Japan Rules Out the Possibility of Using U.S. Treasuries as a Bargaining Chip

Japanese Prime Minister Shigeru Ishiba stated on Sunday that Japan will emphasize "fairness" in any discussions with the United States regarding exchange rate issues. Some analysts have suggested that Japan could leverage its holdings of over $1 trillion in U.S. Treasuries as trade leverage. However, Katsunobu Kato ruled out the possibility of using them as a bargaining chip this month. When asked if Japan would bring up its holdings of U.S. Treasuries during negotiations, Ishiba stated: "This is a matter based on mutual trust, global economic stability, and the economic stability of both countries."