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Japan demands US review of tax policy

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Kathmandu. The Japanese government said on Thursday it viewed US President Donald Trump’s suspension of new tariffs “positively” but still “strongly” urged Washington to reconsider other tariffs.

“We have viewed the latest US announcement positively,” the government’s chief spokesman Yoshimasa Hayashi said at a regular briefing. “We are strongly urging the US to review measures such as reciprocal tariffs, tariffs on steel and aluminium, and tariffs on vehicles and auto parts.”

Trump’s announcement last week of sweeping “reciprocal” tariffs on several countries included a 24 percent tax on imports from Japan, the world’s fourth-largest economy. Trump announced a 90-day moratorium on these tariffs on Wednesday.

But other tariffs remain in place. These include a 25 percent tariff on cars imported into the United States. The auto sector is a major pillar of the economy in Japan, a close ally of the United States. The sector directly or indirectly employs about 5.6 million people.

These and other Japanese companies are also heavily dependent on manufacturing sites elsewhere. Countries like Vietnam also have high tariffs.

 

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