United States contemplates imposing tariffs on Japan, potentially resulting in billions of dollars in losses for automotive original equipment manufacturers.

In a recent development, the United States has threatened to impose sweeping tariffs on Japanese automobiles and auto parts, potentially leading to increased importing costs for major Japanese OEMs such as Toyota, Honda, Nissan, Mazda, Mitsubishi, Subaru, and Suzuki.

If enforced, these tariffs could exacerbate the financial difficulties faced by these carmakers due to declining exports from Japan to the US and North America. According to recent financial results, exports from Japan to the US and North America have seen a significant decrease compared to 2024.

The proposed tariffs, if enforced, could result in higher costs for the production and sale of vehicles by these OEMs. The new threat against Japan is higher than the 24% duty Trump suggested for the country during the "Liberation Day" tariffs announced in April.

The tariffs, if imposed, would be in addition to the existing 25% import duty on all vehicles and parts, as well as the 50% tariff on steel and aluminum. These tariffs are to be imposed unless a deal is brokered in "good faith" before July 9th.

The potential tariff could potentially affect the competitiveness of these Japanese OEMs in the US market. If enforced, the tariffs could lead to adjustments in the production and sales strategies of these Japanese OEMs.

It's important to note that ongoing negotiations and talks involving US government representatives and Japanese counterparts are underway to resolve the planned tariffs. However, the search results do not provide specific names of the individuals involved in these negotiations.

In light of these developments, the financial performance of these Japanese carmakers could potentially be impacted by the proposed tariffs. The increased costs and potential loss of competitiveness in the US market could pose significant challenges for these companies.

Stay tuned for more updates as the situation develops.