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Thursday, May 21, 2020
HomeNewsPoliticsTrump, Abe Sign New U.S.-Japan Trade Deal

Trump, Abe Sign New U.S.-Japan Trade Deal

Japanese Prime Minister Shinzo Abe shakes hands with U.S. President Donald Trump during the bilateral meeting at the G20 leaders summit in Hamburg, Germany July 8, 2017. (Photo: Reuters)

Trade Deal Rolls Back Tariffs for $7 Billion in U.S. Goods

Japanese Prime Minister Shinzo Abe shakes hands with U.S. President Donald Trump during the bilateral meeting at the G20 leaders summit in Hamburg, Germany July 8, 2017. (Photo: Reuters)
Japanese Prime Minister Shinzo Abe shakes hands with U.S. President Donald Trump during the bilateral meeting at the G20 leaders summit in Hamburg, Germany July 8, 2017. (Photo: Reuters)

President Donald J. Trump and Japanese Prime Minister Shinzō Abe put ink on phase one of a trade deal that will open markets to U.S. goods in exchange for rolling back tariffs. The two men, who announced an agreement in principle at the G7, signed the deal sitting side-by-side at the United Nations on Wednesday.

The new arrangement, which Prime Minister Abe called a “win-win,” is worth approximately $7 billion in U.S. agriculture products, including but not limited to beef, pork, cheese, wheat, corn and wine.

“We’re going to have a really great relationship, better than ever before on trade,” President Trump told reporters during a joint press conference at the United Nations. “I think it’s going to be better for Japan and better for the United States.”

U.S. Trade Representative Robert Lighthizer and Japanese Foreign Minister Toshimitsu Motegi met Monday on the sidelines of the 74th Session of the United Nations General Assembly (UNGA).

Japan agreed to decrease tariffs on U.S. beef from 38.5% to 9% in exchange for a rolling back of U.S. tariffs on Japanese automobiles sometime in the future.

No specific timing for the rollback of U.S. tariffs was given, though it would would bring the U.S. back into compliance with the World Trade Organization (WTO) Most Favored Nation (MFN).

A separate deal also was reached that includes commitments on digital trade. The White House said the new deal will “expand trade and substantially reduce our trade deficit.”

As People’s Pundit Daily (PPD) has previously reported, Japan is the second largest recipient of U.S. exports behind Canada. Year-to-date, the U.S. has exported $36.8 billion to Japan, though imported $72.9 billion.

Written by
Staff Writing Group

PPD Business, the economy-reporting arm of People's Pundit Daily, is "making sense of current events." We are a no-holds barred, news reporting pundit of, by, and for the people.

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    Japan’s Abe Government often sacrifices Japanese farmers or tax payers to defend relationship with Trump.
    And Abe Govt always prioritizes national security than social security,continues to spend immense tax to buy US armament such as F-35 or Aegis-Ashore or military drone.

    Japan’s prime minister declared to buy large amounts of America corn on the reason of “serious damage by harmful insects”.
    But,”serious damage” to corn is nowhere in Japan.
    and,kind of American corn for feed is different to Japanese corn for feed in Japan,it has risk to cause disease to livestock.

    according to Tokyo news paper,
    Japan’s major 6 feed companies have no plan to buy feed from US.

    Japan’s private sector will be forced to buy large amounts of corn from US by pressure from Abe Govt who is very obedient to US.

    There is doubt of WTO violations at Trump side about US-Japan trade deal.
    But Japan’s Abe Govt intends to defend its issue on US behalf.

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