Ishiba states no talk with Trump on auto tariffs at summit

Trump recognises Japan's US big financial investment, task development

LNG, steel, AI and vehicles are areas Japan can purchase US

Nippon Steel will operate under US management, personnel

Japan will not raise defence costs without public assistance

TOKYO, Feb 9 (Reuters) - Japanese Prime Minister Shigeru Ishiba revealed optimism on Sunday that his nation might prevent greater U.S. tariffs, saying President Donald Trump had "acknowledged" Japan's substantial financial investment in the U.S. and the American jobs that it develops.

At his very first White House top on Friday, Ishiba told public broadcaster NHK, he explained to Trump how numerous Japanese automakers were developing tasks in the United States.

The 2 did not specifically talk about vehicle tariffs, Ishiba said, although he said he did not know whether Japan would be subject to the mutual tariffs that Trump has said he prepares to trouble imports.

Tokyo has so far left the trade war Trump let loose in his very first weeks in workplace. He has revealed tariffs on products from Canada, Mexico and China, although he held off the 25% tasks on his North American neighbours to permit talks.

The intensifying trade stress considering that Trump returned to the White House on January 20 threaten to rupture the international economy.

Ishiba said he thinks Trump "acknowledged the truth Japan has been the world's largest investor in the United States for five straight years, and is therefore different from other nations."

"Japan is producing lots of U.S. jobs. I believe (Washington) won't go straight to the idea of higher tariffs," he said.

Ishiba voiced optimism that Japan and the U.S. can prevent a tit-for-tat tariff war, stressing that tariffs need to be put in place in a way that "benefits both sides".

"Any action that exploits or omits the other side will not last," Ishiba said. "The question is whether there is any issue in between Japan and the United States that calls for enforcing greater tariffs," he added.

Japan had the highest foreign direct investment in the United States in 2023 at $783.3 billion, oke.zone followed by Canada and Germany, according to the most current U.S. Commerce Department data.

Trump pressed Ishiba to close Japan's $68.5 billion yearly trade surplus with Washington but expressed optimism this might be done rapidly, elearnportal.science provided a promise by Ishiba to bring Japanese financial investment in the U.S. to $1 trillion.

On Sunday, Ishiba identified melted gas, steel, AI and cars as areas that Japanese companies might invest in.

He likewise discussed Trump's promise to take a look at Nippon Steel investing in U.S. Steel, as opposed to purchasing the storied American company - a prepared purchase opposed by Trump and blocked by his predecessor, Joe Biden.

"Investment is being made to make sure that it remains an American business. It will continue to run under American management, with American employees," Ishiba said. "The key point is how to ensure it remains an American company. From President Trump's perspective, this is of utmost importance."

On military spending, another area where Trump has pushed allies for increases, Ishiba said Japan would not increase its defence budget plan without first winning public support. "It is important to make sure that what is deemed essential is something the taxpayers can comprehend and support," he said. (Reporting by Leika Kihara: Additional reporting by Tim Kelly; Editing by William Mallard)