U.S. Tariffs on Japanese Medium, Heavy Trucks Rise to 50 Pct

Washington, Nov. 1 (Jiji Press)–The administration of U.S. President Donald Trump imposed an additional 25 pct tariff on imports of medium and heavy trucks Saturday, raising the levy on such vehicles from Japan to 50 pct. The new tariff is imposed on top of the existing 25 pct tariff on imports from Japan, as medium and heavy trucks were not included in the Japan-U.S. tariff negotiations. This has raised concerns about a possible impact on Japanese commercial vehicle manufacturers. Washington also implemented a 10 pct additional tariff on buses, adding to the existing 2 pct tariff on imports from Japan. The U.S. government is expanding sector-specific tariffs under section 232 of the Trade Expansion Act, which is intended to address threats to national security. The truck tariff also covers parts including engines and tires. Goods covered under the United States-Mexico-Canada Agreement, or USMCA, a free trade agreement among the three countries, are exempt from the levy. Washington will introduce measures to ease the tariff burden for companies that manufacture medium and heavy trucks in the United States. The Trump administration aims to encourage manufacturers to relocate production to the United States, as more than 40 pct of such vehicles sold in the country are imported. END [Copyright The Jiji Press, Ltd.]