Toyota Motor Corp. said it hopes for improved ties between the US and Japan, going as far as to call for further tariff reductions a day after President Donald Trump announced a much-awaited trade pact with the island nation.

Stocks of Japan's Honda jumped 8.42%, while Toyota climbed 9.97%. While NHK reported that the 15% tariffs will apply to Japanese makes, it is unclear if the reduced rate will be extended to other automakers.

The U.S. will impose a 15% tariff on Japanese goods entering the country, which is a reduction from the previously threatened 25% tariff that was set to take effect on August 1. The agreement also includes greater Japanese imports of American rice and several agricultural commodities.