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Japan steps in to woo Trump with soybean and LNG purchases as China cuts US imports

FP News Desk October 22, 2025, 18:27:32 IST

Japan’s new Prime Minister Sanae Takaichi is preparing a package of US goods including Ford pickups, soybeans and LNG to strengthen trade ties with Washington as China sharply reduces American imports amid an escalating trade rift.

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Japan steps in to woo Trump with soybean and LNG purchases as China cuts US imports

As Japan’s newly elected Prime Minister Sanae Takaichi begins her tenure, Tokyo is preparing a carefully crafted offer to US President Donald Trump, one that could help smooth tensions and reaffirm Japan’s commitment to its most vital ally.

According to sources quoted by Reuters, Japan’s government is finalising a purchase package of U.S. goods including Ford F-150 pickup trucks, soybeans and liquefied natural gas (LNG) ahead of trade and security talks scheduled for next week in Tokyo.

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The move comes as China, once the largest buyer of American soybeans has sharply curtailed imports from the United States, intensifying pressure on Washington to find alternative markets for its agricultural exports.

US soybean shipments to China fell to zero in September for the first time in nearly seven years as Beijing pivoted to suppliers in Brazil and Argentina amid escalating trade tensions.

Tokyo steps in as Washington seeks new markets

By expanding US soybean and LNG imports, Japan appears ready to fill part of that void — while also signalling its willingness to strengthen economic ties at a moment of uncertainty in global trade.

Sources told Reuters that Tokyo could scale back its Brazilian soybean purchases to accommodate more imports from the US, which already accounts for roughly 70% of Japan’s soybean consumption.

For Trump, who faces mounting criticism at home from US farmers over China’s pullback, Japan’s gesture could offer a timely political and economic win. “The alliance with the United States is the cornerstone of Japan’s foreign and security policy,” Takaichi said at her inaugural press conference.

The proposed package includes purchases of Ford F-150 pickup trucks, an idea Trump himself floated in August, calling the vehicle “the very beautiful Ford 150.” While such large trucks are ill-suited for Japan’s compact roads, they could be repurposed for snow-ploughing or public works, officials said.

A delicate diplomatic balancing act

The upcoming Tokyo summit will mark Trump’s first visit to Japan since his re-election and will test Takaichi’s ability to navigate relations with Washington while managing domestic political headwinds. Her government holds only a parliamentary minority and a successful meeting with Trump could help consolidate her authority.

Takaichi will, however, avoid committing to a new defence spending target even as the U.S. continues to press its allies to boost military budgets. Instead, she is expected to reaffirm Japan’s ongoing defence build-up, already projected to exceed 2% of GDP by 2027.

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Japan hosts the largest US military presence in Asia, including an aircraft carrier, a Marine expeditionary force, and several fighter jet squadrons. “It’s not about the amount or ratio to GDP,” Foreign Minister Toshimitsu Motegi said on Wednesday. “What matters is the substance of our defence capabilities.”

Managing the Trump factor

Takaichi’s outreach mirrors the approach of her predecessor, Shigeru Ishiba, who last year pledged to invest up to $550 billion in U.S. projects in exchange for lower tariffs on Japanese autos.

During her leadership campaign, Takaichi criticised the agreement as overly favourable to Washington, giving the U.S. nine-tenths of the profit share but later promised to honour it. “Even with a one-to-nine profit split, if the risk is low, it can still make business sense,” a senior Japanese official said.

Japan’s planned purchases of US LNG are also seen as part of a longer-term effort to diversify energy imports and align with Trump’s energy diplomacy, though initial shipments are unlikely to come from the Alaskan pipeline project championed by the U.S. president.

Trade friction and regional strategy

The timing of Trump’s visit underscores broader economic realignments driven by the U.S.–China trade rift. As Beijing reduces American agricultural imports, Washington has sought to deepen export relationships with allies such as Japan, South Korea, and Vietnam.

According to The Times of India and Farm Progress, Chinese importers have turned almost entirely to Brazil for soybeans, leaving US farmers worried about long-term market erosion.

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For Japan, the opportunity is both strategic and symbolic, reaffirming its role as Washington’s most dependable partner in Asia while insulating itself from potential economic fallout of Sino-US rivalry.

Trump and Takaichi are expected to meet Emperor Naruhito during the two-day visit before travelling to Malaysia for the ASEAN summit and then to South Korea for the APEC leaders’ meeting.

A positive outcome from the Tokyo talks could offer mutual gains: Trump secures economic goodwill to counter China’s trade snubs, while Takaichi strengthens her political footing at home and reinforces Japan’s alliance with Washington amid an increasingly uncertain regional order.

With inputs from agencies

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