Japanese trade minister Hiroshige Seko has said that there is a high chance that some Japanese steel and aluminum products will be exempted from the new US tariffs as they contribute to US industries and as they are not quickly replaceable, Reuters has reported.
US President Donald Trump had pressed ahead with import tariffs of 25 percent on steel and 10 percent for aluminum, but had exempted Canada and Mexico and offered the possibility of excluding other allies. According to Reuters, Trump’s proclamation also allowed importers to seek exemptions for specific products. Japanese steelmakers and others are encouraging their US clients to apply for exemptions, according to the Japanese minister.
Stating that Japan continues to seek a country exemption, Seko went on to say, “We will continuously and tenaciously ask to exempt Japan from the tariffs.”.
According to Reuters, Japan exports about 2 million metric tons of steel products a year to the US. This represents about five percent of Japan’s total steel exports, but Japanese steelmakers are concerned that the US tariffs may prompt retaliation and trigger a trade war.