Japan Rejects U.S. Claims about Import Car Barriers

The Japanese government has rejected a claim by the U.S. that the country uses a “variety of non-tariff barriers” to limit access to its domestic car market, Reuters reports.

“We do not impose import tariffs and cars, and we do not impose any non-tariff barriers,” declares Cabinet Secretary Yoshihide Suga to reporters earlier today.

Suga also rejects U.S. claims to the World Trade Organization that Japan’s agricultural sector is shielded by “substantial” barriers. The U.S. submitted a similar claim to the WTO two years ago. But Reuters says this one is likely to garner more attention because of the Trump administration’s vow to revise U.S. trade pacts.

Foreign car brands, mostly European luxury marques, control a combined 4% of Japan’s domestic car market. U.S. brands account for only 0.3% of sales there. Japanese brands hold a 39% market share in the U.S.

U.S. Vice President Mike Pense and Japanese Deputy Prime Minister Taro Aso will head a “joint dialogue” about current trade conditions. Reuters says Japan has indicated it would prefer to avoid talking directly about autos and agriculture, focusing instead on foreign direct investment, energy and other infrastructure.