Japanese Prime Minister Shigeru Ishiba announced that he and U.S. President Donald Trump have agreed to delegate foreign exchange-rate issues to their respective finance ministers. Speaking at a news conference following his meeting with Trump on Friday, Ishiba stated, “As during the first Trump administration, we have decided to continue close discussions between the Japanese and U.S. finance leaders, who are the experts.”
This decision follows a video conference call in January between Japanese Finance Minister Katsunobu Kato and U.S. Treasury Secretary Scott Bessent, where both officials agreed to cooperate on various economic issues, including currency rates.
Ahead of the summit, some analysts speculated that Trump might express dissatisfaction with the yen’s weakness, which has contributed to a stronger U.S. dollar and could potentially harm U.S. exports by making them less competitive. Japanese policymakers have been particularly cautious, fearing that Trump’s direct comments on the yen could trigger market volatility and disrupt Japan’s fragile economic recovery.
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