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U.S. and Japan at odds over auto imports

Tracey Samuelson May 24, 2019
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This December 8, 2017 picture shows workers assembling fourth generation Toyota Prius cars on the production line at the company's Tsutsumi assembly plant in Toyota City, Aichi prefecture.
TOSHIFUMI KITAMURA/AFP/Getty Images

President Trump arrives in Japan Saturday. One of the items on his agenda — as is so often the case these days — is trade. The U.S. and Japan are currently negotiating a trade agreement, discussing issues such as improving access to Japan’s agriculture markets for U.S. farmers. Japan’s auto exports to the U.S. are also a source of contention, after President Trump said last week imports from Japan and other countries are a threat to U.S. national security. He set a 180-day deadline, after which he may impose tariffs on foreign cars. To avoid such tariffs, the U.S. may look for Japan to invest more in U.S. auto production or ask it to agree to limitations on how many vehicles can come into the U.S. without an additional tariff.

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