U.S. car industry cites job losses


Japan’s participation in the Trans-Pacific Partnership could cause a loss of 26,500 jobs in the United States, according to a study commissioned by the U.S. auto industry.

The study was released by the American Automotive Policy Council, a lobbying body for three major U.S. automakers. The council is opposing Japan’s participation in the negotiations over the far-reaching free-trade regime.

“This study reinforces AAPC’s position that including Japan in the TPP will be a detriment to the U.S. economy,” AAPC President Matt Blunt said in a statement.

If the 2.5 percent U.S. tariff on Japanese vehicles is removed, Japanese vehicle exports would increase by an estimated 105,000 units, or $2.2 billion worth, according to the study sponsored by Ford Motor Co. and conducted by the Center for Automotive Research.

The estimated rise in Japanese vehicle exports could result in losses of some 2,600 direct jobs at U.S. automakers, 9,000 supplier jobs and 14,900 spinoff jobs, the study says.

The total job loss in the U.S. could rise to 91,500 if the tariff removal were to come with a rise in the dollar’s effective rate to around ¥100, it argues.

Opposition from the U.S. auto industry is a main obstacle in the preliminary talks on Japan’s participation in the full-fledged TPP negotiations.