Japanese officials said Friday they will pay close attention to how emerging trade tensions between the Trump administration and Mexico could affect Japanese firms, including major automakers that trade heavily across the border.

"Japanese companies have based parts of their supply chains in Mexico, so we want to watch closely to see whether they might be affected," Economy, Trade and Industry Minister Hiroshige Seko told a news conference following a Cabinet meeting.

Mexican President Enrique Pena Nieto on Thursday canceled a meeting with U.S. President Donald Trump after Trump's press secretary said that the president, who campaigned on an "America First" platform, is considering imposing a 20 percent tax on all imports from Mexico to pay for a proposed wall along the border.