TOKYO (Reuters) -Japan's leading trade negotiator said on Tuesday that the trade deal Tokyo agreed with the United States last week guarantees Japan will always receive the lowest tariff rate on chips and pharmaceuticals of all the pacts negotiated by Washington.

Japan will invest $550 billion in the U.S. and allow the U.S. to tax Japanese goods sold in America at 15 percent.

President Trump said on Tuesday that the trade deal he struck with one of America’s closest allies would impose a 15 percent tariff on Japanese exports.

TACO or tariffs? An August 1 deadline looms after the European Union became the latest of the top US trading partners to reach a deal with Trump.

Less than a week after President Donald Trump and Japanese Prime Minister Shigeru Ishiba agreed on a trade deal, the situation has unraveled. Japan's highly export-driven automotive industry is in disarray and there are deep divisions in how the agreement is understood.

The European Union pledged to buy billions of dollars’ worth of energy resources from the United States. Experts say that’s unrealistic and could hurt Europe’s climate goals.

The new U.S.-Japan trade deal lowers tariffs and strengthens economic ties, helping challenge China's regional aggression and instability.

The Trump administration secured a $550 billion investment from Japan with 90% of profits going to the US, along with reciprocal tariffs of 15% and expanded market access.

View PDF After more than three months of formal negotiations and many more months of speculation about the Trump administration’s trade and economic policy toward Japan, Washington and Tokyo have agreed to a trade deal.

President Trump will get to decide where to invest Japanese money and the United States will keep 90 percent of the profits, the White House said.