Most Japanese firms back US tariff deal, but earnings impact split — Reuters survey.
A Reuters corporate survey found three-quarters of Japanese companies view the new US–Japan tariff agreement favourably, after Tokyo secured concessions from Washington that lowered planned import duties.
Under the July deal, US tariffs on Japanese goods were set at 15% — down from the previously planned 25% — while the auto levy was cut to 15% from 27.5%.
Despite the relief, the 15% auto tariff remains well above the pre-Trump level of 2.5%, and 38% of firms expect a negative earnings impact from the pact, compared with 20% seeing a positive effect.
Toyota, for example, trimmed its profit forecast by 16%, while Sony raised its outlook by 4%, citing smaller-than-feared tariff effects. Almost all respondents said the deal would not alter capital expenditure plans.
The survey also showed 54% of companies expect to raise prices further to offset higher costs, while 46% see little scope for additional hikes. Some firms warned higher prices were already dampening demand and shrinking markets.
AloJapan.com