Former Bank of Japan member Takako Masai: Trump's tariffs have halted the Bank of Japan's rate hike cycle

Planet Daily News: Former Bank of Japan committee member Takako Masai said on Thursday that U.S. President Trump's tariffs may have ended the Bank of Japan's interest rate hike cycle, and the possibility of further rate increases is rapidly declining due to expected export impacts. Masai, who maintains close contact with current decision-makers, stated that the uncertainty of U.S. trade policies is causing massive disruption to the global economy, which could potentially harm Japan's exports, output, wage growth, and consumption. Since the automotive industry plays a huge role in Japan's economy, U.S. automotive tariffs are particularly destructive. She said, "The real test for the Japanese economy may come in 2026" because the impact of U.S. tariffs will begin to show 6 to 12 months later. "The Bank of Japan may not be able to raise interest rates for quite a long time," she added. (Jin Shi)