Trump lands historic $550 billion trade deal with Japan that will create US jobs

President Donald Trump said on Tuesday, adding that he would create hundreds of thousands of jobs.

“We have just completed a huge deal with Japan, and perhaps the biggest deal ever,” Trump said. “Japan will invest, in my direction, at a value of $ 550 billion in the United States, which will receive 90 % of the profits. This deal will create hundreds of thousands of jobs – there was nothing like that.”

Trump said that Japan will open its country to trade in things such as cars, trucks, rice and other agricultural products.

Japan will also pay a 15 % mutual tariff for the United States, according to the deal.

Trump urged to confront South Korea on the technical regulations that target us, and to spare China

“This is a very exciting time for the United States of America, especially for the fact that we will always continue to have a great relationship with the country of Japan,” Trump said.

During his speech at the White House on Tuesday evening, Trump boasted the deal and how “the largest commercial deal in history” with Japan.

He said that “senior people” in Japan were in the White House and worked long and arduous to “a lot for everyone.”

Trump announces 25 % of the customs tariff in Japan, South Korea

President Donald Trump holds a plan for “mutual definitions” while speaking during a commercial advertising event, “Make the wealthy America again” in the White House garden on April 2, 2025. (Chip Somodevilla / Getty Images / Getty Images)

“I always say it should be great for everyone,” Trump said. “It’s a lot – a lot different from deals in the past, I can tell you that. But we really achieve well as a country.”

The deal with Japan comes about two weeks after Trump announced that the United States will impose a 25 % tariff on goods imported from Japan.

The effect was expected to enter on August 1, and if Japan raised the customs tariff in revenge, Trump threatened to increase customs duties with an equal amount in a letter sent to Japanese Prime Minister Shigro Ishiba.

The definitions will return to April level

An employee works in the hall of the Asahi Tekko Auto Pieces Factory in the city of Hikinan, Aichi Governorate on April 1, 2025. (Richard A. Brooks / AFP via Getty Images / Getty Images)

In the same letter, though, Trump told Japan that there will be “no tariff” if companies in Japan decide to build or manufacture a product inside the United States, and in fact, we will do our best to obtain approvals quickly, professional and professionally – in other words, within weeks.

“We look forward to working with you as a commercial partner for many years,” Trump added. “

In April, Trump announced the “mutual” tariff policy under which the American tariff depends on goods imported from foreign countries on the volume of bilateral trade deficit in America with those countries.

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According to the mutual tariff announced at the event of the so-called “Liberation Day”, imports from Japan will face a 24 % tariff while goods from South Korea will get a 24 % tariff-numbers largely in line with the tariff announced by the president by 25 % in his messages.

Eric Rafeel in Fox Business contributed to this report.