Press Conference by Minister Muto (Excerpt)

*Note: This is a provisional translation for reference purposes only.

8:38 to 8:48 a.m.
Friday, June 6, 2025
In front of the elevator hall, 2nd floor, Annex to the House of Representatives

Opening Remarks

Revision of the Blueprint for Industrial Development Based on the Fukushima Innovation Coast Framework

Today, we will publicly disclose the revised version of the Blueprint for Industrial Development Based on the Fukushima Innovation Coast Framework, which was formulated in 2019. The revised blueprint provides the guidelines for the measures to be implemented over the next five years for independent and sustainable industrial development in Fukushima.

We have added three new factors to the blueprint: local earnings, daily life, and expansion of participants in the related activities, and will continue intensive work on them. We will also create leading models of regional revitalization that can be applied nationwide. We will make an all-out effort for the earliest possible recovery of the region.

The administrative staff will provide a briefing on the details later.

Question-and-Answer Session

Japan-U.S. tariff negotiations

Q: Minister Akazawa is visiting the United States for the fifth round of Japan-U.S. tariff negotiations. Please share with us your expectations for the fifth round.

Also, for U.S. tariffs on automobiles, some news media outlets are reporting that the Japanese side is proposing a system which will lower the 25-percent additional tariff based on each country’s level of contribution to the U.S. automobile industry. Could you express your view on this system?

A: Yesterday, Mr. Akazawa Ryosei, Minister in Charge of Economic Revitalization left for the United States to talk with the U.S. side.

I expect that the two sides will foster discussion toward the conclusion of an agreement that is beneficial to both sides, and the Ministry of Economy, Trade and Industry will continue to cooperate closely with Minister Akazawa’s team.

With regard to the media report that you mentioned, I will refrain from commenting on the details of what was discussed at the Japan-U.S. talks, because of their diplomatic nature. However, the series of tariffs imposed by the U.S. side, including those on automobiles, are extremely regrettable, and the Government of Japan will continue to maintain its stance of strongly urging the U.S. side to review and lift the tariffs.

Inauguration of Mr. Lee Jae Myung as the new president of the Republic of Korea

Q: In the Republic of Korea (ROK), Mr. Lee Jae Myung was recently inaugurated as the new president of the country. What is your perception of this?

Also, this year marks the 60th anniversary of the normalization of the Japan-ROK relations. As the global economy is facing more uncertainty due to U.S. tariff measures, I feel that the importance of relations with neighboring countries is increasing. Under these circumstances, how will you foster Japan-ROK economic cooperation?

A: First of all, I would like to congratulate Mr. Lee Jae Myung on his inauguration as the new president from the bottom of my heart. The ROK is an important neighbor for Japan, and the two countries need to cooperate with each other as partners to address various challenges faced by the international community. I do not foresee any change in the importance of Japan-ROK relations toward the future. Although there exist some difficult issues between the two neighboring countries, Japan will work with the new administration of the ROK to further promote bilateral economic cooperation in a range of fields. Regarding U.S. tariff measures, Japan has been exchanging views and communicating with countries including the ROK. We would also like to continue such communication with the new administration of the ROK.

Japan-U.S. tariff negotiations

Q: Some news media outlets have reported that in Japan-U.S. tariff negotiations, Japan will propose to the U.S. side a cooperation package with a focus on measures targeting China. Is this report based on facts?

A: I am aware that the topics of discussion at Japan-U.S. tariff talks include trade expansion, non-tariff measures, and cooperation for economic security. As for the media report that you mentioned, it is my understanding that the two sides have not made specific reference to China or any other countries in the bilateral talks. I will refrain from making any comments on further details of the talks, because of their diplomatic nature.

Start of the construction of TSMC’s second factory

Q: Let me ask you about the start of the construction of the second factory of Taiwan Semiconductor Manufacturing Company Limited (TSMC) in Kumamoto Prefecture.

At a press conference held in Taiwan on the third of June, the CEO of the company said that the construction would start (later than initially planned) by the end of 2025 and listed traffic congestion in Kumamoto as a challenge to be met. Concerning the construction, did the Government of Japan receive any reports from TSMC? If the answer is yes, what did they say about the reason for the postponement?

A: I am aware of the news about the construction postponement. As for the second factory of TSMC/ Japan Advanced Semiconductor Manufacturing, Inc (JASM) to be constructed in Kumamoto, we have not received any reports from TSMC that state that the construction would be postponed due to the degradation of local traffic conditions. Also, it is not true that TSMC has gained consent for the postponement from the Government of Japan. Meanwhile, the Government is supporting Kumamoto Prefecture in improving the related infrastructures, including the roads around the factory premises, through the provision of grants from the Cabinet Office. Going forward, the Government will closely monitor the situation toward smooth investment in the factory and the completion of its construction.

Ministerial Council for Realizing Stable Supply of Rice

Q: Now let me ask you about the Ministerial Council for Realizing Stable Supply of Rice, which had its first meeting yesterday. Minister Muto, you participated in the meeting as a member of the council, putting your main focus on issues related to the export of rice, I think. What contributions will the Ministry of Economy, Trade and Industry make to rice-related issues? The supply of rice is presently very tight in Japan and based on this situation, how will the Ministry work on the export of rice? Could you share your view on this issue?

A: I understand that the Minister of Economy, Trade and Industry is expected to contribute to developing new overseas sales channels for rice. The Ministry of Economy, Trade and Industry (METI) has been implementing a program to support businesses which are looking to start export operations, and through this program we will help exporters find new overseas sales channels for rice. Also, through measures such as making effective use of cross-border e-commerce, providing support in the form of accompaniment by international business experts, and promoting business matching between exporters and domestic export trading companies, we have been supporting exports of agricultural, forestry, and fishery products and food.

In cooperation with the related governmental agencies and organizations including the Ministry of Agriculture, Forestry and Fisheries, we will consider what particular contributions we can make to rice-related issues.

Start of the construction of TSMC’s second factory

Q: Regarding TSMC’s second factory, you have said that the Government of Japan has not received any reports from the company. However, the postponement of the construction was publicly announced, and METI approved the plan for the establishment of the second factory in February 2024 and decided to spend up to 732 billion yen as subsidy for the factory. Will the postponement of the construction have an impact on the provision of the subsidy?

A: Initially, TSMC announced that they would start construction of the second factory during the period from January to March 2025, and it is true that the start of construction has been delayed. I have heard that TSMC is spending much time in making necessary adjustments with related parties, but as for when to start production at the second factory and the production amount, I understand that no significant changes have been made to the company’s plan as of today.

At any rate, as I have already mentioned, the Government of Japan will closely monitor the situation toward smooth investment in the factory and the completion of its construction.