Japan LDP Tax Chief Labels US Tariff Situation 'Messy' Amid Legal Turmoil

Itsunori Onodera, head of Japan’s Liberal Democratic Party’s tax research committee, described the US tariff landscape as “a real mess” on February 22, 2026, following President Donald Trump’s decision to hike levies to 15% after a Supreme Court ruling struck down his previous reciprocal tariffs. Onodera advised against renegotiating the existing US-Japan trade agreement, noting that auto tariffs—Japan’s primary export concern—are not implicated in the court’s decision. The trade deal, finalized in summer 2025, reduced auto duties to 15% in exchange for a $550 billion investment fund. Onodera expressed concern that ongoing US policy volatility could deter business investment, suggesting that companies might naturally seek refunds for tariffs paid, though such matters would likely be settled in court.