The European Union and Japan are signing a widespread trade deal that will eliminate almost all tariffs, seemingly defying worries over trade tensions triggered by United States president Donald Trump's policies.
The agreement was largely reached late a year ago.
The US is proposing 10% tariffs on a 200 billion dollar (£151 billion) list of Chinese goods. And with a digital subscription, you'll never miss a local story.
"If the U.S. would impose these vehicle tariffs that would be very unfortunate".
Prices of European wine and pork will fall for Japanese consumers, while Japanese machinery parts, tea and fish will become cheaper for Europe. The difference is due to exceptions such as rice, a product that's culturally and politically sensitive and has been protected for decades in Japan.
The EU officials' July 25 visit will seek to contain the damage and Malmstrom will be trying to make sure that the trade conflict does not spread into the lucrative automobile sector too.
Japan's trade surplus with the United States may draw criticism as Trump's administration raises tariffs to lower the USA trade deficit and combat what it says are unfair trade policies.
"We are grateful to the Japanese government and to the European Commission for their efforts in improving the global business environment, as the agreement is meant to trigger a long-term GDP increase for the EU estimated to +0.76 percent and an increase of exports by + 34 percent for the EU", she added.
The American Automotive Policy Council, which represents GM, Ford Motor Co. and Fiat Chrysler Automobiles, said there is "no evidence" that automobile imports pose a threat to USA national security.
While the world's largest economies of the US and China are entangled in a war of words over tariffs against each other, Japan and the European Union have made a decision to take an alternative route by establishing a free trade zone. The partnership includes Australia, Mexico, Vietnam and other nations, although the US has withdrawn.
For more information on EU-Japan relations, see the factsheet.
By strengthening ties with the EU, Japan hopes to vitalize mutual direct investment, fight other global trends toward protectionism and enhance the stature of Japanese brands, the foreign ministry said in a statement.
Toshimitsu Motegi, the Minister for Economic Revitalization in Japan, uttered, "At a time when protectionist measures are gaining steam globally, the signing of the Japan-EU deal today will show the world once again our unwavering political will to promote free trade".
In return, Japanese shoppers will pay less for clothing, cosmetics, beer and cheese, such as gouda, Parmesan and cheddar.
Japanese consumers have historically coveted European products, and a drop in prices is likely to boost spending.