The European Union is committed to free trade negotiations with Japan
- The European Union passed a resolution on October 25 to open free trade negotiations with Japan. According to the resolution, non-tariff barriers create benefits - traditional or regulatory - for local businesses, and are more difficult to remove than tariffs. In the past, such barriers have prevented European firms to take full advantage of trade opportunities with Japan. Exports from the European Union to Japan could rise to 71% if the tariff and non-tariff barriers were reduced as much as it is possible.
- MEPs insist, however, on the fact that the negotiating mandate should include "clear and measurable objectives" for removal of non-tariff barriers such as the "rules of land use“, the restrictions on electric and hybrid cars, and preferential treatment enjoyed by midgets in Japan (cars under 660cc).
- The association of European manufacturers (ACEA) has clearly taken a stand against such an agreement. The main arguments are the asymmetry of the situation between Europe and Japan. In the context of such a free trade agreement, the Japanese would be much better off than the European manufacturers.
