On May 12, 2025, Japanese Prime Minister Shigeru Ishiba indicated that increasing corn imports from the United States could be part of ongoing trade negotiations with Washington. Speaking in parliament, Ishiba emphasized Japan’s commitment to protecting its domestic agriculture and stated that corn imports might be justified for ethanol fuel and biomass purposes, as domestic corn production is limited. The U.S. exported $2.8 billion worth of corn to Japan in 2024, largely compensating for a dramatic dip in exports to China. Meanwhile, Japan continues to seek exemptions from U.S. tariffs, especially on automobiles, as it faces a looming 24% tariff rate starting in July unless a deal is reached. Bilateral trade talks have made limited progress so far, despite recent visits by Japan’s top negotiator, Ryosei Akazawa, to Washington. The newly imposed U.S. tariffs, including a 25% tax on car imports, are putting significant pressure on the Japanese economy.

Source: Reuters