Japan and US agree to maintain 50% tariff on steel and aluminum, NHK reports

Japan and US agree to maintain 50% tariff on steel and aluminum, NHK reports

Japan and the United States have agreed to maintain a 50% tariff on steel and aluminum imports, according to NHK reports. This decision comes amidst ongoing trade negotiations and a looming Aug. 1 deadline for higher tariffs. The agreement was reached during a meeting between Japan’s chief trade negotiator, Ryosei Akazawa, and US Commerce Secretary Howard Lutnick in Washington on Monday [1].

The meeting marked the eighth round of trade talks between the two nations, which have so far produced no concrete results. The Japanese Prime Minister, Shigeru Ishiba, is under renewed pressure to secure a deal before the Aug. 1 deadline, following his ruling coalition's historic election loss on Sunday. The current tariffs are set to rise to 25% on Aug. 1, up from the baseline 10% and an original 24% [1].

US Treasury Secretary Scott Bessent, when asked about how the election results could affect talks with Japan, deflected the question and stated, "Our priorities are not the internal workings of the Japanese government. Our priorities are getting the best deal for the American people" [1]. Despite the lack of immediate results, Bessent noted that a mutually beneficial agreement remains a possibility, emphasizing that a good deal is more important than a rushed one.

This agreement aligns with the broader US trade policy, which has been characterized by the use of tariffs as a central strategy. According to President Trump, "Tariff is the most beautiful word in the dictionary" [2]. The US government has been reviewing various tariff- and tariff-adjacent levers to further its new trade policy, with the goal of achieving a mutually beneficial agreement between the two nations.

The latest developments highlight the ongoing tension between Japan and the US over trade policies, with both nations aiming to protect their national interests while negotiating a mutually beneficial agreement. The agreement to maintain the 50% tariff on steel and aluminum is a significant step forward in these negotiations, though the ultimate outcome remains uncertain.

References:
[1] https://www.bloomberg.com/news/articles/2025-07-22/japan-us-trade-negotiators-meet-as-aug-1-tariff-deadline-looms
[2] https://www.tradecomplianceresourcehub.com/2025/07/22/trump-2-0-tariff-tracker/