President Trump announced a massive trade agreement with Japan, saying it’s “perhaps the largest Deal ever made.”

“Japan will invest, at my direction, $550 Billion Dollars into the United States, which will receive 90% of the Profits,” Trump said.

“Perhaps most importantly, Japan will open their Country to Trade including Cars and Trucks, Rice and certain other Agricultural products, and other things,” he continued.

Trump said Japan will pay a 15% reciprocal tariff.

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The news saw Japanese markets hit a one-year high on Wednesday, with a surge in the price of automaker shares pushing the Nikkei 3.7% higher.

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“Mission accomplished,” proclaimed Japan’s tariff negotiation Ryosei Akazawa in a post on X, accompanied with a photo of himself in the White House pointing to an image of Trump and Japan’s Prime Minister Shigeru Ishiba in prior talks.

Japan is “the first in the world to be able to reduce tariffs on automobiles and auto parts without volume restrictions,” Akazawa told reporters in Washington DC Tuesday night.

In Tokyo, Ishiba hailed the deal as “the lowest figure to date for a country that has a trade surplus with the United States,” adding that the government will examine the details of the deal “carefully.”

“We believe that this will contribute to the creation of jobs, the production of good products, and the fulfillment of various roles in the world through the mutual cooperation of Japan and the US,” he told reporters at his office on Wednesday.

Akazawa explained that the Japanese injection of $550 billion into the US would be in the form of equity and loan to support Japanese businesses’ investments in key fields such as pharmaceuticals and semiconductors.

“This is a very exciting time for the United States of America, and especially for the fact that we will continue to always have a great relationship with the Country of Japan,” Trump said.

“It has been an honor to work on this deal on behalf of the greatest negotiator, President Trump. $550 BILLION DOLLARS to reshore our key industries. The winning isn’t over. This is just the beginning,” Secretary of Commerce Howard Lutnick said.

Fox Business provided additional details:

While speaking at the White House on Tuesday evening, Trump boasted about the deal and how he “signed the largest trade deal in history” with Japan.

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He said Japan’s “top people” were at the White House and worked long and hard on a “great deal for everybody.”

“I always say it has to be great for everybody,” Trump said. “It’s a great deal – a lot different from the deals in the past, I can tell you that. But, we’re doing really well as a country.”

The deal with Japan comes about two weeks after Trump announced the U.S. would impose 25% tariffs on goods imported from Japan.

The levies were expected to take effect on Aug. 1, and if Japan raised tariffs in retaliation, Trump threatened to increase tariffs by an equal amount in a letter sent to Japanese Prime Minister Shigeru Ishiba.

 

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