US President Donald Trump says the US has agreed to a “massive” trade deal with Japan, one of the country’s largest trading partners.
The apparent plan will result in Japan investing $550bn (£407bn) into the US and paying a 15% reciprocal tariff, Trump said in a post on social media.
He added that Japan will open its economy to US goods, including cars, trucks, rice and certain agricultural products.
Japan has yet to confirm the deal or the details outlined by Trump. The BBC has contacted the Japanese embassy in Washington for comment.
“I just signed the largest trade deal in history, I think maybe the largest deal in history with Japan,” Trump touted at a White House event on Tuesday evening.
“They had their top people here, and we worked on it long and hard. And it’s a great deal for everybody. I always say it has to be great for everybody. It’s a great deal,” he added.
Trump also said that a trade agreement with the European Union would be announced on Wednesday, with more deals due soon.
In a letter sent to Japan this month, Trump threatened a 25% tariff on the country’s exports to the US if there wasn’t a new trade deal struck before 1 August.
That was one percentage point higher from the 24% rate announced during his so-called Liberation Day on 2 April.
The April tariffs plan, which included duties on many US trading partners across the globe, were paused for 90 days following worldwide market turmoil. It allowed Tokyo’s trade representatives time to negotiate with their counterparts in Washington.
The apparent deal comes as Japan’s Prime Minister Shigeru Ishiba is under pressure to step down after his Liberal Democratic Party (LDP) lost its majority in the country’s upper house in elections over the weekend.
The LDP had already lost its majority in Japan’s more powerful lower house last year.
