BOJ Warns of Global Trade Risks Amid Proposed New U.S. Tariffs
BOJ Governor Kazuo Ueda warned that proposed new U.S. tariffs could disrupt global trade and economic growth, affecting consumer sentiment and spending. The announcement comes as additional auto import tariffs are also expected, intensifying global trade concerns.
Published on April 2, 2025
Bank of Japan Governor Kazuo Ueda warned on April 2, 2025, that the United States’ planned new tariffs—adding to existing duties on aluminum, steel, and Chinese goods—could significantly disrupt global trade and economic growth. He highlighted that uncertainties in U.S. tariff policies may diminish household and business sentiment and spending, potentially causing a temporary spike in inflation before eventually slowing growth over the long term.
In addition, the looming announcement of a reciprocal 25% tariff on auto imports, expected to be revealed by President Donald Trump, has added to global concerns. With discussions slated for the upcoming G20 and IMF meetings and the BOJ’s policy meeting scheduled from April 30 to May 1, Japan is bracing for potential impacts on its export-driven economy and the possibility of future adjustments to its monetary policy.