Re: Nz & oz fta??

Why is that then ?

Re: Nz & oz fta??

No, it is bread confusing things. As usual our young friend mixes up things. In this case the EPA and the SPA.

On 1 february 2019, the EU-Japan Economic Partnership Agreement (EPA) entered into force. Rightly described as a ‘mega-deal’, since it covers 27.8 per cent of the world economy and more than a third of global world trade, the event still received relatively little attention. Yet the deal truly matters both economically and politically, especially at a time when most headlines are made by the fallout of President’s Trump ‘America First’ policies and UK-EU wrangling over Brexit.

The economic significance of the EPA is self-evident. It substantially lowers barriers to trade between the largest (EU) and fourth largest (Japan) markets globally. Combined, the markets involve 635 million people. The agreement eases access of European firms into a country that is still perceived by many as highly protective. In 2017, EU trade in goods posted a deficit of 8.4 € billion with exports to Japan worth 60.5 € billion and imports valued at 68.9 € billion. In particular, EU producers of agricultural products, pharmaceuticals and medical equipment stand to benefit. The EPA also makes it easier for European firms to bid on large-scale infrastructure projects in Japan.

It is no coincidence that alongside the EPA, EU and Japan have also agreed on a Strategic Partnership (SPA). Both agreements emphasize ‘common principles and values’, and indeed signal a continued commitment to liberal democracy, multilateralism and a rule-based economic order. The EPA recognises the relevance of the WTO. It confirms the commitment of both parties to sustainable development, including the Paris agreement on climate change. On cyber issues, the EU and Japan persist in maintaining a free, open and accessible internet, based on a multi-stakeholder, rather than government controlled, governance model. Going against the grain, the EU and Japan have stuck to a discourse valuing multilateralism over bilateral deals, and internationalism over nationalism.

Already in 2001, the EU and Japan agreed an Action Plan for Cooperation. The dialogue on the EPA started in 2011, and from 2013 negotiations were endorsed by all 28 EU member states. Ratification and implementation of the EPA, and main parts of the SPA, however, has been swift taking less than six months.


Herein lies bread's misunderstanding. All of the trading deal EPA is in effect (working, rarified), but the SPA only in part. If you confuse the two, and it is a difficult field of course, you get a discussion like with bread. Therefore I keep advising bread to educate.

Re: Nz & oz fta??

Since the mid 1980s, the UK has become Japan’s ‘Gateway to Europe’. The UK was Japan’s second largest destination of foreign direct investment after the USA. There are more than 1,000 Japanese companies in the UK, about 1/6 of all Japanese companies in the EU. These companies employ approximately 140,000 UK workers. Japanese companies produce nearly half of all cars manufactured in the UK, most of which are sold on the continent. The UK has proven to be so attractive for Japanese companies because of easy access to financial services through the City of London, but also because the UK provided an appealing business environment from which to export into the rest of Europe.

Now, after Brexit, the UK hopes to join the Comprehensive and Progressive Trans-Pacific Partnership, which would secure comparable access to the Japanese market as the EU has already with its EPA. However, this may prove to be largely inconsequential; for Japan the real importance of the UK lies in its access to the EU market. Without free and open trade between the UK and the rest of the EU, Japanese companies will not be impressed by any UK-Japan trade deal.

Re: Nz & oz fta??

There are still tariffs on Japanese imports - 6.5% on cars, for example. It's not complete and not ratified.

Re: Nz & oz fta??

Oh, so nothing to do with the financial markets and Singapore then

Oh, I see

Re: Nz & oz fta??

Ah no! Not another thing you don't understand! The deal is completed, signed etc. In the deal it was agreed to let the tariffs fall to zero in the eighth year of the treaty. Please, please, try to keep up buddy, by? Educate, educate.

Re: Nz & oz fta??

Its supposed to be free trade. It isn't.... its a big con

Re: Nz & oz fta??

You can suppose all you want. What is in the deal determines what it is. Try to start from actual facts, not from your own suppositions.

Re: Nz & oz fta??

The fact is its not complete and its not free trade.

Re: Nz & oz fta??

Reacting to this kind of blabbering would be bickering. I won't start. Try to pull another one.