US-Japan trade deal unsettled as Tokyo cancels Washington visit

The United States and Japan face renewed uncertainty over a high-stakes trade arrangement after Tokyo's chief trade negotiator abruptly canceled a scheduled visit to Washington aimed at formalizing a pledged 550 billion investment package in exchange for lower U.S. tariffs. The postponement came as the two governments remain at odds over the legal form and implementation sequence of the agreement, including the timing of a presidential order to reduce auto and other tariffs to 15 percent and the financial details governing the Japanese investments.

Officials in Washington have said an announcement on the investment package would be made this week. U.S. Commerce Secretary Howard Lutnick told a television audience that Japan had committed 550 billion in U.S.-bound investment and suggested the funds would be available to President Trump to direct into projects tied to American economic security. "The Japanese agreement, which we are going to announce later this week, that's 550 billion at the hand of Donald Trump," he said. The U.S. side has also indicated investments could target sectors such as semiconductors, rare earths and antibiotics.

Tokyo, however, signaled concern about...