The UK-Japan deal – overview While Japan is estimated to account for just 2% of British trade, the deal is expected to enhance trade relations between the two countries and provides some security for British and Japanese businesses that their current trading conditions will continue. Our trade with the rest of … This means that at the point of import, Japanese importers only need to register the import under the BP scheme. Commitments related to sanitary and phytosanitary standards (SPS) and animal welfare remain largely the same as under the EU Japan Agreement. It will take only 2 minutes to fill in. The deal is not expected to improve on the 0.07 percent increase (some £1.5 billion over the long term) to British GDP from the agreement forecast by the government. A list of all goods covered by this arrangement can be found in Annex 3-C of the CEPA. In Japan’s tariff schedule, 9 tariff lines covering certain leathers and hides will become duty free in 2026. Updated with details of how trading with Japan will change from 1 January 2021. This Comprehensive Economic Partnership Agreement (CEPA) maintains the benefits of the EU-Japan Economic Partnership Agreement (EPA) with enhancements in areas of mutual interest. Its central estimate was a £2.6 billion increase after 15 years. If you wish to speak to someone directly, we have local trade offices based around the UK. Protection in Japan for more UK GIs will be possible under the CEPA. The UK has also provided certainty that partners and dependent children of intra-corporate transferees can accompany them to the UK. This signing marks a new closer alliance between the UK and Japan, which will see our two like-minded democracies work together as the UK takes up the G7 presidency, where we will champion free trade. The CEPA takes all the commitments on business mobility from the EU-Japan EPA and builds on them to provide additional opportunities for the UK and Japanese suppliers in the following areas. The following UK GIs include ‘cross-border GIs’ that relate to the territory of both Northern Ireland and the Republic of Ireland. The deal with Japan means the United Kingdom has nailed down new agreements worth just 10% of its total trade in 2019, up from about 8% in January, according to … The deal brings together 2 of the world’s most technologically advanced nations, placing the UK at the forefront of shaping new global standards on digital trade. You can also contact your local chamber of commerce for advice. Added link to UK-Japan CEPA: guidance on importer’s knowledge. I am originally from the U.K. and have an in-depth understanding of business and cultural practices of both countries. Find out more about how your data is protected under the CEPA. [13] The UK–Japan Comprehensive Economic Partnership Agreement was signed by International Trade Secretary Liz Truss and Japan's Foreign Minister Motegi Toshimitsu in Tokyo 23 October 2020. The UK and Japan have agreed that all eligible British products will be put through Japan’s GI approval process automatically. Updated statement of origin value threshold after Japan notified the UK of their waiver limit under Article 3.20.2 of the CEPA. Nothing in the UK-Japan CEPA prevents the UK from continuing to uphold its high environmental, food safety and animal welfare standards. You can find the provisions on trade in services in Chapter 8 and Annexes (8-B-I and 8-B-II) of the CEPA. Copied "Today is a landmark moment for Britain. However, the deal includes new clauses that, says campaigners, prioritize the free flow of data between the UK and Japan - and on to other trade partners such as the US - … The UK recently agreed a new deal with Japan, which will govern trade between the two countries from 2021, once the UK is not bound by the EU-Japan deal which came into … The UK has struck its first major post-Brexit trade pact after signing a deal with Japan that aims to boost trade between the countries by about £15bn. We’ll send you a link to a feedback form. Don’t worry we won’t send you spam or share your email address with anyone. The UK government will put forward new GIs for protection in Japan on behalf of UK producers, saving time and money for UK businesses. In the Japanese market, UK businesses now benefit from: You can find all additional procurement coverage that goes further than the GPA schedules in Annex 10 of the CEPA. Important step towards joining the Comprehensive Trans-Pacific Partnership free trade area –which would result in closer ties with 11 Pacific countries. For the provisions on animal welfare, see Chapter 18 Section B of the CEPA. Trade between the UK and Japan only accounts for 0.07% of UK GDP, in absolute terms that represents £15 billion to the UK economy. Patrick Atack in London Share . Japanese importers can register an import under the BP scheme through Japan’s digitalised system for customs procedures. Geographical indications (GIs) protect the geographical names of food, drink and agricultural products. The UK and Japan have signed a free trade agreement (FTA) at a ceremony in Tokyo, hours before negotiations on a post-Brexit deal with the European Union are due to resume. The UK definition of investor now focuses on investment in UK industry and jobs, rather than the amount of capital. You may prefer to use customs clearance services to help your business with customs procedures. The Department for Environment, Food and Rural Affairs (Defra) has contacted GI producers to confirm