TOKYO, Oct 1: Japan's tariff envoy said Wednesday there were "no discrepancies" with the United States on the $550 billion of mooted investments by Tokyo as part of their recent trade agreement.
Under the terms of the US-Japan deal lowering threatened tariffs, Tokyo will invest the money in the United States, according to the White House.
South Korea is also on the hook for $350 billion.
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US President Donald Trump has said both countries will provide this "signing bonus" upfront.
A US-Japan memorandum of understanding made no mention of immediate payments, saying that would be made "from time to time".
The MoU also stipulated that Tokyo would provide the necessary funding within 45 days of Washington selecting an investment area, or face higher tariffs.
But Ryosei Akazawa, who negotiated the deal for Japan, has said that only 1-2 percent of the $550 billion will be actual investment, with the rest loans and loan guarantees.
Washington "isn't particularly interested in the distinction between investments, loans, and loan guarantees," he said Wednesday.
"I do not believe there are any discrepancies. In order to avoid discrepancies, the US proposed the memorandum of understanding and Japan responded to that. And it was signed," he told reporters.
"A memorandum of understanding is not a treaty, nor is it legally binding. An MoU is an administrative document that lays out the common understanding, which I believe we have on both ends," he added.
