Starting Tuesday, Japanese autos entering the US will face a 15% tariff instead of 27.5%, providing manufacturers some reprieve from President Donald Trump’s fresh duties this year.

Since returning to the presidency in January, Trump has targeted specific sectors with tariffs, and imported automobiles and parts face a 25% duty.

This dealt a blow to Japanese automakers, for whom the 25% duty piled atop an existing 2.5% tariff – bringing the overall level to 27.5%.

For goods falling outside specifically targeted sectors, Trump has also imposed a separate 10% duty on imports from nearly all trading partners since returning to the presidency.

In early August, he hiked the 10% rate to various higher levels for goods from dozens of economies, including the EU and Japan.

The move left Japanese products facing a 15% US tariff tacked onto existing duties for many goods.

While the two countries had initially unveiled a trade pact in July, they appeared to diverge in their understanding of its details, such as whether the duties would generally stack on existing tariffs for certain products.

Japan’s tariffs envoy Ryosei Akazawa previously told reporters that Washington was expected to revise the rule.

The new US order taking effect Tuesday will see a 15% tariff cap instead for many products, applying retroactively to Aug 7.

Under the terms of the US-Japan tariff deal, Japan is also expected to make investments worth US$550 billion in the US, according to the White House.