Trump’s past remarks accusing Japan of intentionally maintaining a weak yen, have fuelled market expectations that Tokyo will face pressure to strengthen the yen’s value against the US dollar and give US manufacturers a competitive advantage
Published Mon, Apr 28, 2025 · 12:16 PM
[TOKYO] Japan’s top currency diplomat on Monday (Apr 28) denied a media report that US Treasury Secretary Scott Bessent had told his Japanese counterpart at a bilateral meeting in Washington that a weak US dollar and a strong yen are desirable.
“As we have said, the US side did not touch upon exchange-rate targets in the finance minister talks,” Atsushi Mimura, Japan’s vice-finance minister for international affairs, told reporters.
Japanese Finance Minister Katsunobu Kato and Bessent had their first face-to-face talks on Thursday on the sidelines of the International Monetary Fund and World Bank meetings in Washington.
The Yomiuri newspaper reported on Friday evening that Bessent told Kato his preference for a weak US dollar and strong yen, without citing sources.
On Saturday, Kato also denied the Yomiuri report on the X social media platform, repeating that they did not discuss exchange-rate targets or a framework to manage yen rates.
In the press conference, Kato was tight-lipped on the details of the 50-minute meeting with Bessent, declining to comment on whether the US made any specific requests to Japan.
US President Donald Trump’s focus on addressing the US trade deficit and his past remarks accusing Japan of intentionally maintaining a weak yen, have fuelled market expectations that Tokyo will face pressure to strengthen the yen’s value against the US dollar and give US manufacturers a competitive advantage.
Bessent said on Saturday that he had “very constructive talks” with Kato.
“I was pleased to follow up on previous reciprocal trade discussions between the United States and Japan, as well as to discuss matters pertaining to exchange rates,” he said. REUTERS
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