Press Conference by Minister Muto (Excerpt)

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

10:57-11:06 a.m.
Friday, October 3, 2025
Press Conference Room, METI Main Building

Opening Remarks

None

Question-and-Answer Session

Actions to address the U.S. tariff policy

Q: Regarding the 50% tariffs on steel and aluminum, while the scope of their derivative products subject to the tariffs is expanding, the recent Japan-U.S. agreement did not result in a reduction. Could you please specify which related products exported by Japanese companies are most affected, what the current impact is, and what specific support measures are being considered?

A: Regarding the tariffs, this relates to the Prime Minister’s visit to Okayama. The participants in the meeting with Prime Minister Ishiba expressed concerns that even if the tariffs are lowered, there will still be a certain impact on sales. As I have mentioned before, there are voices of concern about this, and also about the need for appropriate measures to pass tariff costs through to product prices to ensure that the impact of the tariffs is not unfairly shifted onto suppliers. In other words, there are concerns about whether these costs can be passed through to product prices in the U.S. market or whether Japanese companies will have to absorb the cost increases themselves. Various concerns have been raised. We must, as a matter of course, closely monitor the adverse effects on steel and aluminum products, as well as their derivative products. In such cases, support measures for countermeasures such as expanding sales channels in Asia and other regions may be considered. Regarding the tariffs on steel, aluminum, and derivative products, we will continue to provide broad information through the Japan External Trade Organization (JETRO), including calculation methods, and carefully monitor the impact on the price competitiveness of Japanese products. We intend to work closely with relevant industries to assess the situation and implement appropriate necessary measures.

Q: As a follow-up, regarding the tariffs, could you tell us which sectors, specifically those involving derivative products, are currently most affected?

A: At present, sectors such as construction machinery, including those manufactured by Komatsu Ltd. and Hitachi Construction Machinery Co., Ltd., as well as tractors and machine tools, including those by Okuma Corporation and Yamazaki Mazak Corporation, are being affected. In my local area, cutlery is also affected. Although the handles are made of wood, the blades are metal. We have only recently understood the calculation methods and are responding based on that understanding. However, we recognize that whether the tariff increases can actually be passed through remains an issue to be addressed going forward.

Public solicitation for next-generation semiconductor businesses

Q: The application period for government investment in next-generation semiconductor companies closed yesterday. Some media reports suggest that Rapidus has applied. Could you tell us about the application status?

A: Do you mean the schedule?

Q: No, I would like to hear your response to the reports that Rapidus has applied.

A: Regarding the public solicitation for next-generation semiconductor businesses under the amended Act on Facilitation of Information Processing, which closed on October 2, we received one application from Rapidus Corporation. We plan to convene the Subcommittee on Next-Generation Semiconductors in the near future. The plan submitted by the company will be examined to determine whether it meets the screening criteria, and the selection process will proceed in accordance with the provisions of the Act. As for the specific schedule, I cannot provide details at this time. However, we intend to hold a subcommittee meeting in the near future.