The steel tariffs imposed under former President Donald Trump against Japan could be announced on Monday.
The U.S. and Japan could announce an agreement as early as Monday to end steel tariffs introduced by former President Donald Trump, sources told Bloomberg.
That would mean a 25% tariff for Japan’s steel imports that meet a certain threshold would end, according to sources who told Bloomberg.
The volume of Japan’s steel imports to the U.S. is about 4%.
In 2017, before the tariffs were imposed, the U.S. imported an estimated 1.7 million metric tons of steel from Japan and 1.9 million tons in 2016, according to Census Bureau data.
A new resolution ending the tariff is similar to the solution that the U.S. and the European Union reached in October that halted the tariffs on $10 billion of goods.
This negotiation does not include a tariff on aluminum imports, currently assessed at a 10% levy. The fifth largest source of U.S. steel is imported from Japan, according to data from the Commerce Department.
The Office of the U.S. Trade Representative’s spokesperson declined to comment, according to Bloomberg. The Japanese embassy in Washington and the Commerce Department did not respond to requests for comment immediately.
The tariff dispute began in 2018 when Trump enacted levies on both aluminum and steel from Asia, the European Union and other countries, citing national security risks.
The European Union then targeted American products such as Levi Strauss & Co. jeans, bourbon whiskey and Harley-Davidson’s motorcycles.
The U.S. attempted to settle the steel tariff in December, but officials in Tokyo sought a deal eliminating the levies altogether, an official familiar with the talks told Bloomberg.
