Japan

Members of Japan’s National Diet, speaking in Washington, DC, on Tuesday, stressed that Tokyo will not be able to make the same concessions it did in the Trans-Pacific Partnership talks if the U.S. seeks a bilateral agreement with Japan instead -- and said detailed discussions on trade can’t happen until relevant U.S. agencies are adequately staffed.

But Akihisa Nagashima says some concerns were eased following a meeting between President Trump and Pime Minister Abe.

Japanese Deputy Prime Minister Taro Aso this week offered “no guarantee” the United States will strike a better deal with Tokyo if it chooses to pursue a bilateral trade agreement, stressing that U.S. gains with Japan in the 12-nation Trans-Pacific Partnership depended on other countries “balancing out the gains and losses.”

Eyeing more cooperation with the U.S., particularly on cases involving China.

“Our tolerance for continuing to be the deficit that eats the surpluses of the whole rest of the world – the president is not tolerant of that any more.”

Commerce Secretary Wilbur Ross will accompany Vice President Mike Pence to Japan next week, where U.S. interests in bilateral trade discussions may run up against Japanese hopes to keep talks at a broader economic level, according to sources.

“Japan needs to be first. We will lose market share in Japan if we do not move quickly on this,” said an executive with the NPPC.

U.S.-Japan Caucus co-chairs Reps. Dave Reichert (D-WA) and Joaquin Castro (D-TX) voiced support Monday evening for expanding trade with Japan without taking a stance on what shape a potential agreement would take. Japan is still cool to the idea of a bilateral free trade agreement following the U.S. decision to abandon the Trans-Pacific Partnership, sources have told Inside U.S. Trade.