Japan could lose $17 billion in car exports due to U.S. tariffs, says UN trade agency

Record ID: 1988267

  • Title: Japan could lose $17 billion in car exports due to U.S. tariffs, says UN trade agency
  • Date: 4th April 2025
  • Summary: MASERU, LESOTHO (APRIL 4, 2025) (REUTERS) WIDE OF THE LEVI’S FACTORY / WORKERS SEWING AND STITCHING JEANS LEVI’S FACTORY WORKER STITCHING LABELS AND FOLDING JEANS FACTORY WORKER CARRYING LEVI'S JEANS WORKER TAKING A LEVI’S TAG WORKER SEWING A LEV’IS TAG ON A PAIR OF JEANS WORKERS INSPECTING FINISHED JEANS SECRETARY GENERAL OF ECONOMIC FREEDOM TRADE UNION, TSEPANG MAKAKOLE
  • Embargoed:
  • Keywords: ITC Japan US United Nations tarrifs
  • Location: YOKOHAMA, TOKYO AND MIYAGI PREFECTURE, JAPAN / GENEVA, SWITZERLAND / WASHINGTON, D.C., UNITED STATES / INTERNET
  • City: YOKOHAMA, TOKYO AND MIYAGI PREFECTURE, JAPAN / GENEVA, SWITZERLAND / WASHINGTON, D.C., UNITED STATES / INTERNET
  • Country: Japan
  • Topics: Asia / Pacific,Government/Politics,International Trade
  • Reuters ID: LVA002427604042025RP1
  • Aspect Ratio: 16:9
  • Story Text: Japan could lose $17 billion in car export potential in the U.S. following President Donald Trump's decision to introduce 25% tariffs on the automotive sector, the International Trade Centre (ITC) said on Friday (April 4).
    "The flat 25% tariff on the sector that came into force yesterday means that Japan could lose 17 billion in export potential to the U.S., according to our calculations," Julia Spies, ITC chief of trade and market intelligence, told reporters in Geneva.
    U.S. President Donald Trump's administration on Wednesday confirmed that his 25% global car and truck tariffs will take effect as scheduled on Thursday and that duties on automotive parts imports will be launched on May 3.
    The tariffs cover more than $460 billion worth of imports of vehicles and auto parts imports annually, according to a Reuters analysis.
    Slovakia, Japan and Honduras are some of the countries highly exposed to U.S. tariffs on automotives, the U.N. trade agency said. The U.S. market represents a large share of these countries' automotive sector exports.
    The ITC said Japan may seek to diversify its export destinations for vehicles.
    "Markets such as China, Germany, the Philippines and Thailand together hold unrealised export potential for Japanese vehicles that matches the estimated loss in the U.S. market," said Spies.
    Nearly half the cars sold last year in the U.S. - the world's largest importer of cars - were brought in from abroad, according to research firm GlobalData.
    (Production: Cecile Mantovani)
  • Copyright Holder: REUTERS
  • Copyright Notice: (c) Copyright Thomson Reuters 2025. Open For Restrictions - http://about.reuters.com/fulllegal.asp
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