TOKYO: Japanese Prime Minister Shigeru Ishiba expressed confusion on Friday regarding President Donald Trump’s recent comments about tariffs, which included a significant 25 percent tax on imported cars and auto parts.
This announcement came just weeks after Ishiba and Trump seemed to have a friendly conversation, making the new tariffs a surprising setback for Japan, a close ally of the United States both economically and strategically. As a result, shares of Japanese automobile companies fell for the second consecutive day.
During a legislative committee meeting, Ishiba remarked, “What President Trump is saying is that both friends and foes exist, but sometimes friends can be trickier to deal with. This is really hard to understand.”
Earlier this week, while announcing the vehicle tariffs at the White House, Trump stated that America’s trade partners had been “taking our jobs, our wealth, and much more.” He added, “They’ve taken a lot from our country, and sometimes friends are worse than enemies.”
The new tariffs have caused concern among U.S. allies. Canada reacted strongly to the announcement, foreseeing serious damage to its auto industry, with Prime Minister Mark Carney stating that the era of strong bilateral relations between Canada and the U.S. was effectively over.
Prime Minister Ishiba warned that "the impact on the Japanese economy will be very significant. We don’t see any benefit in escalating this situation. Our goal is to explain clearly to Washington that imposing such high tariffs will not benefit the United States."
In Japan, the automotive sector supports one in ten jobs. Ishiba mentioned that the government is currently considering a proper response to these tariffs. Government spokesperson Yoshimasa Hayashi voiced concerns as well, stressing that the U.S. measures, among other trade restrictions, could greatly impact the economic relationship between Japan and the United States and even affect the global economy.
Investor anxiety has risen due to Trump’s tariffs, including those on steel and aluminum. On the Tokyo Stock Exchange, shares of major automotive companies continued to drop: Toyota fell by 4.76 percent, Honda declined by 4.77 percent, and Nissan decreased by 2.97 percent, following substantial losses from the previous day.
In related news, trade officials from South Korea, Japan, and China are scheduled to meet in Seoul on Sunday to discuss economic cooperation, according to sources.