whether they would like their GI included in the agreement. If you’re a UK business providing services in Japan, you’ll need to follow Japanese regulations, including on: Consider appointing an English-speaking lawyer in Japan to help you comply with specific regulations. Don’t include personal or financial information like your National Insurance number or credit card details. According to official UK data, Britain’s total trade with Japan in 2018 amounted to £29bn (£14bn of exports and £15bn of imports). It is the government’s ambition to secure free trade agreements with countries covering 80% of UK trade by 2022. The CEPA includes annexes covering a range of sectors: The CEPA replicates the effect of the EU-Japan Mutual Recognition Agreement (MRA) for Conformity Assessment, through a new Protocol on Mutual Recognition (MRA Protocol). “It used to be said that an independent UK would not be able to strike major trade deals, or they would take years to conclude,” she proclaimed. The CEPA also creates an annual dialogue between Her Majesty’s Treasury, UK financial regulators, and the Japanese FSA that will explore ways to further reduce regulatory friction. These GIs are listed for protection in the CEPA: You can find the provisions on GIs in Chapter 14 and Annexes (14-A and 14-B) of the CEPA. Access to products covered by tariff rate quotas (TRQs) differ in the CEPA compared to the EU-Japan EPA. Japan has expanded the scope of their intra-corporate transferee category. Both the UK and Japan have committed to ensuring that the process for applying for visas will be clear, transparent, and with an aim that they be processed in 90 days. The measures within this section are aimed at: The government has published a summary of the CEPA provisions related to digital and data. Global Business Daily: UK/Japan trade deal, Huawei growth defies 5G opposition. At its heart, this deal is about creating opportunity and prosperity for all parts of our United Kingdom and driving the economic growth we need to overcome the challenges of coronavirus. You can use online tools to check product-specific and country-specific information on tariffs and regulations: These tools are regularly updated to reflect any changes. For example, you can split a consignment in the EU when exporting goods to Japan. We use some essential cookies to make this website work. You can find the provisions on SPS in Chapter 6 of the CEPA. Within each office, you can contact an international trade advisor. The UK-Japan Free Trade Agreement (FTA) is a domestic political gain for the UK Government. It opens a clear pathway to membership of the Comprehensive Trans-Pacific Partnership – which will open new opportunities for British business and boost our economic security – and strengthens ties with a like-minded democracy, key ally and major investor in Britain. Find out more about moving goods and using freight forwarders. The agreement also includes a strong commitment from Japan to support UK joining the Trans-Pacific Partnership (TPP), one of the world’s biggest free trade areas, covering 13% of the global economy and more than £110 billion of trade in 2019. You can change your cookie settings at any time. One way of doing this is via a Banker’s Guarantee. This summary also covers arrangements for access to products covered by TRQs in the EU-Japan EPA. For the full CEPA text and other key documents, see the UK-Japan Comprehensive Economic Partnership Agreement collection page. We’ll send you a link to a feedback form. The FTA with the US, originally pitched as a key element of the post-Brexit agenda, appears some way off. It will take only 2 minutes to fill in. Commitments made on government procurement between the UK and Japan have been transitioned in the CEPA without changes. One tariff line covering industrial ethanol has had duties eliminated. We’d like to set additional cookies to understand how you use GOV.UK, remember your settings and improve government services. You can find the provisions on business mobility in Chapter 8 and Annexes (8-B-III, 8-B-IV and 8-C) of the CEPA. The CEPA arrangement uses Japan’s BP scheme. DIT estimated the 2019 EU-Japan trade deal would add somewhere between £2.1 billion and £3.0 billion to annual GDP after 15 years in 2017 prices, relative to a scenario where no deal was agreed. Find out about moving goods under the Northern Ireland Protocol. The UK and Japan have agreed a free trade deal, as Britain races to secure easy access to overseas markets in preparation for leaving the Brexittransition period at the end of the year. Find out about the changes to product-specific rules. Perhaps most significant for the global financial community are the digital and data provisions of the UK-Japan trade deal. Goods do not require a statement of origin if they are: For exports of products that currently rely on EU inputs to access preferential tariffs, you can continue to use EU materials or processing in your exports to Japan. Commitments related to standards, regulations and conformity assessment remain largely the same as under the EU-Japan agreement. It shows what we can do as an independent trading nation." We also use cookies set by other sites to help us deliver content from their services. We’d like to set additional cookies to understand how you use GOV.UK, remember your settings and improve government services. The UK – Japan Comprehensive Economic Partnership Agreement was agreed in principle on 11 September 2020.