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Internal conflict on the U.S. side during U.S.-Japan negotiations.

Internal conflict on the U.S. side during U.S.-Japan negotiations.

TraderKnowsTraderKnows
2025-06-09
Summary:The fifth round of US-Japan trade talks failed to reach a consensus, and the on-site dispute among senior US officials caught the Japanese side off guard.

11.28 US Japan

Fifth Round of Trade Talks Stalls, Japan Says "No Consensus Yet"

On the afternoon of June 6, local time, the fifth round of ministerial-level trade talks between the United States and Japan was held in Washington, focusing on discussions surrounding the high tariff policy led by the Trump administration. However, despite Japan's claim of "further progress," the two sides have yet to reach a consensus on key issues.

Japan's Minister for Economic Revitalization, Ryozo Akazawa, stated after the meeting that the atmosphere of the talks was complex, and no specific agreements have been reached. Japanese media pointed out that this round of talks once again highlighted the disarray and inconsistency in the U.S.'s economic and trade stance towards Japan.

Dispute Among U.S. Representatives, Japanese Side "Left Out"

According to reports from Japanese media cited by the United Daily News, during the negotiations, evident disagreements arose among three key U.S. officials—Treasury Secretary Besent, Commerce Secretary Lutenick, and Trade Representative Greer. These differences even led to public arguments on-site, leaving the Japanese representatives sidelined and creating an awkward scene.

This internal dispute within the U.S. delegation puzzled the Japanese. An accompanying Japanese official noted that the severe division of opinions made it "difficult to determine the true intentions of the Trump administration."

Internal Strife Among Three Senior U.S. Officials: Divergent Stances

According to insiders, not only are there overlaps in their duties among these three senior U.S. officials, but there are also significant differences in their political backgrounds and stances on tariff policies. Besent, a Wall Street veteran with a mild demeanor, was crucial in pushing for a 90-day delay in implementing "reciprocal tariffs," suggesting a moderate stance. In contrast, Lutenick advocates for a tough trade protection policy, demanding more concessions from Japan.

Sources suggest that these three are competing with each other to showcase their abilities in negotiation, aiming to win Trump's favor and gain more political capital. This "internal competition" has directly led to the inefficiency of the talks.

Japan Hopes for High-Level Meetings During G7

Facing the current impasse in the talks, Japan has set its sights on the upcoming G7 Summit in Canada this month. Japanese media reports that Japan is actively seeking to facilitate a formal meeting between Prime Minister Shigeru Ishiba and President Trump during the summit to overcome the current deadlock and reach a substantive agreement.

Japanese government officials hope that direct high-level dialogue will clarify the true stance of the U.S. and prevent a repeat of the confusion caused by middle-level officials "speaking at cross-purposes."

Internal Chaos in the U.S. Undermines Trust in Negotiations

Experts point out that the lack of a unified position within the U.S. delegation not only significantly slows down the negotiation process but also impacts the trust of their partners. Japan is currently in a passive position, facing multiple pressures from the U.S. while finding it challenging to judge whether the final negotiation results will be consistent and sustainable.

Some analysts bluntly stated: "If the U.S. high-level officials do not quickly unify their voices, even if Shigeru Ishiba and Trump successfully conclude a meeting, it will still be difficult to truly advance the implementation of an agreement."

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Risk Warning and Disclaimer

The market carries risks, and investment should be cautious. This article does not constitute personal investment advice and has not taken into account individual users' specific investment goals, financial situations, or needs. Users should consider whether any opinions, viewpoints, or conclusions in this article are suitable for their particular circumstances. Investing based on this is at one's own responsibility.

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Balance of Trade

The trade balance, also known as the balance of trade, refers to the difference between the total exports and imports of a country or region over a certain period (usually one year). It is a significant indicator used to measure the international trade status of a country or region.

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