Japan

A U.S. official on Wednesday called for Japan and Korea to do some “soul searching” amid flaring tensions between the two countries, while Japan on Thursday approved its first export licenses for chemicals used in tech products headed to South Korea after imposing export restrictions last week.

While an escalating trade fight between Japan and South Korea is already affecting U.S. supply chains, the Trump administration has yet to show definitively whether it plans to intervene -- though industry officials and analysts say they would like to see the U.S. do so.

As it works on a potential trade deal with Japan, the Office of the U.S. Trade Representative is eyeing provisions in trade law allowing for unilateral tariff changes that do not require congressional approval, according to sources familiar with the talks.

“I plan to explain to all those involved that Japan's measure affects the global economy, with implications for all products that use semiconductors.”

“Japan’s trade-restrictive measures could not only hurt Korean enterprises but also disrupt the global supply chain.”

President Trump on Friday held several meetings with world leaders in Osaka, Japan, addressing a host of trade issues during a G20 summit that administration officials said was notable for its focus on World Trade Organization reform and digital economy coordination.

President Trump will travel to Osaka, Japan, for the G20 summit this week. He is expected to meet with Prime Minister Shinzo Abe.

A trade deal with Tokyo that covers agriculture is feasible “in the next few months,” U.S. Trade Representative Robert Lighthizer told the Senate Finance Committee on Tuesday, with “across-the-board” issues to be addressed later.

Democratic lawmakers are calling on the Trump administration to explain the president’s recent claims that a new immigration deal with Mexico to avert 5 percent tariffs included additional agriculture purchases.