Trump And Japan Reach Major Trade Deal While Mexico And Canada Watch On The Side Lines

U.S. President Donald Trump struck a trade deal with Japan that lowers tariffs on auto imports and spares Tokyo from punishing new levies on other goods in exchange for a $550 billion package of U.S.-bound investment and loans.

 

It is the most significant of a clutch of agreements that Trump has bagged since unveiling sweeping global levies in April, though like other deals, exact details remained unclear.

 

Japan's auto sector, which accounts for more than a quarter of its U.S. exports, will see existing tariffs cut to 15% from levies totaling 27.5% previously. Duties that were due to come into effect on other Japanese goods from August 1 will also be cut to 15% from 25%.