Overview

• Japanese Prime Minister Shigeru Ishiba stated on April 14 that Japan will not make significant concessions or rush a deal in upcoming US tariff negotiations.
• The US has imposed 24% tariffs on Japanese exports, with a 90-day pause on most items, but a 10% universal rate and 25% duty on cars remain in effect.
• Trade talks will address tariffs, non-tariff barriers, and currency issues, with Japanese Finance Minister Katsunobu Kato and US Treasury Secretary Scott Bessent expected to discuss yen valuation.
• Bank of Japan Governor Kazuo Ueda warned that US tariffs could harm both the Japanese and global economies, potentially influencing monetary policy decisions.
• Speculation surrounds how yen fluctuations might affect Japan’s interest rate strategy, with potential adjustments depending on currency trends.