Overview

• Treasury Secretary Scott Bessent met Prime Minister Shigeru Ishiba, reiterating that a mutually beneficial trade deal remains achievable
• The two sides avoided any detailed discussions of tariff terms during meetings in Tokyo and at the World Expo in Osaka
• Across-the-board US tariffs on Japanese exports are set to jump from 10 percent to 25 percent on August 1 if no agreement is reached
• Three months of negotiations and six formal rounds have failed to bridge differences over a 25 percent levy on Japanese auto imports
• Japan’s upcoming upper house election threatens the ruling coalition’s majority, potentially weakening Tokyo’s bargaining position