Trump signs order to cut tariffs on Japanese cars to 15%
The agreement lowers Japanese auto tariffs from 27.5% to 15%, includes $550 billion in Japanese investments in US projects, and expands US agricultural exports by $8 billion annually.
- On September 4, 2025, President Donald Trump signed an executive order applying a baseline 15% tariff on nearly all Japanese imports, with sector-specific treatment for automobiles, aerospace, pharmaceuticals, and natural resources.
- The July agreement was delayed by a dispute over tariff stacking as negotiations remained unresolved between Washington and Tokyo. Ryosei Akazawa, Japan's top trade negotiator, traveled to Washington to press for issuance after further discussion was needed.
- The order applies retroactively to goods entered on August 7, 2025, with automobile tariff relief set after seven days and broader implementation expected within 10-14 days.
- Market-Watchers say the move eases pressure on Japanese automakers, lowering costs and potentially affecting U.S. consumer pricing in the coming months to trim the $68 billion U.S. trade deficit in 2024.
- The $550 billion pledge prompts questions about scale and market effects, as Tokyo agreed to invest in U.S. projects selected by the U.S. government, with observers noting the unusually large commitment.
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180 Articles
EU trade commissioner hails Trump's "crucial step" on car tariff reduction
The incoming tariff level of 15%, while still above the pre-Trump level, offers some relief to Europe’s auto sector, which has been struggling under Trump’s protectionist measures
Japanese investment is part of the tariff agreement signed with the US
U.S. President Donald Trump signed Thursday a decree to reduce tariffs on Japanese cars, as part of the implementation of a trade pact negotiated with Tokyo. Japanese cars will have a 15% tariff instead of the current 27.5%, while for many other products it will also be limited to 15%, according to the text of the executive order issued by the White House. This is a victory for Japan after a Tokyo representative traveled to Washington on Thursda…
Trump signs executive order to cut Japanese auto tariffs to 15%
Trump signs executive order to cut Japanese auto tariffs to 15% U.S. President Donald Trump signed an order on Thursday to implement lower tariffs on Japanese automobile imports and other products that were announced in July, providing some relief to Japan's export-heavy economy. Formalizing the…
US President Donald Trump signed an executive order implementing the new trade agreement with Japan, establishing a 15% base rate for most Japanese goods, including cars, to transmit CNBC.
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