Daily Management Review

Trump Urged Abe To Influence Japanese Auto Firm To Produce More Vehicles In The U.S.


Trump Urged Abe To Influence Japanese Auto Firm To Produce More Vehicles In The U.S.
Japanese Prime Minister Shinzo Abe was pressed by the U.S. President Donald Trump to force Japanese auto companies to increase production of vehicles in greater numbers in the US.
A readout of the recent meeting between the two leaders provided by the U.S. ambassador to Japan on Saturday shows that recent public announcements by Japanese carmakers were discussed by the leaders which included the most recent announcement of Toyota to make more investments in U.S. plants.
“We talked about the need to see more movement in that direction but I think the president feels very positive that we will see such movement because all the economics support that,” said Ambassador William Hagerty.
Trump said in the campaign rally in Green Bay, Wisconsin, that Abe has assured that Japan would invest $40 billion in U.S. car factories. However, no timeline for the investment was announced by Trump.
Last month, the largest automaker of Japan Toyota had announced that that it would increase upon its earlier commitment of making investments of $10 billion over five years and said that the investment would reach almost $13 billion in the same period.
Amidst the Trump administration issuing threats of imposition of import tariffs of up to 25 per cent largest automaker on the pretext of national security, the Japanese auto companies have been urged by Trump to generate more jobs in the United States.
By the time Trump visits Tokyo in May, there can possibly be an agreement between the US and Japan over a new bilateral trade deal, Trump on Friday. However issues of differences between Trump and able were also cited.
“We want to ensure that the U.S. has trading terms with Japan that are no less favorable than any other nation,” Hagerty said in a phone call with reporters.
Hagerty said that both the leaders agreed on their intention to stop importing oil from Iran, and added that both the leaders discussed a “desire to see Iran change its path and seek a more peaceful course forward.”
There are also plans being considered by Trump to participate in the summit of the Group of 20 industrialized nations which is scheduled to take place in the city of Osaka in June, he added.
On a separate issue, the ambassador said that there was optimism in Trump about the success of the trade talks with China.
During Trump’s visit in November 2017, the two leaders struck up something of a “bromance”. This was done at the golf club outside Tokyo because both are fans of the sport.
Trump’s drive to make peace with North Korea has been publicly supported by Japan because it closely aligns its foreign policy with the United States. Japan however remains cautious about the chances of a success for US’s North Korea strategy.
Trump will become the first foreign leader to greet the new emperor of Japan, Naruhito, when he travels there on May 25 to 28.