Trump said the U.S. will impose a 15% tariff on Japanese imports under the agreement, which he hailed as "maybe the largest deal in history."

After months of fraught negotiations with the United States, Japan clinched a deal just days before punitive tariffs were scheduled to take effect.

According to Trump and his administration, in return for a reduction in tariffs, Japan would invest $550 billion in certain U.S. sectors and give the United States 90 percent of the profits.

View PDF After more than three months of formal negotiations and many more months of speculation about the Trump administration’s trade and economic policy toward Japan, Washington and Tokyo have agreed to a trade deal.

Trump previously threatened a 25% tariff on Japan's exports to the United States in his tariff letter to the country earlier this month.

Stock markets rose in Europe and Asia on Monday after the European Union and United States hammered out a deal to avert a potentially damaging trade war.

The Trump administration secured a $550 billion investment from Japan with 90% of profits going to the US, along with reciprocal tariffs of 15% and expanded market access.

Shares of General Motors , Ford Motor , and Jeep-maker Stellantis , some of the biggest automakers in the U.S., rallied on Wednesday after news of a trade deal that will reduce tariffs on imported Japanese cars,

Commerce Secretary Howard Lutnick revealed to the Daily Caller how he negotiated a massive trade deal with Japan on behalf of the Trump administration. President Donald Trump announced on Wednesday via Truth Social that his administration had secured a trade deal with Japan,

President Trump will get to decide where to invest Japanese money and the United States will keep 90 percent of the profits, the White House said.