Japan is concerned that Trump's new tariff order will disrupt exports to the United States

Japan is concerned that Donald Trump's new 10% tariff could disrupt exports to the United States.

According to Kyodo, Japan is preparing for potential disruptions to exports to the U.S. after the U.S. Supreme Court on February 21 rejected President Donald Trump's so-called retaliatory tariffs, prompting him to announce a temporary imposition of a new 10% tariff.

Tokyo is expected to negotiate with Washington to prevent tariff increases, while also pledging to invest $550 billion in the U.S. as part of a previously established plan in exchange for reduced tariffs on Japanese automobiles and other goods.

According to a ruling by the U.S. Supreme Court, Trump exceeded presidential authority when he used emergency law to impose broad tariffs last year, targeting nearly all of America's trading partners.

Trump responded to the ruling by signing an executive order imposing a new "global" tariff of 10%.

A Japanese government official said, "Reducing the tariff to 10% isn't necessarily negative, but it could significantly impact exports."

In its initial investment phase in the U.S., Japan plans to finance synthetic diamond production, natural gas power generation, and the construction of a crude oil export terminal.

Japanese government officials are concerned: "If we break our promise, the U.S. may again seek to increase tariffs on Japan."

Previously, according to data from Kim Thập, the Japanese Ministry of Finance released trade statistics on February 18, showing that Japan's exports to the US had declined for two consecutive months in January compared to the same period last year.

Data shows that exports of products such as pharmaceuticals, automobiles, and metalworking machinery declined, resulting in a 5% year-on-year drop in Japan's exports to the U.S., to 1.46 trillion yen.

Source: VTV