Japan to propose rare earth and LNG cooperation to U.S.

Japan is preparing a strategic offer to the United States centered on rare earth elements and liquefied natural gas, aiming to secure relief from steep U.S. tariffs amid growing trade frictions with China.

Japan plans to present a cooperation package focused on rare earth minerals and liquefied natural gas (LNG) to the United States during ongoing tariff negotiations, Nikkei Asia reported on Thursday. The proposal is aimed at strengthening supply chains disrupted by escalating tensions between Washington and Beijing.

China, a dominant player in the global rare earth market, has recently imposed export restrictions on seven critical minerals and halted LNG imports from the United States. Tokyo hopes that by supporting the U.S. in managing these disruptions, it can obtain concessions on American tariff measures.

Japan’s Economic Revitalization Minister Ryosei Akazawa, who is leading the country’s negotiations, departed for Washington on Thursday for a fifth round of talks over President Donald Trump’s trade policies. According to Jiji Press, this is Akazawa’s third consecutive weekly trip to the U.S., underscoring the urgency of the discussions.

“We'll continue to strongly urge the United States to review the series of tariff measures,” Akazawa said before leaving Tokyo. His current four-day visit comes ahead of a possible meeting between Prime Minister Shigeru Ishiba and President Trump at the G7 summit in Canada in mid-June.

Japan has repeatedly called on the U.S. to remove its 25% tariff on car imports. Although a 24% retaliatory tariff by Japan has been temporarily suspended, the U.S. continues to apply a 10% baseline tariff along with additional duties on steel and aluminum.

Akazawa noted that details regarding meetings during this round of negotiations were still being finalized, but the priority remains clear: advancing discussions to avoid long-term damage to bilateral trade and supply chain stability.

Copied