[Report] According to Bloomberg, President Donald Trump once again criticized the imbalance in automobile trade between the United States and Japan on the 13th local time. The report mentioned that this statement was made just days before Bessent’s planned visit to Japan, which could exert further pressure on the Japanese government.
“They sell us hundreds of millions of cars every year. We can’t sell them cars because they don’t accept our cars. They won’t accept most of our agricultural products either,” Trump said in Washington.
The report indicated that Bessent specifically went to Japan on July 19 to participate in the Osaka World Expo, but so far, there have been no signs of any trade talks between the two sides. It mentioned that Bessent’s visit was scheduled on the day before the Japanese Senate election, which may adversely affect the minority government of Prime Minister Shinzo Abe. According to a poll by NHK, about 9% of respondents stated that tariff negotiations would affect their voting decision.
Bloomberg reported that about 80% of Japan’s trade surplus with the US comes from the automobile and its parts industry, while the Japanese automotive industry has already been subject to additional tariffs of 25%. Despite Trump repeatedly complaining that Japanese consumers do not buy American cars, Shinzo Abe stated that American cars are left-hand drive, large in size, and consume high fuel, making it difficult to sell them in Japan.
On July 7 this month, Trump posted a letter to Abe on social media platforms announcing that starting August 1, all products exported from the US to Japan will be subject to a 25% tariff. Bloomberg mentioned that before this, the Japanese Minister for Economic Revitalization, Taro Aso, had been negotiating with Trump’s assistant for several months, but progress was minimal.
Trump’s tariff policy impacts the global economy.