Trump: Japan 'knows it's a big deal' if it can't reach trade deal with the US

Key Points
  • President Donald Trump says the U.S. has started talks with Japan on a trade deal. 
  • Japan knows it will be a "big deal" if it cannot reach an agreement with the U.S., the president says. 
Trump says US has started trade negotiations with Japan

President Donald Trump said Friday that he has started trade talks with Japan, the latest country he has turned his focus to as he seeks new deals with major partners.

"If we don't make a deal with Japan, Japan knows it's a big deal," the president told reporters aboard Air Force One.

Trump's comments come a day after he suggested to The Wall Street Journal that he would target Japan next. The president told James Freeman, a writer at the newspaper, that his good relationship with Japanese leaders "will end as soon as I tell them how much they have to pay."

Japan's Prime Minister Shinzo Abe talks to US President Donald Trump during the opening ceremony of the 31st Association of Southeast Asian Nations (ASEAN) Summit in Manila on November 13, 2017.
Jim Watson | AFP | Getty Images

The president escalated trade conflicts on multiple fronts Friday, also telling reporters he has prepared tariffs on an additional $267 billion in Chinese goods on top of the duties he is already mulling on $200 billion in products.

The administration is also mired in tense negotiations with Canada on a potential new trade deal among those two nations and Mexico to replace the North American Free Trade Agreement.

"Canada's moving along. We'll see what happens," Trump told reporters on Friday, saying "we'll probably know over the next few days."

This is a developing story. Check back for updates.