U.S. President Donald Trump is now in Japan for his first meeting with Prime Minister Sanae Takaichi. The meeting is an early diplomatic test for Takaichi, the first woman to lead Japan. She took office only last week and has a tenuous coalition backing her.
Trade is the focus of Trump's Asia trip. In Malaysia
, he participated in a regional summit, seeking to realign the international economy with his “America First," vision.A trade deal between the
U.S. and China is drawing closer, officials from the world’s two largest economies said Sunday as they reached an initial consensus for Trump and Chinese leader Xi Jinping to aim to finalize during their high-stakes meeting.
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Asian shares surged Monday while European markets were little changed after Trump said he expected to reach a trade agreement with China.
Germany’s DAX gained 0.2% to 24,279.53 and the CAC 40 in Paris slipped 0.1% to 8,218.42. Britain’s FTSE 100 also shed 0.1%, to 9,640.12. The future for the S&P 500 jumped 0.9% while that for the Dow Jones Industrial Average was up 0.6%.
Work on trade deals that might alleviate friction between the U.S., China and other major trading partners has reassured investors, especially in Asia.
Japan’s benchmark Nikkei 225 gained 2.5% to 50,512.32, a new closing high following news that the world’s two largest economies had reached an initial consensus for Trump and Chinese leader Xi Jinping to finalize during a high-stakes meeting later in the week.
Brazilian farmers are increasing soybean production as the U.S. and China engage in a trade fight.
The conflict has shut American soybeans out of the Chinese market, leading China to seek more Brazilian supply. China’s customs body reported no U.S. soybean imports in September, a first since November 2018.
Brazilian soybeans already accounted for over 70% of China’s imports last year. Brazil’s Agriculture Ministry expects the next soybean harvest to rise by 3.6%.
Farmers in the U.S. are worried about losing the Chinese market permanently, even if a trade agreement is reached, and are seeking other markets.
Treasury Secretary Scott Bessent said a potential agreement, which has been the subject of extensive negotiation, could require more time.
“Just a lot of details to work out,” he said. “Very complicated deal, and I think we’re very close.”
A sticking point has been Washington’s push for South Korea to invest $350 billion in the U.S.
U.S. Trade Representative Jamieson Greer said “Koreans have a great plan to invest in U.S. shipbuilding,” an industry that Trump wants to expand.
Bessent says there’s “a framework” for Trump and Xi to discuss during a meeting in South Korea later this week.
The details are still unclear, but Bessent said American and Chinese negotiators discussed tariffs, rare earths, fentanyl and “a substantial purchase of U.S. agricultural products.” Specifically, Washington wants Beijing to buy soybeans from U.S. farmers.
Trump chimed in by saying “we feel good” about working things out with China.
As Air Force One approached Tokyo, Trump posted on social media about renovations at the Kennedy Center for the Performing Arts.
He said exterior columns had been “beautifully painted in a luxuriant white enamel color, replacing the fake looking gold paint that was there for years.”
There are also “many major improvements” on the way, including “seating, carpeting, wall coverings, ceilings, chandeliers, stages, heating and A/C, etc.”
Trump also posted a picture of the renovated Oval Office, which features extensive gold trim and more portraits of presidential predecessors.
“Look how beautiful the Oval Office is, now,” he wrote.
Trump is still upset about Ontario’s television advertisements criticizing his tariffs by citing a speech from former U.S. President Ronald Reagan.
Trump noted that the advertisement was yanked from the air, “but they did it very late” and “they let it play for another two nights.”
Trump said he wouldn’t meet with Canadian Prime Minister Mark Carney in South Korea, where they’re attending the same summit.
“I don’t want to meet with him,” he said. “I’m not going to be meeting with him for a while.”
The president said he wants the current chairman, Jay Powell, to leave “as soon as possible,” and he could pick a replacement by the end of the year.
Powell’s term as chair ends in May. Trump has stepped back from threats to fire Powell, although he has tried to push out another board member, Lisa Cook.
Bessent said they’re preparing a slate of candidates for Trump to choose from. And Trump reiterated that Bessent is a possibility for the job himself.
During the gaggle with reporters, Trump boasted about his administration’s transparency, pointing to all the top officials taking questions from the media.
“You can ask anything you want. There’s never been anything like this,” he said.
But Trump still wants to keep some things under wraps. Specifically, he’s still unwilling to identify the donor who provided $130 million to pay U.S. troops during the government shutdown.
Trump said only that “he’s an unbelievable patriot.”
The political party of Argentine President Javier Milei did well in the country’s midterm elections, and Trump called it “a big win.”
“He had a lot of help from us,” Trump said. “I gave him an endorsement, a very strong endorsement.”
The administration has also been extending economic assistance to Argentina, including raising the possibility of buying Argentine beef to bring down prices in the U.S.
The idea has upset American cattle ranchers, but Trump brushed off the issue.
“We’re going to get the price of beef down, and I’m going to make sure the cattle ranchers don’t get hurt,” Trump said.
