US and Japan agree on trade deal with tariffs, Trump says

US President Donald Trump says the US has agreed to a massive trade deal with Japan, one of the countrys largest trading partners.

The apparent plan will result in Japan investing $550bn (£407bn) into the US and paying a 15% reciprocal tariff, Trump said in a post on social media.

He added that Japan will open its economy to US goods, including with cars, trucks, rice and certain agricultural products.

Japan has yet to confirm the deal or the details outlined by Trump. The BBC has contacted the Japanese embassy in Washington for comment.

This is a very exciting time for the United States of America, and especially for the fact that we will continue to always have a great relationship with the Country of Japan, Trump said.

In a letter sent to Japan this month, Trump threatened a 25% tariff on the country‘s exports to the US if there wasn’t a new trade deal struck before 1 August.

That was one percentage point higher from the 24% rate announced during his so-called Liberation Day on 2 April.