Preferential Trade Agreement Japan

6. EY Global Tax Alert, USTR grants new exclusions for lists 1, 2 and 3 for products originating in China; The United States and Japan agree on merchandise trade and digital trade from September 27, 2019. If you import goods (of Japanese origin) from Japan, you can apply for preferential treatment. To assert this right, your invoice or other trade document must include a “declaration of origin” from a Japanese exporter. To receive preferential treatment, a good origin must comply with all the requirements of the agreement between the United States and Japan. Within four months of its implementation, President Trump and Prime Minister Abe will relocate their efforts for a broader trade deal. This broader agreement aims to cover both tariff and non-tariff barriers, including tariffs and restrictions on trade in services and investment. In exchange, the United States will abolish or reduce tariffs on 42 lines and $40 million in foodstuffs such as persimmons, green tea and other specific food products. Other products, Some flower-based products, bicycle parts, steel products, industrial machine tools and miscellaneous items included in chapters 84, 85 and 87 of the United States Harmonized Tariff Plan (HTSUS) 11 The removal and reduction of tariffs will be effective at various stages, based on 11 different product categories.12 Alternatively, you can apply for preferential treatment based on the importer`s knowledge. The importer must have information in the form of supporting documents or documents provided by the exporter or producer. If you are importing from Japan, you do not need to register with REX to benefit from preferential rates. Japan has requested ratification by submitting the agreements to its bicameral legislation, the National Parliament. On November 19, 2019, the lower house of Parliament, the House of Representatives, voted on both agreements.

On 4 December 2019, the Landtag approved the agreements after adoption by the Council, the House of Lords of the Landtag. In the absence of congressional approval in the United States, President Trump signed the agreements himself on December 26, 2019. Both agreements came into force on January 1, 2020. U.S. President Donald Trump signed a proclamation on December 26, 2019, in which he implemented two separate trade agreements with Japan (together the agreements) 1. The U.S.-Japan trade agreement (trade agreement) will abolish or reduce tariffs on agricultural and industrial products and set preferential quotas for U.S. products. The Digital Trade Agreement between the United States and Japan is a separate agreement between the two countries, which will provide guidance for priority areas of digital trade.

The agreements came into force on January 1, 2020 and are expected to serve as the basis for further negotiations for a broader free trade agreement between the United States and Japan.210 U.S.-Japan trade agreements, Appendix I: Japan`s tariffs and customs provisions, I-B-5-1; ustr.gov/sites/default/files/files/agreements/japan/Annex_I_Tariffs_and_Tariff-Related_Provisions_of_Japan.pdf.