U.S.-Japan Trade Agreement (USJTA)
U.S.-Japan Trade Agreement (USJTA) is a limited tariff agreement signed October 7, 2019 and in force since January 1, 2020, covering market access for agricultural and some industrial goods between the two countries.
What it requires
Japan cut or eliminated tariffs on about $7 billion of US farm products such as beef and pork, while the US cut or removed tariffs on 241 tariff lines, including some machine tools and musical instruments. Importers claim the preference with special program indicator JP and must meet the agreement's rules of origin. A companion digital trade agreement bars customs duties on electronic transmissions. Under a separate 2025 framework, US Section 232 duties on Japanese autos and parts were set at 15 percent.
Why it matters
USJTA matters mostly to operators handling Japanese-origin industrial goods or exporting US food to Japan, because the agreement is narrow and leaves most consumer products at normal rates. A 3PL importing Japanese machine tools or musical instruments for a brand should check whether a USJTA preference lowers the duty before quoting landed cost, and keep documents supporting the JP claim. The 2025 framework matters more for auto parts distributors, since the Section 232 rate for Japanese parts is 15 percent instead of the general 25 percent.
Related laws
Sources
Not legal advice.