US President Donald Trump has signed a trade deal with Japan on 7th Oct 2019. This enables good opportunities for farmers. This deal is a revoke of the multilateral Asia-Pacific pact.
Earlier, in 2017 the US withdrew from the multilateral Asia-Pacific pact. Now Trump administration has signed a deal with Japan which has withdrawn earlier. The US trade war with China has benefited Japan in one way.
After signing the final trade agreement with Japan, Trump stated
I think we’re at a stage with Japan where our relationship
American agricultural products such as Almonds, Beef, Cheese, Pork, Wheat and Wine with an estimate of $7 billion can be exported to Japan and in turn, Japanese industrial products would get rebate o tariffs.
Japanese Prime Minister Shinzo Abe stated
It certainly is the Japanese ambition to have car tariffs be ..
But at this point, it’s not part of this agreement.
The US has signed an agreement-in-principle last month with Japan before today’s developments. Donald Trump has accused China of serious allegations regarding trade policies in the Un General Assembly in New York.
Trump urged the World Trade Organization to review its policies as China is taking an uneven advantage. China is the second-biggest economy in the world after the US.
On the other side, Europen union unrest because of the Brexit is affecting the markets a lot. The present economic situation is facing a threat of recession.
US-China Trade war and Brexit are new big threats to the present ongoing financial crisis. The US has acted tough and faced equally from China related to the trade policies in recent times.
At this junction, the US_Japan trade deal is considered to be a small relief for both the countries. Earlier the US has announced some measures against Japan showing national security concerns. This deal has not mentioned any note of relaxing them.