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flag Japan threatens to use its vast holdings of U.S. Treasuries as leverage in tariff disputes.

flag Japan's Finance Minister Katsunobu Kato suggested that Japan's large holdings of U.S. Treasuries, totaling $1.13 trillion, could be used as leverage in trade negotiations with the U.S. over tariffs. flag While Kato did not threaten to sell these bonds, the comment signals a potential risk to the U.S., as Japan and China are the largest holders of U.S. government debt. flag This comes amid tensions due to proposed tariffs on Japanese goods.

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