Japanese carmakers have largely absorbed the cost of US President Donald Trump’s tariffs on auto imports, a move that may undermine the Asian nation’s negotiating power ahead of a July 9 deadline that will see duties rocket even higher.

Negotiations have stalled ahead of next week’s deadline, with some suggesting Japan misjudged the depth of President Trump’s frustration over Tokyo’s policies.

The Japanese government has informed the United States that its chief negotiator intends to conduct an eighth round of ministerial-le