US President Donald Trump said the US had agreed a trade deal with Japan that can be implemented without congressional approval, but he did not confirm that the new tariffs would not be aimed at Japan's vital auto exports.
In a letter to Congress, released by the White House, Trump wrote that he intends to conclude an agreement on tariffs and digital trade "in the coming weeks" and told members of Congress that an agreement on reciprocal tariff reductions could be announced by a presidential proclamation, under a provision of trade law.
"I will also enter into an executive agreement with Japan on digital trade," Trump's letter said.
The approval of the Congress is also not required for the adoption of that agreement, due to the provision on the so-called fast approval process.
The Trump administration notified Congress last year that it would negotiate with Japan, using methods to bypass Congress.
Trump did not address the key point of disagreement with Japan - cars, reports Hina.
Namely, it is not clear from the letter whether Trump agreed not to impose tariffs on Japanese cars and car parts.
The Minister of Finance of Japan, Taro Aso, said that the agreement does not contain provisions on currencies, which was feared by Tokyo, because it wants to avoid any obligations that reduce the possibility of intervening in the foreign currency market, in the event of a disturbance in the yen exchange rate, or reduce the possibility of strengthening a large monetary stimulus.
Trump said after the G7 summit last month that he was not considering auto tariffs "at this time."
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