President Donald Trump has announced that Japan will begin importing Ford’s popular F-150 pickup trucks, marking a rare opening for American-made vehicles in the Japanese market amid ongoing trade tensions.
Speaking in a phone interview with CNBC on Tuesday, Trump said,
“They’re taking our cars. They’re taking the very beautiful Ford F-150, which does very well. And I’m sure we’ll do very well there.”
Under the trade agreement unveiled in July, Japanese imports into the U.S. will be subject to a 15 percent “reciprocal” tariff—lower than the previously threatened 25 percent. These tariffs are set to take effect Thursday, aligning with measures imposed on several other countries.
In exchange, Japan has agreed to lift restrictions on American cars, including acceptance of U.S. vehicle safety standards—a long-standing barrier for U.S. automakers in Japan.
Despite Japanese companies selling millions of vehicles annually in the U.S., American cars remain a rarity in Japan. Ford withdrew from the Japanese market nearly a decade ago, citing low sales driven by challenges such as vehicle size, driving orientation, and regulatory hurdles. The F-150, for example, is approximately 2.4 meters wide with mirrors—too large for many Japanese roads.
While the White House touted the agreement as a breakthrough, key elements of the deal remain unclear. The timing of the reduction of U.S. tariffs on Japanese car imports is still under discussion. Currently, Japanese vehicles face a 27.5 percent tariff in the U.S.—comprised of a pre-existing 2.5 percent duty and a 25 percent levy imposed by Trump.
Questions also remain about whether the 15 percent cap applies to all Japanese imports or only specific sectors. A recent U.S. executive order suggests the cap applies exclusively to the European Union, casting doubt over its application to Japan.
Japan’s tariffs envoy, Ryosei Akazawa, departed for Washington on Tuesday for his ninth round of negotiations.
“One purpose of my visit is to prompt the issuance of the president’s executive order regarding tariffs on autos and auto parts as early as possible,” Akazawa said before leaving.
He added that he had confirmed the agreed tariff rates with U.S. officials but emphasized the need for thorough coordination ahead of the implementation date.
Further confusion was stirred by Trump’s claim that Japan will invest $550 billion in the United States, with 90 percent of the profits staying in the country.
“That’s like a signing bonus that a baseball player would get. That’s our money. It’s our money to invest as we like,” Trump said.
However, Japanese officials have clarified that the investment will largely consist of loans and loan guarantees—not direct cash infusions.
Negotiations between the two nations are ongoing, with both sides seeking clarity on the full scope and enforcement of the new trade terms.
