Trump-like relief: Japan no surprise as US cuts tariffs

Japanese Cutlery Wins Global Appetite

In the mountain town of Seki, a craft tracing back 700 years has risen to the kitchens of the world. After a recent agreement cut American tariffs from 25 % to 15 %, the local industry is buoyed by the hunger for premium knives that have become the “luxury must‑have” of recent years.

Strategic Trade Shift

• Japan and the United States cut the 25‑percent tariff on Japanese goods—starting August 1—down to 15 % through a bilateral deal.
• The reduction is welcomed by the Seki cut‑maker community, who see the lower duties as a signal of a trade strategy likely invented by President Trump.
• Trump has vowed to impose punitive tariffs on dozens of countries if they fail to sign agreements by July’s end.

The Legacy of Seki Blades

Blademaking in Seki can be traced back to the 14th century when the town’s rich mountainous environment produced swords on a grand scale. Today Seki’s knives are prized for their precision, sleek finish and long life span. The craft thrives in the era of home cooking and the pandemic‑era boom, becoming a lux‑piece in kitchens worldwide.

Export Dynamics

Only five percent of Sumikama Cutlery’s sales are sourced from North America at a value basis, while Europe and Asia dominate the company’s exports.

CEO Katsumi Sumikama, who is in his 60s, said he had not planned a price hike in the US market, even before the tariffs were reduced. Sumikama urged that “problems cannot be solved by simply raising tariffs.” He added that the American public would bear the burden of higher costs.

Craftsmanship at Work

With a workforce of about 30 workers, Sumikama Cutlery uses machines that guarantee accuracy to one‑thousandth of a millimetre, after which artisans finish the knives by hand. The knives deliver culinary taste, embody a unique “wabi‑sabi” aesthetic – beauty in imperfection – and have no peer in terms of sharpness.

“Different countries have different strengths and weaknesses… even if President Trump tells people to make (Japanese‑style) knives, they cannot,” Sumikama said. The Seki industry has “weathered the storm” through decades, including during exchange rate fluctuations, with one dollar at times worth 80 yen or more than 300 yen. Seki’s exporters and US buyers have survived tumultuous events such as the 2008 financial crisis, remaining “not worried at all about tariffs.”