Trump Signs Order Finalizing Japan Tariff Pact With 15% Rate
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President Donald Trump signed an executive order Sept. 4 implementing his trade agreement with Japan, under which the U.S. will impose a maximum 15% tariff on most of its products, including automobiles and parts.
The deal was reached in July, but had yet to be formalized as Washington and Tokyo haggled over its terms. The directive prevents the stacking of Trump’s country-specific duties on top of existing levies.
The 15% charge applies retroactively to most products shipped starting Aug. 7, the date on which the U.S. president’s tariffs on dozens of trading partners took effect. Relief for aerospace and automobile imports will become effective within seven days from Sept. 4, according to the order.
Under the agreement, the U.S. will lift certain tariffs on aircraft and aircraft parts as well as generic pharmaceuticals, ingredients and precursor chemicals.
Japan in July agreed to create a $550 billion fund to make investments in the U.S., though the details have yet to be announced.
The Japanese government has been pressing to finalize the agreement for weeks. Its top trade negotiator, Ryosei Akazawa, attended talks in Washington this week over the terms.
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