Japan, US target broad bilateral deal by September

Japan has called for abolition of US tariffs on its industrial goods such as car parts. (Reutes)
Updated 05 August 2019

Japan, US target broad bilateral deal by September

  • Cen Exereicitatur magnam, tem eum quid quam eseque solorit, ut lam ratemos reratem incimus.

TOKYO: Japan and the US have agreed to target a broad deal on bilateral trade by September, seeking to bridge differences of opinion over tariffs on beef and the automobile sector, the Nikkei business daily reported on Sunday.

As part of a drive to rectify what he claims are unfair global trade imbalances, US President Donald Trump has been urging Tokyo to accelerate trade talks that would open up Japan’s politically sensitive agriculture sector, as well as curbing Japan’s US-bound auto exports.
The agreement to target a deal by September was reached during a meeting between Japanese Economy Minister Toshimitsu Motegi and US Trade Representative Robert Lighthizer in Washington, the Nikkei said, citing unidentified negotiating sources.
The paper said both sides hope to have a broad trade deal in place by the time Japanese Prime Minister Shinzo Abe meets US President Donald Trump on the sidelines of UN general assembly scheduled for later in September in New York.

HIGHLIGHTS

• The agreement to target a deal was reached during a meeting between Japanese economy minister and US trade representative in Washington.

• Both sides hope to have a broad trade deal in place by the time Japanese prime minister meets US president on the sidelines of UN general assembly.

• Washington seeks early opening of Japan’s agriculture sector including reductions in 38.5 percent tariffs on US beef imports.

On Friday, Motegi told reporters after meeting Lighthizer that the two sides made “significant progress” in narrowing their differences on trade and agreed to hold another ministerial-level meeting later this month.
Washington seeks early opening of Japan’s agriculture sector including reductions in 38.5 percent tariffs on US beef imports, while Japan calls for abolition of US tariffs on Japan’s industrial goods such as car parts.
Trump and Abe could also look at producing some kind of trade accord later this month when they may meet on the sidelines of Group of Seven leaders’ summit, the Nikkei added.


Struggling WeWork mulls bailout deals with SoftBank, JP Morgan

Updated 14 October 2019

Struggling WeWork mulls bailout deals with SoftBank, JP Morgan

TOKYO: Under-pressure start-up WeWork is considering two huge bailout plans including a cash injection that could see Japanese investment titan SoftBank take control of the firm, according to reports.
The office-sharing giant had been on course for a massive initial public offering until last month when questions began to be asked over its governance and profit outlook.
The firm’s valuation plunged from $47 billion in January to less than $20 billion in September and the listing plans have been dropped, while co-founder Adam Neumann stepped down as chief executive.
With New York-based parent company We Co. not expected to push for the IPO this year, the cash-strapped firm is looking for a financial lifeline.
The Wall Street Journal, New York Times and Bloomberg News cited unnamed sources close to the talks as saying SoftBank — the US firm’s biggest shareholder — had drawn up a proposal that gives it full control of WeWork.
The move would dilute the voting power of Neumann, who remains as chairman of the company he started in 2010 and also currently maintains control a majority of voting shares.
They also reported that WeWork is looking at a deal with Wall Street giant JP Morgan to raise $5 billion in debt, with the Times saying directors of We would be meeting as soon as Monday afternoon to discuss that.
“WeWork has retained a major Wall Street financial institution to arrange financing,” the Journal reported a company spokesman as saying.
“Approximately 60 financing sources have signed confidentiality agreements and are meeting with the company’s management and its bankers over the course of this past week and this coming week.”
The New York-based startup that launched in 2010 has touted itself as revolutionizing commercial real estate by offering shared, flexible workspace arrangements, and has operations in 111 cities in 29 countries.
However, the company, which lost $1.9 billion last year, has faced skepticism over its ability to make money, especially if the global economy slows significantly.