culturally homogeneous country'. 05:52 But although Sanseito's self-consciously MAGA-style rhetoric may have the ring of a foreign import, Japan is no stranger to more home-grown ultranationalist movements. Karin Narita, a research associate in Japanese politics and international relations at the University of Sheffield, said that the right wing of the LDP had long harboured figures with revisionist views of Imperial Japan's own legacy of racial supremacy. 'There's a real turn in the early 1990s, where there's a re-emergence [of] much more culturalist exclusionary, nationalist politicians – like former prime minister [Shinzo] Abe and his supporters, who would have had much more kind of anti-Asian sentiment at an ideological level,' she said. 'So there was a lot of support around nationalist educational movements, a lot of issues around voting rights for non-citizen special residents – who are primarily post-colonial Korean and Chinese communities that are in Japan because of the legacy of World War II and imperialism.' Japan is home to hundreds of thousands of ethnic Korean and Chinese people whose families arrived in the country as colonial subjects before and during World War II. Many of whom still lack legal citizenship despite having lived in the country for generations. In the last two to three decades, Narita said, there has been 'a lot of shifting within the conservative party that accommodates much more reactionary ideological sentiments'. Abe was, like many LDP members, part of the ultranationalist Nippon Kaigi group, accused of lobbying for negationist policies aimed at rehabilitating the legacy of fascist Imperial Japan. While prime minister, Abe publicly and repeatedly denied state involvement in the systematic sexual enslavement of Korean and Chinese women – known as 'comfort women' – during Imperial Japan's expansionist campaigns across Asia. The premier also downplayed Japanese atrocities in the Chinese city of Nanjing, visited a memorial shrine that included tributes to war criminals and tried to revise Japan's pacifist post-war constitution to allow the country to launch offensive military actions abroad. Igarashi said that the LDP had also helped promote anti-migrant sentiment through its efforts to head off Sanseito's assault on its right flank. 'On one hand, the LDP became more anti-migrant during the election campaign – I think this is quite similar to the US and European society – because the radical right Sanseito party made the migrant issue more central in Japanese society,' he said. 'And the LDP and the other parties tried to catch up on that issue – and the LDP especially, because they are more conservative.' 'They tried to establish a new institution to observe migrants, their lives and behaviours, and they called migrants illegal,' he said. 'So they became more anti-migrant during the election campaign, and evoked the threat to Japanese citizens even more.' Kamiya has roundly rejected the idea that his party is xenophobic. 'There is a real, very acute understanding, broadly speaking, that with the aging population there is a real, pragmatic economic need for a source of labour,' Narita said. 'And so in many ways, this sort of anti-foreign sentiment hasn't necessarily been as politicised to the same extent towards migrant communities who are very clearly filling that economic need. It's more subtle in the sense that what is being fostered … isn't necessarily about an overtly racist rhetoric as much as it's about a necessity of protecting Japanese culture.' But scratch the surface, she said, and it becomes clear that the party's vision of Japanese society remains rooted in racialised ideals of blood and belonging. In one of Sanseito's proposed policies, she said, the party would explicitly prohibit foreigners from having voting or civic rights, and it would not allow naturalised citizens to be able to hold public office until they had been naturalised for three generations. 'So, on one hand, in public discourse there's a lot of dancing around the issue … it's about 'Japaneseness' and Japanese sentiment,' she said. 'But if you really get down to what the upshot is public policy-wise, what they would do – it's this incredibly racialised, hierarchical understanding of Japaneseness.'
France 24
37 minutes ago
- France 24
Trump admin unveils AI strategy to maintain US dominance
The 25-page "America's AI Action Plan" outlines three aims: accelerating innovation, building infrastructure, and leading internationally on AI. Overall, the administration frames AI advancement as critical to maintaining economic and military supremacy. Environmental consequences in the planning document are sidelined. "We believe we're in an AI we want the United States to win that race," said the White House's AI point person David Sacks in a call with reporters. Trump was expected to formally announce the plan at an event later Wednesday and sign a series of executive orders to give key components of the strategy additional legal weight. In its collection of more than 90 government proposals, the plan calls for sweeping deregulation, with the administration promising to "remove red tape and onerous regulation" that could hinder private sector AI development. Much of that work has already been carried out through a Trump executive order repealing the AI policies of the Biden administration. The plan also asked the Federal Communications Commission to find ways to legally stop US states from implementing their own AI regulations and threatened to rescind federal aid to states that did so. The American Civil Liberties Union warned this would thwart "initiatives to uphold civil rights and shield communities from biased AI systems in areas like employment, education, health care, and policing." The Trump action plan also calls for AI systems to be "free from ideological bias" and designed to pursue objective truth rather than what the administration calls "social engineering agendas." This criterion would apply to AI companies wanting to do business with the US government. A senior White House official said the main target was AI models that gave attention to diversity and inclusion concerns in programming their model output -- reflecting the Trump administration's anti-"woke" agenda. A major focus in the plan involves building AI infrastructure, including streamlined permitting for data centers and energy facilities that would overlook environmental concerns to build as swiftly as possible. AI "challenges America to build vastly greater energy generation than we have today," the plan said. The administration, which largely rejects international science showing a growing climate crisis, proposes creating new environmental review exemptions for data center construction and expanding access to federal lands for AI infrastructure development. Job replacement Addressing fears that AI will replace humans and create mass job losses across entire sectors, the administration's plan says instead that "AI will improve the lives of Americans by complementing their work -- not replacing it." The strategy calls for efforts to "counter Chinese influence in international governance bodies" and strengthen export controls on advanced AI computing technology. The plan also proposes evaluating Chinese AI models "for alignment with Chinese Communist Party talking points and censorship." At the same time, the strategy calls on the government to champion US technology in conquering overseas markets. These plans will help "ensure America sets the technological gold standard worldwide, and that the world continues to run on American technology," US Secretary of State Marco Rubio said in a statement. Critics of the plan said the policies were a gift to US tech giants that were scaling back their goals for zero carbon emissions in order to meet the acute computing needs for AI.
France 24
an hour ago
- France 24
Champagne makers cut harvest as global outlook fizzles out
The marketable yield limit for the 2025 harvest has been set at 9,000 kilos per hectare, down from 10,000 kilos per hectare last year, the Comite Champagne said. The new target, one of the lowest in years, comes after US President Donald Trump threatened to slap tariffs on French wine and spirits. "Thanks to generally mild weather conditions, the vines have benefited from an environment conducive to their development," the Comite Champagne said in a statement. However, "geopolitical and economic instability, combined with increasingly volatile consumer behaviour, makes forecasts more complex." Although champagne sales "are relatively stable," the economic uncertainty "is prompting the industry to exercise caution", said the association, which represents 16,000 winegrowers and 350 champagne houses. In 2024, the marketable yield was set at 10,000 kilos per hectare to take into account declining sales, down from 11,400 kilos per hectare in 2023. During a meeting to prepare for the harvest in mid-July, local prefect Henri Prevost indicated that around 120,000 people were expected to take part in the grape harvest in the Champagne wine region in the northeast of France. The harvest is expected to begin between August 20 and August 25. On Monday, a French court jailed three people for human trafficking in the champagne industry, exploiting seasonal workers and housing them in appalling conditions. The Champagne region is under tough scrutiny, with another inquiry looking into the use of Ukrainians during the same 2023 harvest, which was marked by exceptional heat and the death of four grape pickers. "We saw contractors who sometimes recruited grape pickers at the last minute, and organisations that were set up and disappeared very quickly," Prevost said. "Today, a lot of work has been done to structure this profession and ensure that working conditions and standards are respected." © 2025 AFP
