In an era marked by global unrest, regulatory complexities, and a shifting market landscape, companies must remain diligent in their trade compliance procedures and stay apprised of changes in the law.
TC Trade Alerts will serve as a central resource for identifying the policy changes, executive orders, and necessary information and context regarding government actions affecting international trade.
| TRUMP ADMINISTRATION TRADE ALERT – IMPORTS | |
| HEADLINE | U.S.-Japan Trade Agreement |
| DATE | September 4, 2025 |
| AGENCY | Trump Administration; Department of Commerce; United States Trade Representative; Department of Homeland Security; Customs and Border Protection (CBP); United States International Trade Commission |
| EFFECTIVE DATE | August 7, 2025, 12:01 a.m. Eastern Time (retroactive) |
| BACKGROUND | On April 2, 2025, the Trump Administration issued
sweeping Reciprocal Tariff rates – with a baseline 10% tariff
on all imports, effective April 5, and enhanced country-specific
rates as specified in Annex I, effective April 9, which were then
suspended until July 9. In Annex I to this order, Japan had a 24%
Reciprocal Tariff rate. On July 31, 2025, the Administration published revised Reciprocal rates to go into effect on August 7, 2025. Japan had a 15% Reciprocal Tariff rate. |
| DETAILS |
On September 4, 2025, the Administration issued an Order
"Implementing the United States-Japan Agreement,"
confirming the 15% tariff on "nearly all Japanese
imports," with certain sector-specific treatment for products
in the automobile, aerospace, pharmaceutical, and natural resource
industries. The Government of Japan has agreed to invest $550
billion in the U.S. to generate jobs and domestic
manufacturing.
While the tariff rate revisions are retroactive to "products of Japan" (a term that will be further defined by additional rules yet to be released by CBP) entered on or after August 7, 2025, CBP instructed "the trade community is not to file a Post Summary Correction or protest until CBP issues instructions on how those requests for refunds should be submitted." |
| BASIS | International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 U.S.C. 1601 et seq.), section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. 1862) (section 232), section 604 of the Trade Act of 1974, as amended (19 U.S.C. 2483), and section 301 of title 3, United States Code |
| HTS/ PRODUCTS |
All, unless otherwise exempted by subsequent agreement or specified in agreement |
| COUNTRY | Japan |
| CITE | White House – Implementing The United States–Japan
Agreement – The White House Federal Register – Federal Register :: Implementing the United States-Japan Agreement CBP – CSMS # 66146676 – INTERIM GUIDANCE: Retroactive Implementation of the United States-Japan Agreement |
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