Comprehensive Response Headquarters for U.S. Tariff Measures

On May 27, 2025, Prime Minister Ishiba held the fourth meeting of the Comprehensive Response Headquarters for U.S. Tariff Measures at the Prime Minister’s Office.

At the meeting, the participants engaged in discussions on response to U.S. tariff measures.

Following the discussion, the Prime Minister said:

“In terms of businesses’ performance outlook for fiscal 2025, the impact of U.S. tariffs is beginning to surface in some industries, as some companies expect to see a decrease in profits. According to firsthand accounts from small- and medium-sized enterprises (SMEs), there are also growing concerns about the future.

Against this backdrop, as part of the “Emergency Response Package for the U.S. Tariff Measures” decided at the end of last month, the Cabinet today, approved the use of reserve funds to address the current rise in the cost of living. To respond to the summer heat, we will allocate 288.1 billion yen to support electricity and gas bills. As a result, for a standard household, for example, this support is expected to reduce utility costs by about 3,000 yen over the three-month period from July to September.

Based on recent international fuel price trends to date and the current exchange rate levels, electricity and other rates for July through September are expected to be lower than those for the same period last year. At the same time, in order to provide support that reflects local conditions, to SMEs and hospitals that use extra-high-voltage electricity and liquefied petroleum (LP) gas, we will increase the amount of priority support grants by 100 billion yen. Together with the 0.2 trillion yen that we are about to execute, we will provide approximately 0.3 trillion yen in support.

In addition, we will take all possible measures to support small- and medium-sized enterprises (SMEs) affected by the U.S. tariff measures by providing approximately 2.2 trillion yen using existing budgetary measures. They include easing requirements for Japan Finance Corporation (JFC) safety net lending; providing cash flow support through the application of the safety net guarantee system; and giving priority support for SME’s capital investment.

Regarding the Japan-U.S. talks on U.S. tariff measures, I ask Chief Cabinet Secretary Hayashi and Minister Akazawa, to continue strengthening coordination and cooperation with relevant ministers, and to accelerate preparations so that we can move even one step closer to achieving results that serve the interests of both Japan and the United States. I also ask relevant Ministers, State Ministers, and Parliamentary Vice-Ministers to deliver the contents of the relevant policies to the frontlines, including new measures through the reserve fund, so that they will be used concretely and effectively. I ask for you to carefully listen to the voices of people on the ground which are constantly changing, and to strive to understand their impact with heightened sensitivity. That is all from me.”