Japanese Prime Minister Shigeru Ishiba has reaffirmed his commitment to achieving the complete elimination of tariffs in ongoing trade negotiations with the United States.
Speaking on Fuji Television’s Sunday morning programme, Ishiba noted that the discussions between the two nations “have gradually come together” and that Japan enjoys a “surprisingly good” relationship with U.S. President Donald Trump.
Referring to the recently announced U.S.-UK trade agreement, which maintains a 10% base tariff on car imports while easing other barriers, Ishiba commented: “That’s one model—but we should aim for 0% tariffs.”
He stressed that high import levies on automobiles ultimately hurt U.S. consumers by inflating vehicle prices. “For the sake of the American economy as well, shouldn’t those tariffs be lowered?” he posed.
President Trump had stated on Friday that the United States will retain a baseline 10% tariff on imports post-trade agreements, although exemptions could be considered for countries offering favourable terms.
Currently, Japan faces a steep 25% tariff on auto exports to the U.S.—a critical sector of its economy—along with a 24% reciprocal tariff on a range of other Japanese products.
Addressing domestic fiscal policy, Ishiba warned against a hasty reduction in the national consumption tax. “If we suddenly lower the consumption tax, what happens to the country’s finances?” he asked.
Instead, he advocated for a more measured approach to support vulnerable populations: “We have to consider whether there are other ways we can assist those who are truly in need.”