President Donald Trump stated Wednesday that the United States and Japan have reached a limited trade deal in the midst of continued negotiations for a more thorough agreement.
Most notably, $7 billion in agricultural products from the United States will become available while Japan will cut or remove tariffs on such products. Furthermore, the U.S. and Japan have agreed to $40 billion worth of digital trade.
The announcement comes via a signing ceremony at the United Nations General Assembly with Japanese Prime Minister Shinzo Abe, where President Trump stated that the signed document makes impressive strides towards an equitable trade arrangement.
The trade agreement comes after President Trump previously threatened tariffs on the island country’s vehicles — a stern tactic, given that the United States imported $51 billion in Japanese automotive exports last year.
As noted by CNBC, Japan was the United States’ fourth-largest trading partner in 2018.
Meanwhile, the trade war between the U.S. and China may soon be coming to an end — at least, according to President Trump, who stated:
They want to make a deal very badly… It could happen sooner than you think.
According to some analysts and commentators, President Trump indeed has the upper hand in the 15-month-long trade war East Asian country — which saw its industrial production fall to a 17-year low in July of this year.
The U.S. president also has the approval of the American people when it comes to trade with China, with 67% of respondents in an August Harvard/CAPS Harris Poll expressing that China’s unfair trade policies must be dealt with.
Trump’s limited trade deal with Japan will certainly be chalked up as a win for the president currently facing calls for impeachment from his opponents across the aisle, and will likely put more pressure on China to accept the terms being outlined by the United States.
Last modified: September 23, 2020 1:03 PM