Takeshi Niinami, CEO and president of Agentory Holdings in the World Economic Forum in Davos, Switzerland, on January 24, 2025.
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Japan has “many letters” to play in tariff negotiations with the United States, according to Takeshi Niinami, senior economic advisor of Japan’s Prime Minister.
His comments are ahead of a three -day trip for the main negotiator Ryosei Akazawa to the United States to speak with the United States Secretary of the United States, Scott Besent, and the United States commercial representative Jamieson Greer.
Niinami, who is also president and CEO or manufacturer of Japanese drinks sumptory holdings, told CNBCS “Squawk Box Asia” that is “cautiously optimistic” about commercial conversations.
He pointed out that Japan has been the largest foreign investor in the United States and the largest foreign holder of Treasury Bonds in the United States.
Therefore, Japan should talk about more opportunities to invest in the United States, and will maintain their massive American treasurer actions, Niinami said, and added that “we know that the president is [very concerned] On the bond market, “referring to the president of the United States, Donald Trump.
Japan has about $ 1.1 billion in US treasurers. UU., And Trump said the sale of the bond market last week was part of the reason why it became its “reciprocal” tariffs.
“I thought people were going out a bit out of place,” Trump said. “They were getting a little ypy, a little scared.”
Kevin Hasett, director of the United States National Economic Council, said on April 10 that the decline in the bond market contributed to Trump’s decision.
He 10 -year Treasury Performance As of April 8, he shot over 4.5% in speculation, a large foreign headline like Japan or China was throwing American bonds. Bond prices move inversely to yields, and increased yields could mean higher mortgage rates in the United States.
Another movement that Tokyo could do would be to talk about military purchases from the United States, said Niinami, since it strives to increase 2% defense expenditure or a gross domestic product.
Japan and the United States have deep military relations, and Japan’s self -defense forces use a wide range of American teams, including combat airplanes, helicopters and some small arms.
“Let’s normalize relationships, because we are the largest ally of the United States. Therefore, we want to normalize the relationship, and we want to improve the relationship between the relationship between [the] The United States and Japan in terms of regional security, “said Niinami.
Japan had a leg with a “reciprocal” rate of 24% of Trump, Althegh, this has suspended for 90 days from April 9, leaving a reference rate of 10%.
Niinami also said that while it is not ideal for Japan to invest in the US. Given the current situation, the recognition that the productivity of the United States is much higher than other countries, which makes the market attractive.
“I think we don’t like the current plan of the United States, but we are because keeping investing [in] United States, “he concluded.
– Alex Harring of CNBC contributed to this story.