US President Donald Trump expressed doubts about reaching a trade deal with Japan, stating, “We’ve dealt with Japan. I’m not sure if we’re gonna make a deal, I doubt it, with Japan.” Trump also claimed that Japan is “spoiled” from having “ripped us off for 30, 40 years,” making it difficult to reach an agreement.
The US and Japan are engaged in trade talks with a looming deadline of July 9 to reinstate global tariffs paused three months ago. Trump threatened to impose tariffs of 30% to 35% on Japan if a trade deal is not achieved, particularly targeting US sales of rice and cars. “I have great respect for Japan, they won’t take our RICE, and yet they have a massive rice shortage,” Trump wrote on his Truth Social platform.
However, contrary to Trump’s claims, Japan has been buying rice and cars from the US. According to the Observatory of Economic Complexity, Japan imported $354.7 million worth of rice from the US between May 2024 and April 2025. Additionally, Japan imported 14,724 US passenger vehicles worth $1.04 billion in 2024.
The trade talks have stalled due to the US sectoral levies on Japanese goods. Japan’s chief trade negotiator, Ryosei Akazawa, emphasized that Japan will not sacrifice its agriculture sector during trade talks with the US, stating, “I have repeatedly stated that agriculture is the foundation of the nation. In negotiations with the United States, our stance remains unchanged: we will not engage in talks that would sacrifice the agricultural sector.”
Japanese Prime Minister Shigeru Ishiba also expressed opposition to any trade deal that does not roll back tariffs on cars. “Japan is different from other countries as we are the largest investor in the United States, creating jobs,” Ishiba said. Japan holds more than $1 trillion in US Treasury securities, giving it leverage in trade talks.
Despite the challenges, both sides have expressed optimism about reaching a deal. Japan’s economy heavily relies on US exports, with the US accounting for 19.1% of Japan’s total exports in 2023. In contrast, only 4.03% of US exports went to Japan in 2023. The trade dynamics between the two nations will likely continue to shape the global economy.