Japan last week struck a trade deal with the U.S. that lowers tariffs on cars and other goods to 15% in exchange for a U.S.-bound $550 billion Japanese investment package.

Jonathan Cohn and economist Jason Furman discuss the impact of Trump’s tariffs, the shift to higher trade barriers, and their economic consequences for the U.S.

With tariffs increasing costs of Uwajimaya's importers, it is a matter of time before the impact is "felt by everyone," said CEO Denise Moriguchi.

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.3%, led by gains for Taiwanese stocks, after U.S. stocks ended the previous session with mild losses as traders braced for a slew of corporate earnings.

The government says price increases show Japan is clearly not in the deflation that plagued the economy for more than 20 years. However, it says US tariffs are a new threat and may drag on growth.

Devoted fans of Asian cosmetics will often buy direct from Asia and wait weeks for their packages to arrive because the products typically cost less than they do in American stores. Rather than stocking up on their favorite sunscreens, lip tints and toners, some shoppers are taking a pause due to the tariff uncertainty.