US and Japan need further work to resolve differences on autos and farm exports that are hindering progress toward a Pacific Rim trade deal

The US and Japan need further work to resolve differences on autos and farm exports that are hindering progress toward a Pacific Rim trade deal, US Trade Representative Michael Froman said Tuesday (local time).
Froman and Japan's economy minister, Akira Amari, held talks that dragged into the wee hours but failed to close the gap, though both said they had made significant progress.
"The gap was substantially narrowed but continued work is ultimately required to resolve these issues," Froman told reporters.

US Trade Representative Michael Froman (left) with Japanese Economy Minister Akira Amari in Tokyo. Photo / AP
The talks between Japan and the US are part of negotiations among 12 nations participating in the US-led Trans Pacific Partnership, which eventually aims to create a free trade zone in the Asia-Pacific region.

Amari said the talks were in their final stages, however, neither official gave details on the discussions, which have been kept largely secret, as required by the ground rules of the TPP negotiations.
Froman traveled to Japan for the talks after Amari said he believed the two could make progress on issues requiring Cabinet-level decisions. The talks began soon after his arrival Sunday. He is due to travel to South Korea later Tuesday.
Japan wants greater market opening for its exports of autos and auto parts. The US hopes to export more rice, pork and other farm products to Japan.
Amari earlier said that some of the remaining issues between Japan and the US would likely be resolved at upcoming 12-nation talks. He has downplayed the possibility of a deal with the US before Prime Minister Shinzo Abe visits Washington later this month.
An agreement by US lawmakers last week to propose legislation allowing President Barack Obama to negotiate trade accords for overall congressional review appeared to help move things along.
At the outset of the TPP talks, Japan identified five categories of agricultural products as "sensitive," given its longstanding protections for politically powerful farm interests. They include beef and pork, wheat and barley, sugar, rice and dairy products.
Rice has proven an especially difficult area for compromise.
An aging population and changing tastes mean Japan is consuming less and less rice, and has a significant surplus of its own.
Largely city-dwelling, price-conscious consumers would likely welcome cheaper rice and dairy and meat products, but lack the political sway of the rural electorate that has been the mainstay of support for Abe's Liberal Democratic Party since the 1950s.
But Japanese media reports Friday suggested that Japan would likely agree to increase its imports of American-grown rice, while keeping costly price supports to protect local farmers.