The Free Trade Agreement signed between the European Union and Japan enters into force on 1 February (EU- Japan Economic Partnership Agreement ), one of the most sophisticated bilateral trade agreements signed by the EU so far. In addition to the usual chapters in these agreements, it includes measures related to data protection and environment.
From the moment the agreement enters into force, goods exported from the EU will enjoy tariff preferences in the Japanese market, from immediate exemptions to important reductions in the medium and long term .
In addition to the evident tariff benefits for imports from both sides (EU and Japan), the agreement implies access to financial markets, telecommunications, electronic commerce and transportation.
Upon the entry into force of the agreement, more than 90 percent of EU exports will be exempt. This implies significant access to goods from the agricultural, industrial, textile and food sectors that, prior to the agreement, were subject to the payment of import duties ranging from 15 to 30 percent of the customs value of the goods.
On the other hand, importers in the EU, with immediate effect, may apply tariff preferences to electronic products, machinery, chemicals and food products. The automotive industry will be able to gradually benefit from the importation of vehicles and auto parts (the current 10% tariff will be phased out over a period of 8 years).
Proof of origin
The proof of origin contemplated in this agreement, to support the application of the tariff preference to import (in both territories) consists of an origin declaration (in invoice or in another commercial document) or, to the “importer´s knowledge”. This agreement does not foresee the use of EUR-1 certificates.
The origin declaration must be issued by registered exporters. In the case of the EU, exporters must have the REX number that enables them to declare the origin in an invoice or in another commercial document. In Japan, this number is known as Japan Corporate Number.
Regarding the other proof of origin, importer´s knowledge, this consists in declaring during the importation the tariff preference, justifying it with probe documentation of the origin of the goods.
How can we assist you?
It must be taken into account that trade agreements grant important tariff benefits in the importation of goods in exchange for greater controls over the goods exchanged, that is why, our Customs and International Trade team, with more than 30 years of experience in operations of international trade, can assist you in planning for importation and/or exportation to Japan, in the identification of commercial, labeling and sanitary licenses covered under the Agreement, as well as in the analysis of the rules of origin applicable to the goods subject to importation and exportation and, the subsequent verification in compliance with the provisions of origin regulated by this Trade Agreement.