Japan's emergency economic measures to counter impact of US tariffs

The package is aimed at alleviating concerns that the US tariffs could weigh on Japan's exports, and may badly affect the broader economy, according to domestic media reports.

The package includes support for corporate financing, steps to stimulate consumption, reducing gasoline and diesel prices by 10 yen per litre and subsidies for energy bills. The government may also consider expanding the scope of low-interest loans for smaller companies beginning next month.

"It is extremely important for us to clearly convey to the United States the fact that Japanese enterprises have been making a significant contribution to the US economy through investment and job creation," Prime Minister Shigeru Ishiba said.

The country’s economic revitalisation minister Ryosei Akazawa is expected to visit the United States again soon to discuss with US treasury secretary Scott Bessent, responsible for negotiations with Japan.

Depending on the outcome of the second round of talks, Japan may reportedly introduce additional steps to prevent the performance of Japanese manufacturers from nosediving and consumer confidence from sharply sliding.

ALCHEMPro News Desk (DS)