U.S. rebukes Japan over “high” tariffs

Criticized Japan on its tariffs of food products such as oranges, cheese and wine

U.S. President Donald Trump’s administration criticized Japan on Friday for its “high” tariffs on U.S.-made farm and other food products such as oranges, cheese and wine.

“Japan maintains high tariffs that hinder U.S. exports of agricultural and other food products to its market,” the Office of the U.S. Trade Representative said in an annual report on foreign trade barriers.

The USTR published the report ahead of negotiations for a bilateral trade agreement to start possibly in mid-April as part of the Trump administration’s efforts to reduce the U.S. trade deficit with Japan.

“These high tariffs include grains, sugar, citrus, wine, dairy and a variety of processed foods, and generally apply to food products that Japan produces domestically,” it said.

In trade talks with Tokyo, Washington is likely to call for cutting tariffs on items specified in the report, such as 32 percent on oranges imported during the period from December to May, 22.4 to 40 percent on various types of cheese, 20 percent on dehydrated potato flakes and 17 percent on apples.

In addition to agricultural products, the USTR said tariffs of 3.5 to 10 percent on fish and seafood products such as herring and salmon, as well as Japan’s import quotas on products like Alaska pollock and cod, remain an impediment to U.S. exports.

The USTR also pointed to high tariffs Japan imposes on leather, footwear and travel goods.

As for nontariff barriers, the USTR rebuked Japan’s state-run import system for rice and wheat, a sign that Washington may push for improved market access for these commodities.

“Japan’s highly regulated and nontransparent importation and distribution system for rice limits the ability of U.S. exporters to have meaningful access to Japan’s consumers,” the report said.

It said such barriers include issues related to “unique standards and testing protocols,” hindrances to the development of distribution and service networks, and insufficient opportunities for input by interested parties throughout the process of developing regulations.

“These barriers, together with other past and current policies and practices, have had the long-term effect of excluding and disadvantaging U.S. manufacturers in the Japanese market,” the report said.