U.S. President Donald Trump initiated a phone call with Japanese Prime Minister Shigeru Ishiba and discussed tariffs in general terms, just as Tokyo’s top negotiator left for the U.S. For another round of trade talks.
Trump didn’t say anything specific about tariffs while Ishiba reiterated Japan’s existing stance over the levies during a 45-minute meeting, the prime minister told reporters on Friday in Tokyo. The two agreed they’re looking forward to meeting in person at a Group of Seven leaders’ gathering in June in Canada, Ishiba said.
In a separate interview with Kyodo News on Friday, Ishiba suggested that the June summit will likely be a milestone for the negotiations.
The phone call between the two leaders was the first since early April when the U.S. Ramped up its tariffs against nations around the world including Japan. The call signaled the Asian nation still has the attention of the president although it appears to be falling behind other countries in striking a trade deal.
“We have consistently requested the removal of tariff measures, and our position remains unchanged,” Ishiba said. “The president has made no specific mention of this matter.”
Ishiba and Trump discussed a wide range of topics including tariff negotiations, economic security cooperation, diplomacy and national security, with the president also explaining the results of his recent Middle East visit, the prime minister said. The White House did not immediately respond to a request placed late Thursday seeking details of the call.
“In terms of why the meeting took place now, I can’t simply ask Trump why,” Ishiba said. “He visited the Middle East and I think we have reaffirmed our commitment to continue cooperating between Japan and the US, including on economic security issues.”
During the call, Ishiba said he conveyed his hope that an upcoming meeting between his hand-picked top trade negotiator Ryosei Akazawa and his U.S. Counterparts will be constructive. Akazawa left for the US on Friday for a third round of trade talks.
Local media reports say Akazawa is expected to meet with U.S. Trade Representative Jamieson Greer and Commerce Secretary Howard Lutnick, while Treasury Secretary Scott Bessent is set to skip the gathering. Akazawa plans to return to Washington again on May 30 to meet with Bessent, according to a Yomiuri newspaper report.
The likelihood of another visit in a week’s time suggests that the latest round of talks is unlikely to deliver a deal. Yet Trump’s call on Friday indicates that Japan may be facing pressure over getting closer to an agreement.
Ishiba’s government will be presenting a plan for Japanese firms to invest in the U.S. As a part of the trade negotiations, according to a NHK report Friday citing people familiar with the matter. That plan will include a multi-trillion yen investment from Nippon Steel as part of its proposal to buy U.S. Steel, the public broadcaster said.
The saga over the acquisition of U.S. Steel has dragged on for 17 months so far. Nippon Steel has already bolstered its pledge to invest in U.S. Steel in the event that Trump approves the purchase, according to people familiar with the matter, but it’s still unclear whether the deal may go through.
Nippon Steel told investors on a call earlier this month that they didn’t expect any formal announcement on the deal from the White House until the June 5 statutory deadline for Trump to make a decision.
As with other nations, Trump has slapped Japan with a 25% levy on autos, steel and aluminum and a 10% across-the-board tariff. The so-called reciprocal tariff is set to be raised to 24% in early July, barring a trade deal.
Cars and auto parts comprise around a third of all exports to the U.S. From Japan. The auto industry is a key driver of growth for Japan’s economy and employs around 8% of the work force.
Ishiba said earlier that Japan won’t compromise its national interests by rushing into a deal or striking an agreement that doesn’t address the car levy.
“We should focus on investment rather than tariffs and our stance remains unchanged that Japan and the U.S. Will continue to create jobs in the U.S.,” Ishiba said Friday.
