[Title] Press Conference by Prime Minister ISHIBA Shigeru regarding the Signing of the Presidential Executive Order on the Reduction of U.S. Tariffs and Other Matters

(On how the Government of Japan regards the signing of an executive order by U.S. President Trump which levies a 15 percent tariff on Japanese automobiles, including a provision applying a reduced reciprocal tariff rate on imported goods, resulting in Japan's total tariff rate becoming 15 percent)

Ever since the agreement was struck between Japan and the United States on July 22, Japan has given the utmost priority to continuing our efforts to coordinate the materialization of the reduction in tariffs on the U.S. side at the earliest possible time. This has culminated in President Trump today signing an executive order regarding measures that reduce the tariffs imposed on Japan.

Retroactive to August 7, the reciprocal tariffs will not be levied on items with an existing tariff rate of 15 percent or higher, while items taxed at less than 15 percent will be subject to a 15 percent tariff rate [in total], including the existing rate.

The tariffs on automobiles and auto parts will be reduced from 25 percent to 15 percent, including existing tariffs. Moreover, the executive order specifies that for semiconductors and pharmaceuticals, even if by some chance sector-specific tariffs come to be imposed in the future, Japan will receive treatment at least as favorable as that afforded to the EU or any other country, and for aircraft and aircraft parts, no tariffs will be imposed of any kind.

We have formulated two documents concurrently with the signing of this executive order, in response to a request from the U.S. side. I regard this as extremely significant also from the perspective of the GOJ aiming to provide a thoroughgoing explanation of the matter so that we can achieve broad-based understanding among the Japanese public.

The two documents I mentioned were, first, a Memorandum of Understanding, called an "MOU," which was signed by Minister Akazawa and U.S. Secretary of Commerce Lutnick. This MOU confirms the common understanding between Japan and the U.S. regarding our US$550 billion investment initiative. The second document we drew up was a joint statement that reaffirms both countries' commitments under the Japan-U.S. agreement.

I also prepared a personal letter from me to President Trump, which Minister Akazawa delivered on my behalf. It expressed my desire for President Trump and I to together build a golden age in Japan-U.S. relations and also extended an invitation for President Trump to visit Japan.

This has been based on my approach of "investment over tariffs," which I pushed for all throughout our negotiations. That is something I have been advocating consistently, and it is imperative that both Japan and the United States implement this agreement faithfully and without delay.

As another point I have been mentioning for some time, nationwide, we have established roughly a thousand locations offering special consultation services. Those offices will respond to any kind of consulting requests brought to them. We intend to enhance their capabilities even further. When I say they will respond to consulting requests, I mean we intend to take all possible measures to minimize any impacts on the economy and on employment by making use of such measures as cash-flow assistance for owners of small- and medium-sized enterprises.

I expect that this series of efforts will contribute to further reinforcing the Japan-U.S. alliance, ensuring economic security, and promoting Japan's economic growth. With this objective in mind, the Government will do its utmost while gaining the understanding of the public. As for the details, I will be receiving a report from Minister Akazawa once he returns to Japan. That is all for now.

(On whether the signing of this executive order on tariff negotiations has resulted in any changes to Prime Minister Ishiba's plans for remaining in office, against the backdrop of growing calls for an early leadership election within the Liberal Democratic Party)

The signing of the executive order is not relevant in any special sense. The tariff negotiations between Japan and the United States have been the Government's highest priority, and we have devoted all our efforts to realizing a fruitful outcome at the earliest possible time. I consider it really magnificent that we achieved this while enjoying the understanding and support of so many people.