The leaders of Japan and the United States spoke positively of their decision Friday to set up a dialogue on bilateral trade, but forthcoming negotiations may cost Prime Minister Shinzo Abe political capital at home.
Stopping short of declaring the start of bilateral free trade agreement negotiations, Abe and President Donald Trump agreed to establish a "bilateral dialogue framework" co-helmed by Deputy Prime Minister Taro Aso — who doubles as finance minister — and Vice President Mike Pence.
Under the banner of his "America First" agenda, Trump pulled the U.S. out of the 12-party Trans-Pacific Partnership trade agreement shortly after taking office on Jan. 20. With its largest signatory by gross domestic product gone, the TPP cannot come into force under its current terms.