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Minister Akazawa Clarifies US Investment Deal on TV The $550 billion deal is mostly loans and loan guarantees, not cash investment. Only 1-2% (about $5.5-11 billion) is investments subject to a 1:9 profit split favoring the U.S. Japan initially sought a 50:50 profit split but accepted the reduced share with minimal financial loss. Japan secured a 10% tariff reduction saving ~JPY ¥10 trillion in costs. Loan arrangements and guarantees are profitable for Japanese institutions. The deal facilitates strategic investments, benefiting both countries' economies.
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