Donald Trump announces US-Japan $839 billion trade | Australian Markets
US President Donald Trump on Tuesday introduced that he had made the “largest deal ever” with Japan, which includes “reciprocal” tariffs of 15 per cent on the nation’s exports to the US.
In a post on Truth Social, Mr Trump additionally stated that Japan will invest $US550 billion ($839 billion) into the United States, including that the US will obtain 90 per cent of the earnings.
“We just completed a massive Deal with Japan, perhaps the largest Deal ever made,” Mr Trump wrote.
“Japan will invest, at my direction, $550 Billion Dollars into the United States, which will receive 90% of the Profits.
“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%.”
Mr Trump stated “this is a very exciting time for the United States, highlighting the “great relationship” with Japan.
The US President spoke from the White House after asserting the deal.
“A year ago, that level of tariffs would be shocking. Today, we breathe a sigh of relief,” stated Brian Jacobsen, chief economist at Annex Wealth Management.
In his tariff letter despatched out to Japan earlier this month, Mr Trump had threatened a 25 per cent tariff on its exports to the US from August 1, one proportion level greater than the 24 per cent price introduced during his April 2 “Liberation Day” tariffs.
Japanese vehicles imported into the US already entice a 25 per cent tariff in step with the remaining of the nations.
Auto exports to the US are a cornerstone of Japan’s financial system, making up 28.3 per cent of all shipments in 2024, in keeping with customs knowledge.
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