Latest news with #Japanese
The Star
7 minutes ago
- Business
- The Star
Reaction to U.S. trade deal with Japan
FILE PHOTO: Containers on a cargo ship are pictured at an industrial port in Tokyo, Japan, July 2, 2025. REUTERS/Kim Kyung-Hoon/File Photo (Reuters) -President Donald Trump on Tuesday said the U.S. and Japan had struck a trade deal that includes a 15% tariff that will be levied on U.S. imports from the country. In a post on Truth Social, Trump said the deal would include $550 billion of Japanese investments in the United States. COMMENTS HIROFUMI SUZUKI, CHIEF CURRENCY STRATEGIST, SMBC, TOKYO: "This is good news for the Japanese economy. However, it alone will not prompt the Bank of Japan to raise interest rates, and the pressure to buy yen will likely be limited. If anything, political instability is having more of an impact on the market, and the pressure for yen depreciation is likely to continue." (Reporting by Reuters Asia bureaus; Compiled and edited by Subhranshu Sahu)
The Star
7 minutes ago
- Automotive
- The Star
Japan stocks jump, bonds slide after Trump says trade deal reached
An electronic stock board showing the Topix Index displayed inside the Kabuto One building in Tokyo, Japan, on April 3, 2025. - Bloomberg TOKYO: Japanese automaker shares led the Nikkei share average higher on Wednesday, while bonds slid after U.S. President Donald Trump said he had reached a trade deal with Tokyo. The Nikkei leapt 2% in early trading, with the Tokyo Stock Exchange's transport equipment index surging 7%. Toyota Motor soared 10%. Benchmark 10-year Japanese bond futures tumbled as much as 0.92 yen to 137.68 yen, the lowest since March 28. Trump on Tuesday said the U.S. and Japan had struck a trade deal that includes a 15% tariff that will be levied on U.S. imports from the Asian country. - Reuters Trading ideas: TNB, Bursa, HI Mobility, KIP REIT, UUE, Pestec, Jati Tinggit, SL Innovation, SC Estate, Majuperak, Oasis, Pavilion REIT
The Sun
7 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
The Sun
7 minutes ago
- Business
- The Sun
Trump announces 15% US tariff on Japan in new trade deal
WASHINGTON: President Donald Trump confirmed a new trade agreement with Japan, introducing a 15% tariff on Japanese goods, a reduction from the previously threatened 25% levy. The deal, announced via Trump's Truth Social platform, includes a $550 billion Japanese investment into the US, expected to generate significant job growth. 'We just completed a massive Deal with Japan, perhaps the largest Deal ever made,' Trump stated. He added that Japan would open its markets to US automotive and agricultural exports while applying reciprocal tariffs. The agreement follows recent US trade pacts with the Philippines, Indonesia, Britain, and Vietnam. Trump had earlier set an August 1 deadline for negotiations, pressuring Japan to avoid higher tariffs. The timing coincides with political challenges for Japanese Prime Minister Shigeru Ishiba, whose coalition lost its upper house majority in recent elections. - AFP
The Hill
7 minutes ago
- Automotive
- The Hill
Trump announces trade deal with Japan that lowers threatened tariff to 15%
WASHINGTON (AP) — President Donald Trump announced a trade framework with Japan on Tuesday, placing a 15% tax on goods imported from that nation. 'This Deal will create Hundreds of Thousands of Jobs — There has never been anything like it,' Trump posted on Truth Social, adding that the United States 'will continue to always have a great relationship with the Country of Japan.' The president said Japan would invest 'at my direction' $550 billion into the U.S. and would 'open' its economy to American autos and rice. The 15% tax on imported Japanese goods is a meaningful drop from the 25% rate that Trump, in a recent letter to Japanese Prime Minister Shigeru Ishiba, said would be levied starting Aug. 1. With the announcement, Trump is seeking to tout his ability as a dealmaker — even as his tariffs, when initially announced in early April led to a market panic and fears of slower growth that for the moment appear to have subsided. Key details remained unclear from his post, such as whether Japanese-built autos would face a higher 25% tariff that Trump imposed on the sector. But the framework fits a growing pattern for Trump, who is eager to portray the tariffs as win for the U.S. His administration says the revenues will help reduce the budget deficit and more factories will relocate to America to avoid the import taxes and cause trade imbalances to disappear. But the wave of tariffs continues to be a source of uncertainty about whether it could lead to higher prices for consumers and businesses if companies simply pass along the costs. The problem was seen sharply Tuesday after General Motors reported a 35% drop in its net income during the second quarter as it warned that tariffs would hit its business in the months ahead, causing its stock to tumble. As the Aug. 1 deadline for the tariff rates in his letters to world leaders is approaching, Trump also announced a trade framework with the Philippines that would impose a tariff of 19% on its goods, while American-made products would face no import taxes. The president also reaffirmed his 19% tariffs on Indonesia. The U.S. ran a $69.4 billion trade imbalance on goods with Japan last year, according to the Census Bureau. America had a trade imbalance of $17.9 billion with Indonesia and an imbalance of $4.9 billion with the Philippines. Both nations are less affluent than the U.S. and an imbalance means America imports more from those countries than it exports to them. The president is set to impose the broad tariffs listed in his recent letters to other world leaders on Aug. 1, raising questions of whether there will be any breakthrough in talks with the European Union. At a Tuesday dinner, Trump said the EU would be in Washington on Wednesday for trade talks. 'We have Europe coming in tomorrow, the next day,' Trump told guests. The president earlier this month sent a letter threatening the 27 member states in the EU with 30% taxes on their goods to be imposed starting on Aug. 1. The Trump administration has a separate negotiating period with China that is currently set to run through Aug. 12 as goods from that nation are taxed at an additional 30% baseline. Treasury Secretary Scott Bessent said he would be in the Swedish capital of Stockholm next Monday and Tuesday to meet with his Chinese counterparts. Bessent said his goal is to shift the American economy away from consumption and to enable more consumer spending in the manufacturing-heavy Chinese economy. 'President Trump is remaking the U.S. into a manufacturing economy,' Bessent said on the Fox Business Network show 'Mornings with Maria.' 'If we could do that together, we do more manufacturing, they do more consumption. That would be a home run for the global economy.'
