Trump Tariffs Cast Shadow Over Local Industries

Apr 09, 2025 | News On Japan

GIFU, Apr 09, 2025 (News On Japan) - The impact of former President Donald Trump's tariff policy is spreading beyond the auto industry and now threatens local manufacturing sectors in Japan’s Tokai region, including long-established pottery makers in Gifu Prefecture.

"Just how far will Trump's tariff policy reach? We visited a Mino ware kiln exporting to the United States to find out," said announcer Takashi Uesaka in a report.

At Kaneko Kohyo Pottery in Toki City, Gifu Prefecture, a company with over 100 years of history, the effects of the policy are being felt.

Q. Did you expect ceramics to be hit by tariffs as well?

"Not at all. We were honestly shocked and unsure how to respond," said company president Yuki Ito.

The company began expanding overseas about a decade ago, focusing on Europe, and in 2018 entered the U.S. market. Currently, exports account for 10 to 15 percent of total sales, with roughly half of that going to the U.S., raising concerns over future performance.

"In the U.S., our products already sell at higher prices than in Japan due to distribution costs. If tariffs push prices up even further, I’m worried about how consumers will react," said Ito.

However, he also sees a potential upside: the chance for handmade items to be recognized as luxury goods.

"If price-conscious customers drop off and we are left with those who truly value our products, it might actually help us strengthen the Kaneko Kohyo brand worldwide," he added.

Negative effects on daily life could follow

Economic experts warn that the ramifications of Trump’s tariff policy are not limited to U.S.-bound exports.

"If countries like China and Vietnam also face tariffs on exports to the U.S., their economies could slow, and demand for exports from Japan and the Tokai region could decline as a result," said Hiroaki Tsukada from Mitsubishi UFJ Research and Consulting.

As exports stall, the risk of broader economic impact grows.

"Export disruptions can lead to slower domestic production and a weakening economy. That, in turn, affects household income and stock prices. Even if inflation slows due to weaker growth, it doesn’t mean living standards will improve," said Tsukada.

The turmoil caused by the Trump tariffs appears likely to persist for some time.

Source: Nagoya TV News

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