Japan and the U.S. are finalizing plans for a meeting between Prime Minister Shigeru Ishiba and President Donald Trump in Washington on February 7, according to sources from both countries, the Asahi newspaper reported Thursday.
The leaders will discuss strengthening cooperation in the areas of security and the economy, the report said. Ishiba wants to build a personal relationship with Trump and agree to further deepen the Japan-U.S. alliance, according to the report.
A spokesperson at Japan’s foreign ministry told Reuters that “nothing has been decided about the specific timing” for a meeting between the leaders and a schedule is being coordinated.
Ishiba also plans to explain job creation in the U.S. by Japanese companies and an increase in Japan’s defence budget at a meeting with Trump, the report said.
Tough Act To Follow
Japan’s annual trade surplus with the U.S. is 8.6 trillion yen ($55 billion). That puts pressure on Prime Minister Shigeru Ishiba to convince President Donald Trump not to ratchet up tariffs on Japanese goods, which Goldman Sachs analysts warn would have a “significantly negative” impact on exports.
Ishiba has a tough act to follow. The late Shinzo Abe launched a charm offensive after Trump’s first election, using time spent playing golf and grabbing burgers to convince the president there was no conflict between the two countries’ national interests.
Commentators in Tokyo have suggested Ishiba hit the driving range ahead of his first trip to Washington. Whether the ramen-loving, model-ship aficionado can reproduce Abe’s bonhomie with Trump is not clear. But there is plenty he can offer to mollify the self-proclaimed “tariff man”.
He can point to the role of Masayoshi Son’s SoftBank in funding Stargate, the new joint venture with OpenAI and Oracle slated to invest $500 billion in AI infrastructure.
Japan’s Growth In U.S. Markets
Japanese corporations announced $42 billion of U.S. acquisitions last year, per Dealogic, more than any other country. Despite Washington blocking Nippon Steel’s $14 billion takeover of U.S. Steel, such investment inflows are primed to continue as Japanese companies seek new sources of growth in the American market.
Ishiba, a former defence minister, can also point to an increase in his country’s military budget to show he agrees with Trump that Japan should play a bigger role in its own protection. Last month his cabinet approved a record 8.7 trillion yen defence budget, including 940 billion yen for a missile system using U.S.-made weapons.
And the prime minister can offer to further limit the sale of advanced machinery and equipment to China. It would reduce revenue at chip-equipment makers like Tokyo Electron, but that pales against the hit of across-the-board tariffs. Ishiba could do worse than remind the returning president he’s got bigger fish to fry — and that Japan can help.
(With inputs from Reuters)
