This week's U.S. trade agreement with Japan could provide a framework for a pact with the European Union, experts say.

Shares of General Motors , Ford Motor , and Jeep-maker Stellantis , some of the biggest automakers in the U.S., rallied on Wednesday after news of a trade deal that will reduce tariffs on imported Japanese cars,

Trade deals have never been more in the headlines, as Donald Trump continues to threaten countries with higher tariffs until they sign new agreements with the US. But how exactly are trade deals negotiated between nations, and has the US president's forceful actions changed how the talks are conducted?

President Trump announced deals with Japan, Philippines and Indonesia, but many other countries have yet to clinch agreements.

After President Trump unveiled trade deals Tuesday with Japan and the Philippines, and his administration fleshed out details of a [pact with Indonesia](

While recession odds have been dialed back in recent weeks, economists surveyed by The Wall Street Journal still see 33% odds of one coming within a year, compared with 22% at the start of 2025. Meanwhile, earnings estimates for the S&P 500 compiled by research group FactSet are 3% lower since then, the Journal said.

TOKYO (AP) — Prime Minister Shigeru Ishiba on Wednesday vowed to remain in power to oversee the implementation of a new Japan-U.S. tariff agreement, despite media speculation and growing calls for him to resign after a historic defeat of his governing party.

Trade pact would lower tariffs on car imports from Japan to 15% from 25%, spurring hope that other countries could get similar deals.