The United States has proposed eliminating tariffs on imported Japanese vehicles over 30 years in bilateral talks related to a wider Pacific free trade pact, but Japan rejected it because the phaseout period is unusually long, sources close to the matter said Friday.
The proposal comes as Japan resists pressure to eliminate tariffs on U.S. beef in bilateral talks holding up the Trans-Pacific Partnership agreement. The goal of the pact, in principle, is to eliminate all tariffs.
Tokyo has been urging Washington to eliminate auto tariffs while the United States has placed priority on improving market access for U.S. farm products, including beef.