Policy · Policy / trade
US and Japan agree to talks on steel tariffs and a new industrial partnership
- From
- Government of Japan (METI) (Tokyo)
- Covers
- US government (Commerce Department), Washington, D.C.
- Value
- Not disclosed
- Status
- Talks led to a deal in February 2022 that let a set amount of Japanese steel into the US without the tariff.
- Date
- 2021-11-15
Japan's trade minister Koichi Hagiuda and US Commerce Secretary Gina Raimondo agreed in Tokyo to start talks on the 25% steel and 10% aluminum tariffs the US had placed on Japanese metals in 2018 under Section 232, a national-security law. They also set up the Japan–US Commercial and Industrial Partnership (JUCIP) to work together on chips and supply chains.
Why it matters
The steel tariffs had hurt Japanese steelmakers selling to the US, and JUCIP became one of the main channels for US–Japan chip cooperation in the years that followed.
The deal that followed
In February 2022 the US agreed to let up to 1.25 million tonnes a year of Japanese steel, spread over 54 product types, in without the 25% tariff, starting April 1, 2022. Steel above the quota still pays the tariff, and it must be melted and poured in Japan to qualify. The 10% aluminum tariff stayed in place.
Sources
Kakehashi M&A News home
