Latest news with #Ishiba
Japan Times
a few seconds ago
- Politics
- Japan Times
Ishiba's fate hangs in balance after U.S. tariffs deal
With Japan and the United States striking a deal on tariffs, the fate of Prime Minister Shigeru Ishiba — who had said he intends to stay on amid ongoing negotiations — hangs in the balance. On Tuesday, U.S. President Donald Trump posted on social media that the two countries had reached a trade deal, with the 'reciprocal' tariff rate set at 15%. Voices are rising within the Liberal Democratic Party that Ishiba should step down from his post to take responsibility for Sunday's Upper House election defeat, in which the LDP-Komeito ruling camp lost a majority in the chamber. Ishiba is expected to meet with three LDP veteran lawmakers who served as prime minister before him — Taro Aso, Fumio Kishida and Yoshihide Suga — Wednesday afternoon in hopes of gaining their support. Several LDP local chapters are calling on Ishiba to step down. The party's youth bureau is expected to hold an online meeting with local chapters later Wednesday. If Ishiba resigns, a party leadership race needs to take place to elect a new president, with behind-the-scenes maneuvering likely on who would throw their hat in the ring. A new parliamentary session would be convened to select a new prime minister, but under a minority government, even the new president will have a hard time getting the necessary votes.
Economic Times
a few seconds ago
- Business
- Economic Times
Asian stocks, US futures rise on Japan trade deal
Asian shares rose at the open after President Donald Trump said the US reached a trade deal with Japan, an agreement with a key trading partner that will ease concerns about the tariff war. ADVERTISEMENT The MSCI gauge of Asian shares gained 0.7% with the Nikkei-225 in Japan jumping as much as 1.8%. The yen fluctuated after initially gaining on Trump's announcement. Contracts for the S&P 500 rose 0.2% on the deal. The US benchmark closed at a record high in the last session. A gauge of the dollar edged up 0.1% while yields on the 10-year Treasury advanced 1 basis point to 4.36%. 'We just completed a massive Deal with Japan, perhaps the largest Deal ever made,' Trump said in a Truth Social post. On Tuesday, Trump also unveiled an agreement with the Philippines setting a 19% tariff on the country's exports. The deal with Japan will see the key American ally invest $550 billion into the US and will set tariffs on Japanese imports at 15%, Trump wrote. Stocks have run up since their April slump on expectations countries will strike agreements with the US ahead of the Aug. 1 deadline, and help avoid significant damage to company earnings and the economy.'In addition to lowering tariffs on Japan from 25% to 15%, the deal removes an element of uncertainty for the market,' said Tim Waterer, chief market analyst at KCM Trade. 'This deal is good for market sentiment across Asia on expectations that others may follow.'Investors are also focused on megacap companies this week. Big tech's strength will be on full display over the next few weeks as the group begins unveiling quarterly earnings. Tesla Inc. and Alphabet Inc. are reporting Wednesday. ADVERTISEMENT The so-called Magnificent Seven companies are expected to post a combined 14% rise in second-quarter profits, while earnings for the rest of the US equity benchmark are predicted to be relatively flat, according to Bloomberg Intelligence in Japan will also be on the 40-year government bond auction on Wednesday. That will be the first test of appetite for super-long debt following a historic election defeat for Prime Minister Shigeru Ishiba. Investors remain concerned over the outlook of bonds in one of the most indebted developed nations amid expectations of higher government spending as Ishiba tries to placate disaffected voters. ADVERTISEMENT Ishiba will soon decide on his future after assessing the status of negotiations on tariffs with the US, Yomiuri reported before Trump's US Treasury Secretary Scott Bessent said he will meet his Chinese counterparts for trade talks in Stockholm next week, and will 'be working out what is likely an extension' to the current Aug. 12 deadline for negotiations. He also said that the negotiations with China can now take on a broader array of topics, potentially including Beijing's continued purchases of 'sanctioned' oil from Russia and Iran. ADVERTISEMENT Bessent told Fox Business he saw no reason for Fed Chair Jerome Powell to step down. Meanwhile, Trump stressed his belief that the Fed's benchmark rate should be 3 percentage points lower. Bessent, in the same Oval Office event, said that 'based on the way they cut rates last fall, they should be cutting rates now.' (You can now subscribe to our ETMarkets WhatsApp channel)
Mint
a few seconds ago
- Business
- Mint
Is Shigeru Ishiba mulling resignation over Donald Trump's ‘massive' trade talks? Japanese prime minister says...
