Japan-U.S. Trade negotiations de facto general agreement, car tariffs continue to be discussed August 26 18:26

The US-Japan trade negotiations reached a debate on the main points of discussion and reached a de facto agreement. In terms of opening the market for agricultural products such as beef and pork, which the United States wanted, they agreed to limit the level of the TPP = Pacific Partnership Agreement.

At TPP, “Beef” will reduce the tariff of 38.5% to 9% by 2033, and the tariffs on Australian and Canadian products have been gradually reduced. Will go down.

For pork, tariffs of up to 482 yen per kilogram on cheap meat will be gradually reduced, and will be reduced to 50 yen in 2027.

In addition, the new import quotas such as butter and skim milk milk that the United States demanded will be rejected by the Japanese side, saying that it will exceed the TPP level.

As with TPP, beef is expected to have a tax-free export from Japan to the United States.

On the other hand, regarding industrial goods, the US will eliminate tariffs on a wide range of items.

However, in the TPP agreement, 2.5% tariffs on passenger cars will be eliminated in the 25th year, and 25% tariffs on trucks will be eliminated in the 30th year. Became the direction to continue consultation.

For automobiles, the focus is on additional tariffs based on Article 232 of the Trade Expansion Act, which the US is considering, and the handling of “quantity restrictions” that restrict exports from Japan.

In a joint press release between Japan and the United States on the 25th, President Trump said that “Japanese tariffs will not change”.

The Japanese government has indicated that it will not be activated for additional tariffs, and that it wants to reconfirm this agreement when it finally agrees.

In the “Kobe Beef” production area…

In Hyogo Prefecture, where the “Kobe Beef”, which is also popular overseas, is expected to lead to an increase in exports to the United States.

In Hyogo Prefecture, in May, a slaughterhouse in Himeji City obtained export approval for the United States from the country in an attempt to strengthen exports of “Kobe Beef” and other products.

Under this agreement, tariffs on beef imported from the United States will be reduced, while there will be a quota for tax-free export from Japan.

Kazuaki Morimoto, a livestock farmer who breeds about 300 Wagyu beef in Sayo-cho, western Hyogo Prefecture, said, “Because the price of“ Kobe Beef ”is even higher than in Japan, there is no tax-free frame. If we were able to reduce the price, we would be able to export more and more. ”

On the other hand, about beef being imported cheaply from the United States, he said, “The world's top brand“ Kobe beef ”and imported meat are different in taste and price, so I don't think they will have any impact.”

McDonald's Japan “Positive Information”

McDonald's, a major Japanese restaurant that imports pork products from the United States, takes it as “positive information”.

McDonald's Japan imports pork patties and potatoes used for hamburger ingredients from the United States.

Atsushi Shimohira, vice president, said, “I think it is positive information from a long-term perspective. I want to respond after collecting detailed information on tariff rates and timing. "

Automakers are “watching”

In the US-Japan trade negotiations, the focus on automobiles, additional tariffs based on Article 232 of the Trade Expansion Act, which the US is considering, and the handling of “quantity regulations” that restrict exports from Japan are one of the focal points. The

Regarding this, President Trump said in a joint press release between Japan and the United States on the 25th that Japanese tariffs will not change.

In addition, the Minister for Economic Revitalization Mogi expressed that he would like to confirm the additional tariffs again in the final consensus stage, assuming that it would not be triggered by Japan.

Regarding this, a Japanese automaker official said, “I want to keep an eye on the direction of discussions until the negotiations are concluded at the summit next month.” I would like to expect an agreement that will lead to free trade.