[Breaking News] Japanese Government Official: "U.S. and Japan Agree to Cut Auto Tariffs from 25% to 12.5%"

Korea Economic Daily

Summary

A Japanese government official stated that, through trade negotiations with the U.S., the tariff on Japanese automobiles will be reduced from the current 25% to 12.5%.
Ultimately, adding the previous rate of 2.5%, a total tariff of 15% will apply.
President Trump also mentioned Japan’s investment in the U.S. and trade liberalization.

Total Japanese Auto Tariff: 15%

A Japanese government official stated that, through trade negotiations with the United States, the Donald Trump administration will impose a 15% tariff on Japanese vehicles.

NHK Broadcasting, citing comments from a Japanese government official on the 23rd, reported that the automobile tariff will be reduced from the current 25% to 12.5% following an agreement with the U.S. It was explained that an additional 2.5%—the previous rate—will be added, resulting in a total tariff of 15%.

On the 22nd (local time), President Trump announced via social media that the U.S. and Japan had reached a trade agreement, adding that mutual tariffs on Japan would be set at 15%.

President Trump also stated that Japan would invest $550 billion in the United States and emphasized that the U.S. would receive 90% of the profits from Japan’s investment in the U.S. He added that Japan would "open trade, including for automobiles, trucks, rice, and other agricultural products."

Kim Dae-young, Hankyung.com journalist kdy@hankyung.com