WASHINGTON - US President Donald Trump said Tuesday that the United States has reached a trade deal with Japan, which will impose a 15 percent tariff on Japanese goods.

Japan will invest $550 billion into the United States, which will receive 90 percent of the profits, said Trump, adding that the deal will create hundreds of thousands of jobs.

"Japan will open their Country to Trade including Cars and Trucks, Rice and certain other Agricultural Products, and other things. Japan will pay Reciprocal Tariffs to the United States of 15 percent," said Trump in a post on social media.

In a recent letter to Japanese Prime Minister Shigeru Ishiba, Trump threatened to raise the so-called reciprocal tariff on Japan to 25 percent starting Aug 1, higher than the 24 percent tariff announced on April 2.

As one of the major US trading partners, Japan has been tough in bilateral trade talks.

The United States saw $68.5 billion of trade deficit in goods with Japan in 2024, with imports from Japan totalling $148.2 billion and exports to Japan at $79.7 billion, according to the Office of the US Trade Representative.