Trump signed the tariff protocol with Japan, imposing a 15% tax rate.

Last night, Bloomberg reported that Trump has signed an executive order to officially implement the trade agreement with Japan. This agreement will impose tariffs of up to 15% on most imported goods from Japan, including automobiles and parts.

I noticed that this tax rate will be retroactively applied to most goods shipped after August 7, which is the day President Trump imposed tariffs on dozens of trading partners. However, the exemptions for aerospace and automotive imports will take effect within the next week.

The White House has also revealed that Japan is accelerating its plan to increase the purchase of American rice by 75%, which is clearly part of a compromise with the U.S.

At the time of the announcement, the USD/JPY exchange rate showed almost no fluctuation, down just 0.01% at 148.48.

To be honest, this is just the beginning of Trump's new round of trade wars. Just yesterday, he threatened to impose a new 100% tariff on Chinese imports starting from November 1, which is far higher than the current level. At the same time, he plans to implement export controls on "all critical software" and even stated that there is no need to meet with Chinese leaders in South Korea.

These news have triggered significant market fluctuations, with the Nasdaq down nearly 4%, oil and copper prices dropping over 5%, and Bitcoin plummeting over 10% at one point. Gold, on the other hand, has soared to nearly $4000 due to increased demand for safe-haven assets.

It seems that Trump's tariff policy is indeed focused on the three major trading partners: Mexico, China, and Canada, as he promised during his campaign, which account for 42% of total U.S. imports. He claims that the tariff revenue will be used to reduce personal income tax, but in reality, this approach could trigger a global trade war, raise prices, and ultimately harm ordinary consumers.

The U.S. government shutdown has lasted for 8 days, and the director of the White House Office of Management and Budget has stated that layoffs due to the government closure have begun. In the absence of key economic data support, market uncertainty will only continue to rise.