Japan wants more negotiations in June and claims that there is no simple way to lower US tariffs

Japan’s senior tariff negotiator stated Friday that the U.S. and Japan had agreed to undertake another round of trade discussions ahead of the G7 summit next month, but that no agreement would be reached without concessions on all of Washington’s tariffs, including those on vehicles.

The fourth round of trade talks took place in Washington, where Japan’s Economy Minister Ryosei Akazawa spent 130 minutes with U.S. Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick.

At the Japanese embassy in Washington, Akazawa told Japanese reporters that “we agreed to accelerate the talks and hold another round ahead of the G7 summit in June, where the leaders from Japan and the United States are set to meet.”

Leading U.S. officials Bessent and Lutnick described Friday’s negotiations as “frank and constructive.”

“Secretary Bessent highlighted to Minister Akazawa the importance of addressing tariffs and non-tariff measures, increasing investment, and working together to address economic security and other issues of mutual concern,” according to a Treasury Department press release.

Unless a deal with the United States can be negotiated, Japan will be subject to a 24% tariff rate beginning in July. Additionally, it is frantically trying to persuade Washington to spare its automakers from 25% motor vehicle tariffs, which are the largest industry in Japan.

Akazawa added that Japan’s stance that the tariffs are unacceptable has not altered, and he is “strongly urging” the United States to promptly reevaluate and remove all of the tariffs, including those imposed on steel, aluminum, cars, and auto components.

“We may be able to come to an agreement if our requests to do that are met,” Akazawa said to Japanese journalists assembled at the Japanese embassy in Washington. “But if that is not possible, then it will be difficult for us to agree to a deal.”

A deal that would not benefit Japan, especially the auto industry, would never be hurriedly signed, according to Japanese government sources who spoke before the most recent meeting.

Trade expansion, non-tariff barriers, and cooperation in economic security have been on the table at every meeting, according to Akazawa, who declined to provide specifics of the most recent conversations.

He stated that economic security issues include rare earths and semiconductor supply chains.

Additionally, he stated that he was keeping a close eye on Nippon Steel’s (5401.T), opens new tab potential deal for U.S. Steel (X.N), opens new tab, but that he was unable to comment at this time because the U.S. government had not made any formal declaration.