Japan - EU Economic Partnership Agreement (EPA): Embrace The Opportunities
A Trade Deal Between Japan And The European Union (EU) Has Been Announced.
On 17 July, 2018 a trade deal was agreed between Japan and the European Union (EU), which, when ratified by both bodies' parliaments, would drop trading barriers between two of the world's economic powerhouses.
More than four years in the negotiation, it will be the largest trade agreement ever struck by the EU, and will create an open trade zone covering more than 600 million people.
Arguably, the move is as much a political statement as a business move. It was announced as Brexit and the policies of Donald Trump seemed to indicate some countries were moving away from multilateral blocs and free trade deals, towards more protectionist and nationalist systems. In the press release announcing the deal, the EU's commissioner for trade pointedly said the pact was a "strong signal that two of [the world's] biggest economies still believe in open trade, opposing both unilateralism and protectionism."
But whatever its intentions, the deal will have an effect on many of the world's companies and consumers. Here is what we know about it so far:
What will the trade deal between Japan and the EU accomplish?
The trade pact will lower barriers on virtually all the goods traded between Japan and the countries within the EU. Trade deals are notoriously complex things - but for those looking for a simplicity, the New York Times has interpreted the pact as designed to "increase the flow of Japanese cars to Europe and of European food to Japan."
EU products imported into Japan
Chemical/fibre products and some agriculture products e.g. wine and hard cheese: immediate tariff elimination Leather, including luxury leather products and chocolate: gradual tariff elimination Agriculture products e.g. beef and pork: partial tariff reduction with safeguards and tariff rate quotas Japanese products...
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