Japan's finance minister, Katsunobu Kato, addressed the G20 during the Durban meeting, emphasizing that tariffs are not an effective solution for addressing trade imbalances.

He advocated for an open and free multilateral trading system and highlighted the importance of predictable economic management to sustain global growth.

Kato warned about the risks of protectionist policies disrupting global supply chains and economic growth, reinforcing Japan's strategy of promoting sustainable development through increased trade and investment.

He also cautioned against excessive volatility in the foreign exchange market driven by speculation amid ongoing tariff tensions from the United States.

His remarks reflect Japan's commitment to a stable global trade environment, which is vital for economic stability and growth.

Kato emphasized that countries should focus on domestic efforts to resolve trade issues and address current account imbalances rather than relying on tariffs.

Currently, Japan faces 25% tariffs on automobiles and steel from the U.S., with a potential increase from 10% to 25% on all Japanese goods by August 1, 2025, if no agreement is reached.

This stance aligns with Japan's long-standing commitment to multilateralism and cooperation over unilateral actions.

Kato made these comments during the first day of the G20 finance ministers and central bank governors' meeting near Durban, South Africa.

Notably, U.S. Treasury Secretary Scott Bessent was absent from the meeting, which included discussions on the global economy.