Japanese Foreign Minister Toshimitsu Motegi and International Trade Minister Liz Truss spoke by telephone on Wednesday and agreed on the essence of the free trade agreement. Both sides intend to sign the pact as early as next year and intend to implement it as early as January next year. This will be the UK`s first trade agreement with a major country since leaving the EU and will serve as a model for negotiations with other countries. Six important agreements have been concluded between the EU and Japan to date. Between 2009 and 2011, trade in trade in commercial services between the two partners increased, with the EU maintaining a stable surplus and Japan`s share of total EU imports also remained stable at just over 3%. [10] In the past, European companies faced trade barriers when exporting to Japan, which sometimes made them more difficult to compete with. In the services sector with Japan, the EU recorded a surplus of 13 billion euros in 2018. Relations between the European Union (EU) and Japan date back to 1959. They have a strong commercial relationship, particularly with regard to investment flows. [1] [2] EU-Japan relations are anchored in two documents: the 1991 Joint Declaration and the 2001 Eu-Japan Cooperation Action Plan.

There is also a series of forums between the two, including an annual summit of heads of state and government and an inter-parliamentary body. [1] The two sides have now agreed to work towards a comprehensive free trade agreement, which was discussed at the 42nd G7 Summit on 27 May 2016. Four agreements have been signed to date by both parties; [2] Discover the current trade relationship between the EU and Japan A study showed that eu trade agreements implemented during the period 1993-2013 „reduced quality adjusted prices by almost 7%.“ [83] The European Union negotiates free trade agreements on behalf of all its member states, as Member States have granted the EU „exclusive jurisdiction“ to conclude trade agreements. Nevertheless, the governments of the Member States control every step of the process (through the Council of the European Union, whose members are the national ministers of each national government). The EU and Japan meet regularly to discuss issues and best practices in implementing the agreement. Total trade in services between the EU and Japan accounts for about 35% of total trade in goods between the EU and Japan. At the same time, EU services exports to Japan account for about 50% of EU merchandise exports to Japan. In Japan, it can be difficult for European companies to do business or invest because of the specifics of Japanese society and the Japanese economy. The EU-Japan Economic Partnership Agreement was officially signed on 17 July 2018 and became the world`s largest bilateral free trade agreement, covering an open trade area with almost a third of the world`s GDP.

[7] [8] Under the agreement, there will be no tariffs on Japanese cars in 2026, after the tariff has been gradually lowered in accordance with the EU-Japan agreement.