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EU-Japan Economic Partnership Agreement (EPA)

As stated in my previous article, on July 17, 2018, the European Union and Japan signed an Economic Partnership Agreement (EPA). Currently, the negotiations between the EU and Japan have been finalized and the legal revision of the texts has been completed. A publication of the texts of the EPA can be found on the European Commission website

In order to benefit from this partnership agreement as an enterprise, your product needs to be (preferential) originated in Japan or the EU.

Determination of the origin of a product

The rules for determining the origin of a product are defined in Chapter 3 of the EPA: ‘Rules of origin and origin procedures’.

  • Annexes 3-A, 3-B, 3-C, 3-D, 3-E and 3-F
  • Appendix 3-B-1 of the EU-JP Agreement

First, you need to identify the product, the HS code and the preferential tariff rate. Based on this, you need to decide if your product is eligible?

Is the product wholly obtained or produced from materials originated in the EU or Japan ?

If not… you need to check if alternative rules are applicable:

  • Value added rule
  • Change of tariff classification rule
  • Processing rules
  • A combination of these rules

REX

As an exporter you must make out a statement on origin on a commercial document. In the EU, exporters need to be registered in the REX system. If you are already registered you can also use the license for the EPA EU-Japan. There is no need to register when the value of the consignment is below € 6000,-.

For exporters from Japan there is no need to register. The reference number used is the corporate number.

Statement on Origin

On the commercial document the following text must be printed. (A EUR1 is not applicable)

(Period)

From……………….to ……………………

The exporter of the product(s) covered by this document (Exporter Reference No…..) declares that, except where otherwise clearly indicated, these products are of European (Union or Japan) preferential origin.

(Origin Criteria used)

…………………………………………………

(Place and date)

………………………………………………..

(Printed name of the exporter)

………………………………………………..

More information

The EU-Japan EPA enters into force before the end of March 2019. More information plus the full text of the agreement can be found on the European Commission website. For more information about this topic, sign up for our monthly newsletter and stay updated about the EU-Japan EPA!

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