Japan pM Ishiba, after Meeting Trump, Voices Optimism Over Averting
Ishiba says no talk with Trump on vehicle tariffs at summit
Trump acknowledges Japan's US huge financial investment, job creation
LNG, steel, AI and autos are locations Japan can buy US
Nippon Steel will run under US management, staff
Japan will not raise defence spending without public assistance
TOKYO, Feb 9 (Reuters) - Japanese Prime Minister Shigeru Ishiba expressed optimism on Sunday that his country might prevent higher U.S. tariffs, stating President Donald Trump had "identified" Japan's substantial investment in the U.S. and the American jobs that it creates.
At his first White House summit on Friday, Ishiba informed public broadcaster NHK, he explained to Trump the number of Japanese car manufacturers were creating jobs in the United States.
The two did not particularly go over auto tariffs, Ishiba said, although he said he did not know whether Japan would be subject to the reciprocal tariffs that Trump has actually said he plans to impose on imports.
Tokyo has so far escaped the trade war Trump released in his first weeks in . He has revealed tariffs on goods from Canada, Mexico and disgaeawiki.info China, although he held off the 25% duties on his North American neighbours to permit talks.
The intensifying trade stress given that Trump went back to the White House on January 20 threaten to rupture the global economy.
Ishiba said he believes Trump "recognised the truth Japan has actually been the world's biggest financier in the United States for five straight years, and is for that reason various from other countries."
"Japan is developing numerous U.S. tasks. I think (Washington) will not go straight to the idea of higher tariffs," he said.
Ishiba voiced optimism that Japan and the U.S. can prevent a tit-for-tat tariff war, worrying that tariffs should be put in place in a way that "advantages both sides".
"Any action that exploits or excludes the opposite will not last," Ishiba said. "The question is whether there is any issue in between Japan and the United States that calls for imposing greater tariffs," he added.
Japan had the greatest foreign direct financial investment in the United States in 2023 at $783.3 billion, followed by Canada and Germany, according to the most current U.S. Commerce Department information.
Trump pressed Ishiba to close Japan's $68.5 billion yearly trade surplus with Washington but revealed optimism this might be done quickly, given a guarantee by Ishiba to bring Japanese investment in the U.S. to $1 trillion.
On Sunday, Ishiba identified liquefied gas, steel, AI and vehicles as locations that Japanese companies could buy.
He likewise discussed Trump's pledge to take a look at Nippon Steel purchasing U.S. Steel, as opposed to buying the storied American company - a planned purchase opposed by Trump and blocked by his predecessor, Joe Biden.
"Investment is being made to guarantee that it remains an American company. It will continue to run under American management, with American employees," Ishiba said. "The bottom line is how to guarantee it remains an American business. From President Trump's viewpoint, this is of utmost value."
On military spending, another area where Trump has actually pressed allies for increases, Ishiba said Japan would not increase its defence budget plan without very first winning public backing. "It is vital to ensure that what is deemed required is something the taxpayers can understand and support," he said. (Reporting by Leika Kihara: Additional reporting by Tim Kelly; Editing by William Mallard)