Trump strikes trade deals with Japan, Philippines

Trump strikes trade deals with Japan, Philippines

Mister Ishiba has hailed the U.S. Japan
treat you as a triumph. Well, U.S. President Donald Trump described the
pact as the biggest agreement ever meet. But what exactly is in this new deal?
Well, Tokyo has secured a 15% levy. Well, Japanese exports to America this
dish about noted it is by far the lowest ever among countries with a trade
surplus with the U.S.. Well, the new tariff is significant be lower than the
25%. Mister Trump threatened it is still above the 10% rate set by Washington in
April. Additionally, Japan will invest
550 billion U.S. dollars into America, which Mister Trump says will receive 90%
of the profits. Mister Ishiba says the investment will enable Japanese firms to
build resilient supply chains in key sectors like pharmaceuticals and
semiconductors. Japan’s auto sector will also see
existing tariffs cut to 15% from previous levees, totaling 27.5% more
than a quarter of Japan’s exports to the U.S. automobiles. Meanwhile, Washington says Japan will
also increase purchases of agricultural products such as American Vice Japan’s
prime minister, on the other hand, said the share of us rice imports meat
increase but emphasized that the agreement did not sacrifice Japanese
agriculture. Now the deal does not cover steel and
aluminium exports which are subject to a 50% tariff. Defense spending commitments
from Japan also not included in the deal. What would become a normal COVID the chief? A new clinical we can to to
cut the chin loyal basis to make you missed. Who cake to them today. Total united,
but Sandi some and that we got to see a suit. You can connect them will come in the
U.S.. Japanese investors welcomed news of the
deal. The Nikkei, 2, 2, 5, index jumped 3.5% reaching its highest closing level
and about yeah, the broader topix also gaining more than 3%. The yen
strengthened but eased its gains after a top Bank of Japan official indicated
that it was not in any rush to hike interest rates. Automakers such as Toyota and Honda
leading the way surging by double digit percentages. Now, the U.S. has also struck a trade
deal with the Philippines following a meeting between President Trump and his
for the pain counterpart, Ferdinand Marcos at the White House. Washington
has lowered duties on the millet by only one percentage point to 19%. While the
Philippines will open its market up completely to U.S. goods. The new Levy
is still above the 17% rate set by Washington in April. We managed to bring down the 20%
derisory pay for the cities to 90. No one percent might seem like a very
small concession. However, when you put that into in real terms, they’re all of
it is it is a significant it is a significant achievement. And for more on the latest U.S. Street
deals Jagruti Dhabi joins us live from Washington. Jagruti. Japan is the only
country so far that was able to lower tariffs on automobiles and auto parts.
But without the volume restrictions, why did the U.S. give concessions to
Tokyo on this? I think it’s to do with the fact that
they are major trading partners and pop something to do with the fact that Japan
is the US’s largest foreign creditor and that gave Japan some sort of leverage in
these negotiations. But as you are mentioning, annual roundup of what this
trading involves. Both sides are really touting this as a victory for each which
is very politically expedient for both sides, given the electoral situation in
Japan. And of course, Donald Trump hot bowl on on global partners on trade
tariffs, this trip, tariff war that he appears to have been prepared to Spock
across the world. Now, one of the things I think it does is it the agreement that
it comes on is on these 2 key issues of rice and cars and with cause Japan of
his to the agreed to drop extra safety tests on American cars that was actually
stopping America from exporting more cause to Japan. Just in the Donald Trump
Googled about a fair amount said it’s small details like this which appeared
to have sealed the deal that 550 billion investment into the U.S. from Japan.
As you mentioned, that Japan is touting this as a victory for the Jack for
Japanese business is because that is where the money will go into Japanese
investments into areas like pharmaceuticals. But it’s Donald Trump
is touting this is a victory for Americans because they he says that
Americans will get a majority of the profits from this investment. So I think
it’s in the final print, which the Japanese say that they going to be
mulling over in the weeks to come. But I think what you’re seeing is a deal
struck by 2 key important trade partners that require an agreement to get in
place before this higher tariffs come into place. Jagruti speaking of the final print that
still being ironed out in the treaty with the Philippines. But what do we
know about the agreement so far? What we know is that there is 19%
tariffs on Philippine products. That is that he’s being levied in. Donald Trump
is saying that the U.S. won’t face tariffs. I’ve told into it on its
products into the Philippines. And this is really all about Donald Trump’s
attempts to get access to Asian markets with particular
products like agriculture, livestock, those the sorts of things that Donald
Trump really really wants to get access to. And he appears to have got some
degree of it as we’ve talked about with Japan and now with the Philippines is
cool. The visit by the Philippines, president, a beautiful visit. And now
this 19%, Sony reduction of the 20%. It was threatened by this August, the
1st deadline. Now, just to give you a bit of perspective, according to the
USTR trade figures to twenty-twenty for you to treat U.S. trade deficit with the
Philippines, it was about 4.9 billion dollars. Now this was a more than 20%
increase from the previous years said this is one of the reasons why Donald
Trump is keen to do trade deals with countries like the Philippines and with
Japan because he is very, very keen on reducing this trade deficit. He believes
that that is the way to get America back on top in the global economy. Now, he’s
also struck a deal wave Indonesia, another 19% tariffs. And he saying that
Indonesia will eliminate 99% of tariffs on U.S. products across a variety of
sectors said, as you can see, Donald Trump really really pushing this as a
victory for the U.S. back, as you say, the detail in the final Prince. The charity. Thank you for being all of
down for us. That was such a who teed off at reporting live from Washington

Japanese Prime Minister Shigeru Ishiba has hailed the US-Japan trade deal as a “triumph”,
while US President Donald Trump described the pact as the biggest agreement ever made. The US has also struck a trade deal with the Philippines, following a meeting between President Trump and his Philippine counterpart Ferdinand Marcos Jr at the White House. Jagruti Dave reports from Washington.