A portion of Japan's $550 billion investment commitment in the United States is expected to be financed by US-based JPMorgan, along with other US banks, as discussions between the lenders and the Japanese government are reported to be in an advanced stage, Reuters reported Wednesday, citing people familiar with the talks.
The financing talks follow Japan's 2025 trade agreement, pledging over $100 billion in investments in US-based projects to secure a 15% tariff rate on Japanese exports.
The Japanese banks have been hesitant to finance the projects because their funding base is largely in yen, which makes it costly to secure the large amounts of US dollars for long-term infrastructure investments.
So far, Japan has disclosed two batches of projects worth over $100 billion under its investment commitments and has only been able to finalize about $2.2 billion worth of financing, the report said.
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