Trump Announces Trade Deal With Japan That Lowers Threatened Tariff To 15%

President Donald Trump announced a long-awaited trade agreement with Japan on Tuesday night, a framework between allies and major trading partners that appeared elusive just weeks ago.

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"I just signed the largest trade deal in history; I think maybe the largest deal in history with Japan," Trump said during a reception with Republican members of Congress Tuesday night.

"They had their top people here, and we worked on it long and hard. And it's a great deal for everybody."

The deal will see US importers pay 15% "reciprocal" tariffs on Japanese goods exported to the United States. But importantly for Japan, the 15% rate will also extend to automobiles and car parts—putting it at an advantage over other major vehicle exporters, which have faced a 25% levy on automotive sector exports since April.