Representatives of Japan and the European Union on 6 July 2017 reached an “agreement in principle” on the main elements of the Japan-EU economic partnership agreement.
Both sides have made a commitment to eliminate customs tariffs on industrial goods. Particularly, the agreement could have a significant effect on the apparel industry from a tariff reduction perspective. At present, Japanese tariffs on clothes are 10% (on average). The Japan-EU agreement would be expected to remove tariffs on textiles and textile articles completely once the agreement enters into force. Additionally, tariffs on leather and footwear would be phased out over a period of 10 or 15 years.
There are expectations that a Japan-EU economic partnership agreement would enter into force at the beginning of 2019.
For more information, contact a professional with KPMG’s Trade & Customs practice in Japan:
Masaharu Umetsuji | +81 3 6229 8070 | email@example.com
Kozu Takayuki | +81 3 6229 8205 | firstname.lastname@example.org
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