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### POV: U.S.-JAPAN TRADE ISSUES BACK ON......>

JAPAN
JAPAN: ### POV: U.S.-JAPAN TRADE ISSUES BACK ON THE RADAR (RE-POST)
- On May 26 U.S. President Trump tweeted "Great progress being made in our Trade
Negotiations with Japan. Agriculture and beef heavily in play. Much will wait
until after their July elections where I anticipate big numbers!" Trump also
said that he may announce "something" on a U.S.-Japan trade agreement in August,
well within the six-month deadline he laid out earlier in May.
- Trump & Japanese PM Abe are close friends, and Trump wouldn't have wanted to
place undue pressure on Abe ahead of the upper-house elections. Now that the
elections are over & with Abe claiming a majority (albeit short of the
super-majority required to reshape the pacifist sections of the constitution) we
should look for greater scrutiny of the U.S.-Japan trade situation from Trump.
- The U.S.-Japan trade deficit is the U.S.' fourth largest with a nation/region
- There is a chance that one of, or a combination of; Trump's close relationship
with Abe, the potential for a long drawn out U.S.-China trade spat, Japan-South
Korea tensions or Trump choosing to escalate the situation with the EU divert
his attention elsewhere/prevent him from escalating the situation with Japan.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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