Lutnick says Trump has 'complete discretion' over Japanese investment funds

U.S. Commerce Secretary Howard Lutnick said on Friday that a newly implemented U.S.-Japan tariff deal gives President Donald Trump "complete discretion" over where $550 billion in new Japanese-funded investments in the United States will go.

Lutnick told CNBC that the investments, which Japan pledged in order to "buy down" the U.S. tariff rate for its autos and other goods to 15%, would help fund production of generic antibiotics in the U.S. or build a new Alaska pipeline.

"They are going to meet capital calls in America, they are going to give America money when we ask for it, to build the projects," Lutnick said. "How do they plan to fund it? You know, that's their business, of course."