Legis
Trade
Executive order · Thursday 4 September 2025

Implementing The United States–japan Agreement

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  • Authority: The order is issued under multiple U.S. laws, including the IEEPA and the National Emergencies Act.

  • Framework Agreement:

    • Aims to enhance U.S.-Japan trade relations based on reciprocity and national interests.
    • Establishes a tariff framework to support American producers and address national security.

  • Tariff Structure:

    • A 15% baseline tariff will apply to most Japanese imports.
    • Special treatment for sectors like automobiles, aerospace, pharmaceuticals, and natural resources lacking in the U.S.

  • Market Access:

    • Japan will increase U.S. rice procurements by 75% and purchase $8 billion annually in U.S. agricultural goods.
    • U.S. manufactured passenger vehicles will be accepted in Japan without additional testing.
    • Japan will invest $550 billion in the U.S., generating jobs and supporting domestic manufacturing.

  • Duties on Products:

    • Tariff rates on Japanese products will be set according to their existing rates under the Harmonized Tariff Schedule.
    • For products with a Column 1 Duty Rate under 15%, the effective rate will be 15%.

  • Implementation and Monitoring:

    • The Secretary of Commerce, alongside other officials, will oversee implementation and modifications to tariff schedules.
    • Regular updates on Japan's compliance with commitments under the Agreement will be provided.

  • Flexibility in Tariff Application:

    • The Secretary may reduce tariffs to zero for certain products based on national interest and commitments by Japan.

  • Regulatory Authority:

    • The Secretary and Secretary of Homeland Security have the authority to take necessary actions, including modifying or suspending regulations.

  • Supersession of Previous Orders:

    • This order supersedes any previous proclamations or executive orders that are inconsistent with its directives.

  • Legal Considerations:

    • The order does not create enforceable rights for parties against the U.S. government and will be consistent with applicable law.

  • Publication Costs:

    • The Department of Commerce will bear the costs associated with the publication of this order.