Japan unveils emergency economic package after Trump tariffs

The Japanese government unveiled on Friday emergency economic measures to counter the impact of US President Donald Trump's tariffs, Kyodo news reported.

The relief package consists of five pillars, including support for corporate financing and steps to stimulate consumption, meant to alleviate concern that the US levies could weigh on Japan's exports and take a heavy toll on the broader economy.

The measures were taken ahead of a second round of bilateral trade talks with Washington, which is expected to be held next week.

During a meeting, Prime Minister Shigeru Ishiba directed the officials to make maximum efforts to reduce the impact of higher US tariffs.

"It is extremely important for us to clearly convey to the United States the fact that Japanese enterprises have been making a significant contribution to the US economy through investment and job creation," he said.

The government also pledged to reduce gasoline and diesel prices by 10 yen ($0.070) per liter and subsidies for energy bills from next month.

The Trump administration has imposed 24% tariffs on Japanese imports, particularly hitting sales of cars, steel and aluminum, but is currently attempting to negotiate with Washington as the US president granted a 90-day reprieve to all nations, except China, hit by his "reciprocal" tariffs.

Tokyo has repeatedly urged Washington to exempt Japan from the tariffs.

Last week, Trump met Japanese Economy Minister Akazawa Ryosei at the White House, who was the first foreign trade negotiator hosted by Trump after the president announced a 90-day reprieve for all countries except China to negotiate tariff agreements with the US.

Ryosei is expected to visit the US again on Wednesday to hold talks with US Treasury Secretary Scott Bessent.