Japan has urged the US to exclude it from a planned tariff increase to 15%, warning the move could deal a blow to its crucial automobile industry, Bloomberg reported.
Trade Minister Ryosei Akazawa said Tokyo requested the exemption during talks in Washington with US Commerce Secretary Howard Lutnick ahead of a leaders’ summit scheduled for March 19.
Akazawa said Japan should not face trade terms “more disadvantageous” than those under last year’s Japan-US agreement, reflecting concerns that higher tariffs could erode concessions secured in 2025, particularly for autos, one of Japan’s largest manufacturing sectors.
While the Supreme Court of the US previously struck down much of the tariff framework introduced under President Donald Trump, duties on automobiles, steel and aluminium remain in place, leaving Japan exposed if Washington expands the levy.
The issue also ties into the Strategic Investment Initiative, a US$550 billion programme aimed at channelling Japanese funding into US infrastructure and industrial projects.
Japan has already pledged up to US$36 billion for the first phase, including a 9.2-gigawatt natural gas facility in Ohio. Tokyo is also considering a second tranche worth about 15 trillion Japanese yen, with nuclear reactor projects involving Westinghouse Electric Company among the key investments.
Akazawa said discussions focused heavily on structuring the next phase of investments, with both sides agreeing to maintain close coordination on future projects.
