Japan’s $550 Billion Investment in US Halted? Akira Takizawa Suddenly Cancels US Visit
Japan’s trade negotiator and Minister for Economic Revitalization, Akira Takizawa, originally scheduled to visit the US today (28th) to discuss details of US tariffs and Japanese investment agreements, abruptly canceled his trip, drawing external attention. The official Japanese explanation is that there are still administrative-level matters requiring prior coordination and confirmation. However, Japan’s Kyodo News reported that the real reason appears to be the US side’s failure to commit to canceling superimposed tariffs on Japan.
Kyodo News reported that Takizawa canceled his planned US visit from the 28th to the 30th on the 28th. The trip was intended to finalize details of the Japan-US economic and trade tariff negotiations. Japanese officials explained that the reason for the sudden cancellation was "some administrative-level matters requiring confirmation during coordination with the US side." It remains uncertain whether the visit will be rescheduled.
However, the report indicated that the real reason for Takizawa’s postponement is that the Japanese government had originally expected the US to issue an executive order canceling superimposed tariffs on Japan and reducing Japanese auto tariffs before Takizawa’s visit. However, the US side was unwilling to provide a clear commitment, leading Takizawa to cancel the trip.
When the US government announced reciprocal tariffs for various countries in early August, Japan was subjected to a "15% superimposition" on existing tariffs, which differed from Japan’s understanding. After Japanese protests, White House officials confirmed that Japan would receive the same treatment as the EU, exempt from the 15% tariff superimposition. However, the US has yet to make the correction.
There is also a significant discrepancy in the interpretations of the investment agreement. According to the Japanese side, the so-called $550 billion investment in the US is actually a form of "guaranteed loan," with only 1–2% of the funds being actually invested. In contrast, Trump compared the funds to a "signing bonus" received by baseball players when signing contracts, stating that Japan’s $550 billion investment in the US is "our money, to be invested at will."
Takizawa’s visit was originally intended to resolve disagreements between the two sides on these two issues. However, given the sudden cancellation, it appears that Japan and the US have yet to find common ground, and there is likely a long way to go before a written agreement can be reached.