The U.S. cut tariffs on Japanese autos and parts to 15% from 25%, implementing the trade agreement struck with Tokyo last month.

The Wall Street Journal’s Gavid Bade writes that, until Thursday, the U.S. hadn’t moved to cut the auto tariffs, but the new duties are retroactive to Aug. 7, according to the executive order President Trump signed. In exchange for reducing import levies, Japan agreed to lower tariffs on U.S. goods and committed to invest $550 billion in American infrastructure projects.

The order came the day after the Trump administration asked the Supreme Court to quickly hear its appeal of a ruling that rejected separate, so-called reciprocal tariffs on nearly all U.S. trading partners. Last week’s federal appeals court ruling upheld a lower court’s decision saying the president went too far in his use of emergency powers to rewrite trade policy.

Importers rushing in goods ahead of new tariffs helped boost total U.S. imports in July by $20 billion, or 5.9%, from June, the Commerce Department said. Exports were roughly flat, leading to a wider trade deficit in goods and services of $78.3 billion.

• Canada’s goods-trade deficit narrowed to 4.94 billion Canadian dollars, or around $3.58 billion in July as exports continued to show some signs of stabilizing from the blow of U.S. tariffs. (WSJ)
• Lululemon expects higher tariffs, partly from the end of de minimis, to dent full-year profit by about $240 million, net of price hikes and other mitigation efforts. (WSJ)

   

Electric vehicles are propelling auto sales in the U.S.—but not for long. The Journal’s Christopher Otts writes that new-vehicle sales rose 3.7% in August from a year earlier, helped by consumers’ rush to lock in expiring EV tax credits and steady prices in the face of tariffs.

Toyota, Hyundai and Kia this week reported double-digit increases from a year earlier. General Motors said it sold a record 21,000 EVs last month, while Ford Motor reported gains across all powertrains and body styles.

Electric models made up more than 11% of the U.S. new vehicle market for the month compared with their usual 8% share, according J.D. Power’s vice president of data and analytics. Several automakers are taking steps to get ahead of an expected decline in sales once the $7,500 federal tax credits for EVs and plug-in hybrids expire Sept. 30, laying off workers and cutting production.

• Rivian is laying off workers as the EV maker tries to cut costs ahead of the launch of a more affordable SUV next year. (WSJ)
• Porsche will leave Germany’s DAX index after its share price was hit by the effects of U.S. tariffs and challenges in China. (WSJ)
• The CEO of French semiconductor-materials maker Soitec warns that the auto industry’s chip-demand recovery may not occur before the year’s end. (WSJ)

One of North America’s biggest lumber producers is throttling back output by 12% after prices dropped by more than a fifth over the past month. The Journal’s Ryan Dezember writes that Interfor will cut hours and reconfigure shifts, as well as lengthen holiday breaks and maintenance shutdowns at its mills in Canada and the U.S.

Lumber prices are down after running up this summer ahead of a big rise in the antidumping and countervailing duties levied on imports from Canada. Those duties—now about 35% for most Canadian sawmills, up from about 15%—are part of a long-running trade dispute and are separate from Trump's other threatened tariffs on imported wood. 

ADP said hiring in the U.S. dropped sharply last month, with private employers adding 54,000 jobs, down from 104,000 in July. (WSJ)

Economists surveyed by WSJ expect that the Bureau of Labor Statistics report today will show the U.S. added 75,000 jobs in August, compared with 73,000 in July. (WSJ)

Germany’s economy is set to grow by less than expected, as tariffs weigh and the government’s planned fiscal loosening offers less of a boost to activity, the Ifo Institute said. (WSJ)

Logistics Plus said in a news release that it acquired Chicago-based freight-brokerage LoadDelivered Logistics.

JetBlue Airways agreed to use Amazon’s Project Kuiper to provide Wi-Fi service for a quarter of its fleet. (WSJ)

Anglo American sold its 19.9% stake in Valterra Platinum for about $2.5 billion. (WSJ)

Japanese motor maker Nidec will set up a third-party committee to investigate potential incidents of improper accounting. (WSJ)

U.S. ports asked Congress to expand a tax-deferral program for the purchase of American-built ships to domestically manufactured cargo-handling equipment. (Journal of Commerce)

Early data show 1,044 ships transited the Bab el Mandeb strait that links the Red Sea to the Gulf of Aden in August, the most since January of 2024, after Houthi militant attacks began. (Lloyd’s List)

The International Union of Marine Insurers warned in new guidance that EV fires can cause explosions on car carriers. (The Maritime Executive)

Global air-cargo demand rose 5% year-over-year in August, while capacity increased 4%, though the average spot rate fell 3% to $2.55 a kilogram, according to Xeneta. (Air Cargo News)

The White House nominated Laura DiBella and Robert Harvey, both from Florida, to serve as federal maritime commissioners, two months after Louis Sola departed as chairman. (gCaptain)

Logistics AI startup Augment said it raised $85 million in a Series A round led by Redpoint, joined by 8VC, Autotech Ventures and others. (TechCrunch)

ADL Final Mile said in a news release that it acquired final-mile services company DMC Logistics.

Mark R. Long is editor of WSJ Logistics Report. Reach him at mark.long@wsj.com. Follow the WSJ Logistics Report team on LinkedIn: Mark R. Long, Liz Young and Paul Berger.