Japan Free Trade Agreement Eu

The free trade agreement between the EU and Japan also strengthens free trade as a whole and sends a strong message against protectionism. The federal government supports the EU`s ambition to use modern and ambitious free trade agreements to develop global trade policy and set high standards, including for sustainable trade. The agreement removes a large portion of tariffs and a number of long-standing regulatory barriers. With 127 million consumers, the Japanese market will be open to the EU`s main agricultural products (such as wine. B, cheese, beef and pork) and the EU will have better export prospects in many other sectors. Decisive results have been achieved in the area of non-tariff barriers, particularly in the automotive sector (recognition of EEC-UN standards, inclusion of commercial vehicles). It was also important to put in place mechanisms that would be effective in preventing or sanctioning the creation of new non-tariff barriers to trade (the “snap back clause”). In addition, the agreement also takes into account the defensive interests of the European side, for example. B by appropriate transitional periods for tariff reductions (e.g., linear reduction of tariffs on motor vehicles over a seven-year period). Finally, for the first time, the agreement contains a commitment to the Paris climate agreement. Japan is one of Germany`s main trading partners in Asia. And Germany is Japan`s largest partner country in Europe. Since 2009, the volume of trade has continued to grow, reaching some 42.4 billion euros in 2017.

Japan and the EU are bound not only by a close partnership within the G7, but also by our strong economic relations, supported by common values. In the area of public procurement, the federal government has called for broad market liberalization. Important results have been achieved in this area. For example, one year after the agreement came into force or two years after a political agreement, Japan will abolish a broad derogation from transparent public procurement in the rail sector (the “operational safety clause”). It was a central German requirement. In addition, Japan provides market access to allocation procedures for universities, hospitals and “city centres.” The latter covers 48 cities with a population of about 300,000, or about 15% of the Japanese population. In terms of investment protection, the federal government supports the EU`s efforts to establish a modern CETA-style system. This would involve a prudent definition of investment protection standards, respect for the right of governments to regulate and the establishment of a transparent investment tribunal.

This court would use publicly appointed judges and have an appeal mechanism. Negotiations on the establishment of protection standards and provisions to maintain the right to regulation have made significant progress. However, no agreement has yet been reached on investor-state dispute settlement. That is why negotiations are continuing with Japan for a separate agreement on investment standards and settlement of investment disputes. The FREE Trade Agreement BETWEEN the EU and Japan came into force on 1 February 2019 and aims to strengthen economic and political ties between these two major trade areas and strengthen the EU`s role throughout the Asian region. Finally, the agreement also takes into account the defensive interests of the European side, for example. B by appropriate transitional periods for tariff reductions (e.g., linear reduction of tariffs on motor vehicles over a seven-year period). In the past, European companies have faced trade barriers by exporting to Japan, which sometimes made them more difficult to compete with. Mr. Altmaier: The FREE trade agreement BETWEEN the EU and Japan sends a clear signal against protectionism Decisive results in the area of non-tariff barriers, particularly in the automotive sector (great recognition