After China and Iran, now Japan is on the verge of facing trade disputes by Washington, amid tensions between the two close allies.
There is no reason for any country to trust Trump. In the same way, there is no obvious reason for Trump to trust Tokyo or Beijing, either.
A World should not be surprised that hopes of a Washington’s Rich Trade Deal With Tokyo have blurred.
“It will be a very tough negotiation,” said one of the officials, who spoke on condition of anonymity due to the sensitivity of the matter.
“If there is to be an ‘agreement’ we need to have something we can formally announce, which is tough,” said another Japanese official, adding that it will be difficult to agree on a deal in September unless Washington makes more effort on a discount basis.
Four obvious reasons, showing that conditions are worsening.
Washington is paralyzing Japan’s auto exports, which account for about two-thirds of the U.S. trade deficit with Japan at roughly 7 trillion yen ($65.82 billion) a year.
Trump wants to start Japan’s market for agriculture goods and beef. One demand Washington is making is for Tokyo to cut tariffs on U.S. beef and pork imports.
Japan wants the United States to cut tariffs on imports of auto parts and industrial goods, something Washington is unwilling to do.
U.S. automakers are also want to include a provision refraining both countries from engaging in currency manipulation. Japanese officials are against the addition of such limitation in the deal, due to the fear of having their hands cuffed in immuning any unwanted yen downfall that would hurt the economy.
Trump has now put himself in a cage. He has no other solution for heading towards a victory but pushing down the others.
“Trade wars are good and easy to win,” President Donald Trump.