Japanese Prime Minister Shigeru Ishiba has reportedly tied his political future to the outcome of tariff negotiations, even as US President Donald Trump announced that a deal had been struck with Japan. According to the Yomiuri newspaper on Wednesday, Ishiba will decide whether to remain in office once the fate of the trade talks is clear. President Donald Trump announced a long-awaited trade agreement with Japan on Tuesday night, a framework between allies and major trading partners that appeared elusive just weeks ago. In a post on Truth Social posted on Wednesday Asian hours, US President Donald Trump said he had just completed a "massive" deal with Japan that included $550 billion in investments into the United States. 'We just completed a massive Deal with Japan, perhaps the largest Deal ever made,' Trump said on Truth Social. As part of the deal, US importers will pay 15% 'reciprocal' tariffs on Japanese goods exported to the United States. Japan also will invest $550 billion dollars into the United States, the president said. Trump added that the US 'will receive 90% of the profits.' He did not specify how those investments would work or how profits would be calculated. No official term sheet has been released. 'This Deal will create Hundreds of Thousands of Jobs — There has never been anything like it. Perhaps most importantly, Japan will open their Country to Trade including Cars and Trucks, Rice and certain other Agricultural Products, and other things. Japan will pay Reciprocal Tariffs to the United States of 15%,' Trump posted. Following Donald Trump's announcement of a trade deal with Japan, Prime Minister Shigeru Ishiba expressed his readiness to meet or speak by phone with Trump after receiving a briefing on the details from Japan's top trade negotiator, Ryosei Akazawa, who is currently in Washington for trade discussions. Ishiba told reporters, "I can't say until I scrutinise the outcome of the agreement," when asked how the deal with Washington might influence his decision to resign. The Yomiuri newspaper reported that Ishiba intends to visit the United States by the end of July to hold talks with President Trump. Japan's chief negotiator Akazawa is engaged in the eighth round of talks in the US. In explaining his decision to stay on, Ishiba has stressed the need to avoid creating a political vacuum as Japan faced challenges including difficult trade negotiations with the US that would have a huge impact on the export-reliant economy. "I will stay in office and do everything in my power to chart a path toward resolving these challenges," Ishiba said in a news conference on Monday, adding that he intended to speak directly with Trump as soon as possible and deliver tangible results. Ishiba is expected to meet ruling party heavyweights later on Wednesday for discussions on the election outcome. The recent upper house elections in Japan, held on Sunday, have significantly weakened Ishiba's domestic standing. Although the prime minister has cited the trade talks as a reason for wanting to remain in office, the conclusion of an agreement with the US seems likely to pave the way for his resignation following the historic electoral defeat. Following the election loss, support for Shigeru Ishiba's administration has plunged with a major poll showing his approval rate slightly above 20%, a level that's historically been considered dangerously low for an administration to continue. Ishiba is facing growing opposition from within his Liberal Democratic Party for his vow to stay in power despite the ruling coalition's bruising defeat in Sunday's upper house election. According to Yomiuri, Ishiba told his close associates on Tuesday evening that he would explain how he would take responsibility for the election loss once a solution was reached on trade negotiations. Before Donald Trump's declaration of 15% tarrif deal with Japan, US Treasury Secretary Scott Bessent suggested the two sides may be getting closer to an agreement. The talks are 'going very well,' Bessent said on Fox Business on Tuesday, adding that a historic election loss for Ishiba 'has given them a bit of impetus to get things done over the next couple of months.' 'They've really come to the table,' Bessent said. 'I wouldn't be surprised if we are able to iron out something with Japan pretty quickly.'
France 24
a few seconds ago
- Business
- France 24
Trump announces 'massive' trade deal with Japan, 15 percent tariff on exports
President Donald Trump said Tuesday that the United States had agreed to a "massive" trade deal with Japan that would include a 15 percent tariff on its 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.
The Sun
29 minutes ago
- Business
- The Sun
Japan PM Ishiba considers resignation over US trade talks
TOKYO: Japanese Prime Minister Shigeru Ishiba is reportedly considering whether to resign following the outcome of ongoing tariff negotiations with the United States, according to a Yomiuri newspaper report. The decision hinges on progress in trade talks, with a deadline set for August 1. Ishiba faces mounting pressure from within his Liberal Democratic Party after the ruling coalition suffered a significant defeat in Sunday's upper house election. Despite calls for accountability, he has vowed to remain in office to avoid political instability during critical trade discussions. U.S. President Donald Trump announced a 'massive' trade deal with Japan, including $550 billion in U.S. investments. The agreement could influence Ishiba's decision, as he seeks to demonstrate tangible results before stepping down. The prime minister reportedly informed close associates that he would clarify his stance on taking responsibility for the election loss once trade negotiations conclude. A press conference is expected once the outcome is finalized, though no official sources confirmed the report. Ishiba has emphasized the need for stability, stating, 'I will stay in office and do everything in my power to chart a path toward resolving these challenges.' He aims to engage directly with Trump to secure favorable terms for Japan's export-driven economy. Ruling party leaders are set to meet later today to discuss the election results and Ishiba's political future. - Reuters
