Japan is a test case for Trump’s tariff deals. But talks may be tortuous

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TOKYO/WASHINGTON: When Tokyo’s top trade negotiator met US President Donald Trump earlier this month to talk to a tariff talks at the White House, he presented them with a gold -colored balak bank.

A detailed, seemingly no attention was paid by the people in the room, is that the gift was given in China, which is the focal point of Trump’s clean trade war, which has surrounded Japan and dozens of countries, reduced financial markets and affected the concerns of recession.

Since Trump wants to take advantage of his prices threats to attack several bilateral deals in months, the well -known traveler was an unannounced reminder of the complexity of the global supply chains, which he is trying to redress.

Talking about a high -speed deal with Japan, a close US ally who counts China as its largest trading partner, has been billed as a “test case” for Trump’s chances of success. However, there are already signs that dialogue with Tokyo can be strict, especially when its sculpture that the ruling party worries about signing a bad deal ahead of a dual election.

“Trump needs to get some concessions from Japan so that he can show that he is a ‘hard president’.” He needs to make a kind of example as soon as possible. “

Although some analysts expect that when the Japanese Prime Minister Shigro Esiba and Trump meet at the G7 summit in Canada in June, they will announce the deal, others say, before the Japanese government is expected to hold the upper house in July, the Japanese government will be threatened by Thorner’s Thorner.

Paul shows that the ruling coalition is ready to lose the majority of the belt, which resulted in the result of the most powerful Lower House elections to prevent the same fate in the Lower House elections.

Trump has hit Japan with 24 % of the revenue on exports to the United States, though, like most of his Levies, he has stopped to allow talks until early July. Japan’s export heavy economy is a 25 % duty on cars.

Japan’s trade negotiator Rusi Akazawa is scheduled to leave for Washington next week for the second round of talks.

A spokesman for the US trade representative declined to comment on the talks. The White House and the Japanese Foreign Ministry did not immediately respond to the request for comment.

When Trump was asked about a gift – another universal Shubnker was chosen for Japan, which has been chosen for the World Expo that he is hosting in the city of Osaka. Akazawa said on Friday that it does not mean that Trump has no meaning other than encouraging him to go to the program. He declined to comment on the origin of the item, just added that “Trump loves gold”.

This item has been listed on the Expo website as ‘Med in China’ and Reuters has confirmed this with the producer, Osaka -based Heso Production.

The price of rice?

Although Tokyo is still preferring Washington to prefer, he expects demands to reduce barriers to US agricultural and automotive imports.

A major grip of Trump, one of Tokyo’s prices on foreign rice, should be relatively easy to adjust as Japan faces a staple shortage and has seen a price rocket in recent months. However, officials said the bureaucrats, who expect bureaucrats to bargain in negotiations, are cautious to separate voters in their farming circles before the elections.

Officials said that there is no need to be undesirable to offer Trump’s 25 % of the taxes, which has slapped global auto imports, which is a third of Japan’s exports to the United States, which is its largest market, in other areas like Rice.

A group of lawmakers from Japan’s ruling Liberal Democratic Party issued a statement on Friday stating that they would not accept any negotiation strategy that “sacrifices” agricultural products to obtain exemptions at auto prices or protect other industries.

In addition, Japan’s initial concern that Trump may try to negotiate in talks on foreign exchange rates, while the US president told reporters Thursday that military affairs would also be treated separately.

Trump had previously indicated that he wanted to discuss Japan and South Korea’s payments to the cost of hosting US troops in trade debates. Nevertheless, after his initial meeting with Akazawa, a disturbing temperament in Tokyo, it stands to some extent contrary to Trump’s hope of hope, which he called a “major development”. Reuters reported earlier this week that the United States and Japan were working to reach an interim deal, but many of the biggest issues are being stopped. Analysts say that although Trump will face big battles ahead, especially when he is hunning in a trade war with China’s No2 economy, Japan is sure to win quickly.

Joseph Craft, a financial and political analyst at Rorshach Advisory in Tokyo, said, “A quick ‘agreement means that excessive compromise is made by a single party.”

“I think Japan’s strategy is to show the US hand so that they prefer the content over time. I speculate that Trump will prefer time on content.”