Japan takes final steps to impose retaliatory tariffs against US: Source says

The NHK channel reports that Japan government is all set to impose retaliatory tariffs against the US for not receiving an exemption from the imported aluminium and steel tariffs. It also says that the country is taking final steps to notify the World Trade Organisation (WTO) about the plan and necessary procedure under global trade rules later this week.

Being one of the major allies of the United States and having a close tie between its Prime Minister Shinzo Abe and the US President Donald Trump, Japan is under a complete shock as it failed to secure a waiver from US imported aluminium and steel duties, says the source.

Tokyo’s decision to impose retaliatory tariffs on US exports is part of its planned move so that Washington considers adding Japan to the list of exempted countries. Its retaliatory tariffs would be of the same value to duties imposed by Washington via its tariffs, says NHK.

However, a government official reports that no final decision has been taken yet on the retaliatory moves. "Nothing has been decided on what specific response we should take. We're scrutinizing the impact of U.S. tariffs on Japanese companies, and calling for Washington to offer Japan an exemption," the official told Reuters on condition of anonymity.

Initially, Tokyo was wary to follow the footsteps of China and the European Union, which responded to the US’s decision with reciprocal threats, as it used to share strong defense ties with the US.