Detroit Urges 30-Year Phase-Out For Tariff on Japan Cars

Detroit Urges 30-Year Phase-Out For Tariff on Japan Cars

Now that Detroit automakers have failed to keep Japan out of regional free trade talks, they are hoping that the U.S. will listen to its demand that the auto tariffs are phased out in no less than 25 to 30 years.

The American automakers are also demanding that the pact include “strong and enforceable provisions to prevent Japan from intervening in currency markets to depress the value of the yen,” according to Matt Blunt, president of the American Automotive Policy Council.

SEE ALSO: Detroit 3 Protest Japan-US Trade Agreement

Japan is formally joining negotiations on the proposed Trans-Pacific Partnership agreement next month in Malaysia, and the American automakers, represented by the American Automotive Policy Council, is trying to hold onto the current 2.5 percent tariff on Japanese cars and the 25 percent tariff on Japanese trucks for as long as it can.

Recently, certain Japanese automakers have been under fire for lowering prices as the Japanese government continues to drive down the value of the yen. Some automakers, such as Nissan, have been able to offer large discounts on their vehicles – as much as $5,000.

[Source: Automotive News]