TOKYO: Japanese Prime Minister Shinzo Abe said he would meet the head of Toyota Motor Corp. on Friday, as Tokyo compiles a plan to ward off US criticism of Japanese trade policy before a summit with President Donald Trump next week.
Trump, who has pledged to put America first when it comes to trade, has rattled Japan by criticizing the low number of US cars sold in Japan and by demanding that more cars sold in the US be made locally.
Abe, speaking in parliament on Thursday, said the meeting was arranged months ago, but this will do little to quell speculation that he will pass on some instructions to Japan’s top auto maker about how to avoid Trump’s protectionist ire.
The stakes are high because Japan’s politically powerful auto industry is a major contributor to exports and economic growth. If Trump curbs Japanese auto exports, either from Japan or from plants in Mexico, this could slow Japan’s economy.
“I did not suddenly summon the head of Toyota (because of US criticism),” Abe said.
“This meeting was planned months ago. I cannot tell private-sector companies what to do. The United State thinks the same way.”
Abe and Toyota President Akio Toyoda are set to meet at 6:30 p.m. (0930 GMT) on Friday at a hotel restaurant in Tokyo to exchange views on auto production in North America and other issues, a person involved in the meeting arrangements said.
Some Japanese policymakers worry Trump will consider limits on Japanese auto imports, which make up about 75 percent of Japan’s trade surplus with the US.
Toyota should be considered a US manufacturer because it already makes cars in the US, Toyoda said on Thursday. Toyoda also told reporters that his meeting with Abe was unconfirmed.
Japan’s government is hammering out plans to show Trump its firms are ready to create US jobs, according to a document whose contents were revealed to Reuters.
Abe will visit Washington on Feb. 10 for the talks, at which Trump is expected to seek quick progress toward a bilateral trade deal.
Japan is also considering increasing US shale oil or gas imports, two sources said, which could be another way to ease US concern about its trade deficit with Japan.
Japan PM to meet Toyota president before Trump summit
Japan PM to meet Toyota president before Trump summit
World faces largest-ever oil supply disruption on Middle East war, IEA says
LONDON: The war in the Middle East is creating the biggest oil supply disruption in history, the International Energy Agency said on Thursday, a day after the agency agreed to release a record volume of oil from strategic stockpiles.
Global supply is expected to drop by 8 million barrels per day in March due to the blocking of the Strait of Hormuz, a narrow channel along the Iranian coast, since the US and Israel began a campaign of airstrikes on Iran on Feb. 28.
Middle East Gulf countries have cut total oil production by at least 10 million bpd — a volume equal to almost 10 percent of world demand — as a result of the conflict, the IEA said in its latest monthly oil market report, adding that without a rapid restart of shipping flows these losses were set to increase.
“Shut-in upstream production will take weeks and, in some cases, months to return to pre-crisis levels depending on the degree of field complexity and the timing for workers, equipment and resources to return to the region,” the agency said.
