Japan's top trade negotiator, Ryosei Akazawa, could travel to Washington as early as next week for a third round of trade talks with the U.S., two sources familiar with the plans told Reuters on Thursday.

The date of his visit is still uncertain and will depend on how much progress the two countries can make in narrowing differences in staff-level talks, one of the sources said on condition of anonymity because he was not authorized to speak publicly.

Japan is considering a package of proposals to gain U.S. concessions that could include increased imports of U.S. corn and soybeans, technical cooperation in shipbuilding and revisions to inspection standards for imported cars, the sources said.

There is uncertainty over whether the two sides can resolve differences over Japan's priority, which is to gain exemptions from U.S. tariffs on cars and auto parts — the mainstay of its export-dependent economy. "We will seek a review of the various U.S. tariff measures, such as those imposed on cars, auto parts, steel, aluminum, as well as reciprocal tariffs, which are extremely regrettable," Akazawa, who is also the economic revitalization minister, said at a news conference Wednesday.

On April 2, U.S. President Donald Trump imposed 10% tariffs on all countries except Canada, Mexico and China, along with higher tariffs on many major trading partners, including Japan, which faces 24% tariffs starting in July unless it can negotiate a deal with the U.S.

Japanese policymakers and ruling party lawmakers have said they see no benefit in reaching a deal with the U.S. unless the 25% tariff on auto imports is lifted, given the industry's huge impact on Japan's export-dependent economy.

The impact is already evident in Japan's auto sector. Mazda (7261.T), opens new tab reported a 45.1% drop in net profit for the fiscal year ended in March, and delayed disclosing its current-year earnings estimates until March 2026.

During his second visit to Washington on May 1, Akazawa made a request to U.S. Treasury Secretary Scott Bessent to review 25% tariffs on cars and auto parts, although the two sides have been unable to reach a compromise.

While Japan was the first major economy to start bilateral trade talks with the U.S., Britain was the first to reach a deal with the Trump administration. China also agreed to a truce with the U.S. in a de-escalation of trade tensions that sent global stock prices sharply higher. (Newsmaker23)

Source: Reuters