TOKYO – The United States is increasingly recognising the importance of Japan for its economy, the Asian country’s chief tariff negotiator said on May 23 after holding another round of talks with US Cabinet members aimed at an early trade deal.

Mr Ryosei Akazawa said he was able to hold “more frank and in-depth discussions” than previously with US Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick in Washington, adding that it would be “very desirable” for their leaders to reach some kind of agreement in June.

Mr Akazawa said he had discussed trade, non-tariff barriers and economic security separately with the two US Cabinet members.

In a symbolic development, while Mr Akazawa and Mr Greer were engaged in two hours of talks, US President Donald Trump announced in a social media post that there would be a “planned partnership” between Nippon Steel and United States Steel.

A White House official confirmed that it meant the Japanese steelmaker’s long-blocked plan to buy US Steel had been approved by Mr Trump.

Mr Akazawa suggested that economic security issues, such as those concerning supply chains for strategic goods, were crucial in the tariff talks.

But he and other Japanese officials declined to say whether Nippon Steel’s planned major investment in the iconic but struggling producer was addressed during the meetings.

He said he believed “recognition of the significant contribution that Japan makes to the US economy is deepening” among US officials and both sides agreed to continue close ministerial discussions.

In their third round of bilateral talks, Mr Akazawa said he again strongly urged the removal of additional tariffs imposed on Japan.

Prior to the negotiator’s arrival in Washington, Japanese Prime Minister Shigeru Ishiba said he and Mr Trump had spoken by phone and agreed that the forthcoming talks should be “productive”.

Mr Ishiba said the call, which lasted about 45 minutes, was held at the request of Mr Trump, who has imposed a barrage of tariffs on imports from Japan and other countries.

Mr Ishiba and Mr Trump hope to hold a face-to-face meeting in mid-June on the sidelines of 2025’s Group of Seven summit in Canada.

In early May, Mr Akazawa and US Treasury Secretary Scott Bessent agreed to speed up ministerial talks from the latter half of this month with the aim of striking a “mutually beneficial” deal as early as June.

Mr Akazawa has said Japan’s position that the new tariffs are extremely regrettable remains unchanged, and it will continue urging the Trump administration to remove them.

But recent preliminary trade agreements that the United States has struck with Britain and China suggest that Mr Trump has no plans to roll back his administration’s baseline 10 per cent tariff on imports from nearly all countries, part of its so-called reciprocal package.

Mr Trump has also insisted that auto and other sector-based tariffs imposed by his administration on national security grounds will remain in place, indicating that only the country-specific duties, which are added to the 10 per cent universal duty and currently paused until early July, are open to negotiation.

Mr Akazawa’s talks came two days after Japanese Finance Minister Katsunobu Kato met Mr Bessent in Canada to discuss currency issues related to the tariffs.

Mr Bessent was not present at May 23’s talks and Mr Akazawa may return to Washington as early as next week.

Under Mr Trump’s reciprocal tariff regime, announced on April 2, Japan faces a country-specific tariff of 14 per cent for a total rate of 24 per cent.

Eliminating the Trump administration’s new 25 per cent tariffs on cars and auto parts is especially critical for Japan.

In an interview with Kyodo News in Tokyo on May 23, Mr Ishiba said calling for the elimination of all the additional tariffs was “our unwavering stance”. KYODO NEWS

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