Japan and US agree to negotiate additional tariffs on steel and aluminum

Japan and the United States agreed to begin discussions on additional US tariffs on steel and aluminum imports from Japan during a bilateral meeting in Tokyo, Japan's Industry Ministry said Monday.

The meeting was held between Japanese Industry Minister Koichi Hagiuda and US Commerce Secretary Gina Raimondo, but a ministry spokesman said no specific measures had been discussed and no date had been set for the talks.

The move comes after the United States said Friday it would open negotiations that could lead to a weakening of those tariffs, a long-standing irritant in trade between the two countries.

Earlier this month, Japan asked the United States to remove the "Section 232" tariffs imposed by the administration of former US President Donald Trump in 2018.

“Japan has again asked the United States to fully resolve the issue of additional tariffs in accordance with WTO rules, which Japan has been asking for since 2018,” said Hiroyuki Hatada, director of the Ministry of Economy, Trade and Industry. (METI).

The United States and the European Union recently agreed to end the growing dispute over US steel and aluminum tariffs imposed in 2018, lifting the burden of transatlantic relations and preventing a sharp rise in EU retaliatory tariffs.

The agreement maintains Section 232 tariffs of 25% on steel and 10% on aluminum, while allowing "limited quantities" of metals produced in the EU to enter the United States duty-free.

When asked how Japan would react if the United States proposed a similar measure, Hatada said:

"As far as we can imagine, when we talk about a full settlement in accordance with the requirements of the WTO, we are talking about the abolition of additional tariffs."

The two countries also agreed to establish a Japan-US Industrial Trade Partnership (JUCIP) to work together, inter alia, to improve the competitiveness of the industry and supply chains, the Industry Ministry said.