The 2025 U.S.-Japan Trade Agreement (Trade Deal)

🔒 15% baseline tariffs on Japanese imports apply retroactively from Aug 7, 2025; wait for CBP guidance before PSCs or protests.

U.s. Japan Landmark Trade Deal

On July 22rd 2025, U.S. President Trump announced a landmark trade and investment agreement with Japan, aiming to strengthen the U.S. economy, protect national security, and create jobs. The deal combines targeted tariffs, massive investment, and expanded market access for American producers.

Its purpose is to:

1. Balance trade between the U.S. and Japan.

2. Protect U.S. national security by strengthening key industries, especially manufacturing and defense.

3. Boost the U.S. economy through increased exports and Japanese investment.

Executive Order

On 5 September 2025, the U.S. President signed an executive order that implements the United States–Japan Trade Agreement announced on July 22, 2025. The order sets new tariffs on Japanese goods, defines exceptions, and establishes mechanisms for monitoring Japan’s compliance.

Tariff Framework agreed

• Most Japanese imports will face a 15% baseline tariff.

• Products already subject to a 15% or higher duty are not increased.

• Certain sectors get special treatment, including:

  • Automobiles and auto parts

  • Aerospace products

  • Generic pharmaceuticals

  • Natural resources not available in sufficient quantity in the U.S.

    
    

Natural resources, generic pharmaceuticals, and certain other critical products may have tariffs reduced to zero to protect U.S. supply chains.

Tariffs apply retroactively to imports on or after August 7, 2025.

Tariffs apply to Japanese products entered for consumption or withdrawn from warehouse on or after August 7, 2025, at 12:01 a.m. EDT.

So, CBP is implementing the U.S.–Japan Agreement tariffs retroactively to August 7, 2025. Refunds for overpaid duties will be handled according to existing CBP procedures, once CBP provides instructions. The trade community is advised to wait for CBP instructions before filing for refunds or corrections.

Post Summary Corrections (PSCs) & Protests

CBP advises businesses not submit PSCs or protests regarding retroactive tariffs until CBP issues official instructions. We will update them here.

Errors & Assistance

For entry summary filing errors, businesses are advised to contact the CBP client representative or the ACE Help Desk and email traderemedy@cbp.dhs.gov

Resources, Links and Downloads

• Fact Sheet: President Donald J. Trump Secures Unprecedented U.S.–Japan Strategic Trade and Investment Agreement

• Fact Sheet: President Donald J. Trump Implements A Historic U.S.-Japan Framework Agreement

• Implementing The United States–Japan Agreement Presidential Actions, Executive Orders September 4, 2025

• Executive Order 14257 of April 2, 2025 (Regulating Imports With a Reciprocal Tariff To Rectify Trade Practices That Contribute to Large and Persistent Annual United States Goods Trade Deficits)

• CSMS # 66146676 - INTERIM GUIDANCE: Retroactive Implementation of the United States-Japan Agreement