President Trump and Prime Minister Shinzo Abe of Japan announced on Sunday at the annual G7 Summit in France that they have reached a trade deal “on principle” that could expand U.S. access to Japanese markets. The tentative deal indicates that Trump will not move forward on threats he’s made to increase automobile tariffs against Japan. “We’ve agreed in principle,” Trump said of the new deal, claiming it will amount to “billions and billions of dollars,” and will be “one of the biggest deals we’ve ever made with Japan.” According to Trump, the deal will also help American farmers who have been impacted by the ongoing trade disputes with China, as Japan has agreed to buy excess corn that is weighing on the U.S. agricultural industry as a result of the issues between Washington and Beijing.
Abe spoke of the agreement with less assurance than Trump. Through an interpreter, the prime minister said that the two leaders “reached consensus with regard to the core elements related to agricultural and industrial trade,” but added that the two countries “still have some remaining work that has to be done,” referring to the details of the agreement.