Enhanced Free Trade Agreement (FTA) between the UK and Japan: Publication of negotiating objectives

Coronavirus is the biggest threat this country has faced in decades. All over the world we see its devastating impact. The Government is doing all it can to protect business from the worst effects of COVID-19 in the immediate term.

We must take steps to support our economy, reduce impacts and provide opportunities for the future economic recovery. All countries need to work together to ensure long-term prosperity and international trade is central to this cooperation. Free trade and resilient supply chains through open markets will be crucial to the global economic recovery as the crisis passes. One important element of this is ensuring that UK businesses have access to a wide range of free trade agreements when the Transition Period ends at the end of this year. 

I am writing to advise you that today the Government has published a number of documents relating to an enhanced free trade agreement (FTA) between the UK and Japan.  The link can be found here: https://www.gov.uk/government/publications/uks-approach-to-negotiating-a-free-trade-agreement-with-japan.

The publication sets out:

• the Government’s negotiating objectives;    
• the Government response to the call for input on trade negotiations with Japan, providing an overview of the responses received and setting out how these have fed into our policy development; and   
• a Scoping Assessment providing a preliminary assessment of the potential long run economic impacts of an enhanced FTA between the UK and Japan. 

Building on the existing EU-Japan Economic Partnership Agreement (EPA) an enhanced FTA with Japan represents a significant opportunity to realise benefits in the long run in areas of mutual interest across the economy, from agriculture to digital. Japan is a developed economy with high standards, and the UK and Japan are major investors in each other’s economies, ranking fifth and sixth respectively for inward foreign direct investment in 2018.

We will also prepare for trade agreements with others, with simultaneous talks helping to achieve the best possible outcome for UK consumers and businesses.

An enhanced FTA with Japan will be a driving force to maximise the UK’s advantage in the opportunities Asia Pacific affords. These bilateral negotiations will also be a logical first step to joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).