Japan America Trade Agreement

5. ustr.gov/countries-regions/japan-korea-apec/japan. On September 26, 2018, President Trump and Prime Minister Abe announced that the United States and Japan would begin negotiations for a trade agreement between the United States and Japan. On October 16, 2018, the USTR formally informed Congress that the Trump administration intends to begin negotiations after the necessary internal procedures. Thus began a 90-day consultation period under the Trade Promotion Authority, mandated by Congress, before negotiations began. Public notices on the negotiating objectives of a trade agreement were expected on 26 November 2018 and detailed negotiating targets were published on 21 December 2018. Negotiations began in April 2019. The U.S.-Japan Trade Agreement (USJTA) came into force on January 1, 2020. In that agreement, Japan committed to grant the United States significant market access by phasing in most tariffs, implementing significant tariff reductions or allowing a certain volume of imports at a lower price. Once the USJTA is fully implemented, nearly 90% of U.S. food and agricultural products imported into Japan will be duty-free or preferential tariff access. 9.

www.whitehouse.gov/briefings-statements/president-donald-j-trump-secured-tremendous-victory-american-farmers-businesses-new-japan-trade-agreements/. The Digital Trade Agreement is a separate agreement that sets rules in the digital space.15 The content of the Digital Trade Agreement is virtually the same as the provisions of the U.S.-Mexico-Canada agreement (USMCA). Notable provisions include a ban on tariffs on electronically transmitted content (e.g. B software and music) and the recognition of an electronic signature as a legally appropriate authentication tool. This is important as the World Trade Organization (WTO) electronic transfer moratorium is to be renewed at the 12th Ministerial Conference in June 2020 (see the next issue of EY tradewatch for a corresponding article). 4. www.whitehouse.gov/briefings-statements/joint-statement-united-states-japan/. 15. U.S. Customs and Border Services, CSMS #41149692, U.S.-Japan trade agreement: information on the request for preferential treatment.

www.cbp.gov/trade/free-trade-agreements/japan. Businesses with Japan and U.S. trade are invited to review the text of the agreements and understand the potential benefits. To this end, companies can act immediately: U.S. President Donald Trump signed a proclamation on December 26, 2019, which implemented two separate trade agreements with Japan (together the agreements). 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.