The president and the tech titan had an explosive falling out when Musk left the administration, where he was spearheading the Department of Government Efficiency. They reconnected at the funeral for conservative activist Charlie Kirk.
Trump suggested their dispute was water under the bridge.
“He had a bad period, a bad moment. It was a stupid moment in his life,” Trump said, adding, “I like Elon, and I suspect I’ll always like him.”
Stephen Bannon, a Trump ally, has repeatedly said the president could serve a third term despite a constitutional prohibition. Trump himself has flirted with the idea.
Asked about it on Air Force One, Trump said, “I haven’t really thought about it.” He rejected the possibility of running for vice president as a way to get back to the presidency, saying, “I’d be allowed to do it” but wouldn’t because “it’s too cute.”
Trump praised Secretary of State Marco Rubio and Vice President JD Vance as potential future Republican candidates.
“I’m not sure if anybody would run against those two. I think if they ever formed a group, it would be unstoppable,” he said.
The president’s overtures to reconnect with reclusive North Korean leader Kim Jong Un have gone unanswered.
“If he wants to meet, I’ll be in South Korea,” Trump said.
Trump even said he’d be willing to extend his trip if there was a chance to talk to Kim. Since South Korea is Trump's last stop before returning to the U.S., “it’s pretty easy to do,” he noted.
A source of tension has been a recent immigration raid at a Hyundai plant, which frustrated Korean business leaders who have been encouraged to invest in the United States.
Trump said, “I was opposed to getting them out,” and he said they were working on a new visa system that would make it easier for Korean companies to bring in skilled workers.
“We’re doing a whole new plan for that,” he said.
Trump said, “We want them to bring in experts” and “they’ll teach our people how to do it” before returning to Korea.
Trump came back to the press cabin on Air Force One along with Secretary of State Marco Rubio, Bessent and Greer. They took questions for about a half hour.
Trump said he would talk about the “great friendship” between the U.S. and Japan during his visit.
“I hear phenomenal things" about the new Japanese prime minister, Sanae Takaichi, Trump said. He noted her closeness with former Prime Minister Shinzo Abe, with whom Trump had a good relationship during his first term.
“It’s going to be very good,” he said. “That really helps Japan and the United States.”
There’s no shortage of security issues in the region, including access to the South China Sea and the future of Taiwan. But Trump’s focus has undoubtedly been trade and his desire to realign the international economy in his vision of “America first.”
For the most part, that means tariffs, or at least the threat of them. Trump has frequently used taxes on imports — from allies and adversaries alike — in an effort to boost domestic manufacturing or seek more favorable terms.
However, his unilateral power to enact tariffs remains contested. Trump is awaiting a Supreme Court case that could solidify his authority or limit it.
The president is flying to Tokyo from Kuala Lumpur, where he attended the annual summit of the Association of Southeast Asian Nations. He participated in a ceremonial signing of an expanded ceasefire between Thailand and Cambodia, which fought earlier this year. Trump helped pressure both countries to stop by threatening to withhold trade agreements.
The summit is not a guaranteed part of any president’s itinerary, but it was an opportunity for Trump to reengage with a critical region for the first time since returning to office.
In addition, American and Chinese negotiators used the summit to advance trade talks, with the potential for an agreement that would reduce tensions between the world’s two largest economies later this week.
While on his way to Japan, Trump posted on Truth Social that Argentine President Javier Milei was “doing a wonderful job” as his party beat expectations in midterm elections.
“Our confidence in him was justified by the People of Argentina,” Trump wrote.
Trump ally Milei essentially received a vote of confidence to pursue his policies to break long-standing inflation and economic problems in Argentina. A libertarian seeking to unlock free-market forces, Milei has endeared himself to Trump’s “Make America Great Again” movement with an appearance this year at the Conservative Political Action Conference in the U.S.
The Trump administration provided a $20 billion credit swap line to bolster Milei ahead of the election and was looking to provide an additional $20 billion to support the value of Argentina’s peso.
Japan’s capital saw heightened security ahead of U.S. President Donald Trump’s arrival on Monday. Tokyo’s metropolitan police set up a special task force and mobilized some 18,000 officers.
At Tokyo’s Haneda airport, where Trump will arrive, all lockers and garbage bins were closed or removed.
In downtown Tokyo, vehicles were checked and police dogs were stationed near the U.S. Embassy, where riot police were also deployed. One man was arrested for allegedly carrying knives outside the embassy.
Trump is moving on to the second leg of his Asia tour, boarding Air Force One for Japan after time in Kuala Lumpur for the Association of Southeast Asian Nations summit.
The U.S. president didn’t talk to gathered reporters as he walked the red carpet and watched dancers as he made his way to the airplane.
Still, the president felt his time in Malaysia was productive, calling it a “very vibrant” nation in a post on his social media site. Trump noted the ceasefire agreement signed between Thailand and Cambodia as well as trade frameworks that were part of his time with leaders.
“Now, off to Japan!!!” Trump said on Truth Social.
