RIETI Symposium Materials
Japan’s EPA Policy
23 March 2007
0
Contents
• 1. Overall Picture
• 2. East Asia Plan
• 3. (Reference) The Results of Japan's EPA Agreements
that have Come into Effect
-Taking the case of the EPA with Singapore and the
EPA with Mexico as Case Studies-
2
8
18
1
1. Overall Picture
2
1-1. Basic thinking about promoting EPAs
Mutual prosperity with Asia
Mutual prosperity with Asia
Participate in growth, vigor of Asia
Develop production network of Asian industry
Secure stable supply of resources, energy
Strengthen relations with supplier countries of resources, energy
Secure stable supply by strengthening investment interests
Reference: Japan’s foreign dependence
EPA quality is important as well as rapidity
【Oil】
＜Changes in trade value (imports + exports) in last 10 yrs＞
Deepening of mutual economic dependence
Japan, China, Korea
1 Sauji
2 ＵＡＥ
3 Iran
(Unit: $100 million ）
2621
196
3.2times
2.1times
ASEAN10
184
299
4.8times
India
49
【Coal】
Foreign dependence almost 100%
Foreign dependence almost 100%
26%
25%
15%
1 Australia
2 China
3 India
629
57%
16%
14%
【Iron Ore】
2.0
Foreign dependence almost 100%
2.3times
Australia, NZ
1 Australia 56%
2 Brazil
21%
3 India
10%
Structural reform
4.5times
Domestic structural reform through economic cooperation
（1,000 persons）
・Stronger competitiveness and unified services negotiations through structural reform
・Promote transfer of HR Build up skills by importing highly skilled HR
e.g. Introduce nurses, carers through EPA with Philippines
Reference: Foreign technicians and researchers entering Japan
Improve productivity, competitiveness through liberalizing trade, investment
65,699
5,699
5
4
3
HR intake trending downward
人材の流入量は
3,670 減少傾向
3,396
3,670
3,396
3,308
3,308
2,759
2,643
2,759
2,643
Technology
Research
2 1,229
1,079
1,036
1,229
1,079
1,036
647
793
1
793782647
782
0
Ｈ１０ 11 12 13 14 15 （year）
（Reference: Japan’s foreign dependence ）
3
1-2. Significance of economic cooperation and Japan’s efforts
○Economic cooperation (EPA/FTA) is an important key to improving
Japan’s economic vigor and international competitiveness.
EPA effects:
・ Reduces tariff costs
ＥＰＡ等による
・ Optimizes production locations
・ Expands markets and
Stronger
Stronger competitiveness
competitiveness
investment destinations
○Centered around East Asia, Japan has concluded EPA with 4 nations,
reached general agreement with 4 nations, and negotiating or preparing to
negotiate with 5 nations and 2 regions. Another 1 nation and 2 regions are
Japan, China and Korea
considering.
。
have agreed to enter
negotiations on
Total of 15 countries or regions have been negotiated with.
an investment agreement.
India (Pop. 1.029 billion, per capita GDP $700)
Korea
・ Negotiations started January 2007.
・ One of BRICs, enormous potential market.
・Negotiations discontinued from Nov. 2004.
Singapore
(Pop. 4 million, per capita GDP $26,000)
・ EPA concluded Nov. 2002. Japan’s first EPA
(revision negotiations ongoing).
Malaysia
(Pop. 48 million, per capita GDP $14,000)
ASEAN overall
(Pop. 26 million, per capita GDP $5,000)
・EPA concluded Nov. 2002. In reality, tariffs withdrawn
on all industrial products.
Philippines (Pop. 83 million, per capita GDP $1,200)
・ EPA signed 9 Sept. 2006. Includes agreement on
movement of people.
Thailand (Pop. 62 million, per capita GDP $2,700)
・General agreement Sept. 2005. Production base for
autos, electrical and electronic goods, etc.
GCC countries (Pop. 35 million)
• FTA negotiations started September 2006
Gulf Cooperation Council:
Saudi Arabia, Kuwait,
UAE, Bahrain, Qatar, Oman.
• Export market exceeding 1 trillion yen.
Also important from viewpoint of securing resources.
(Pop. 550 million, per capita GDP$120)
・ Negotiations started April 2005. Target is agreement within 2 yrs.
・ Build free business zone adapted to industrial structure spread
between Japan and ASEAN.
Vietnam
(Pop. 82 million, per capita GDP $600)
・Negotiations started January 2007.
・Investment from Japan rising sharply.
Also important from viewpoint of improving business environment.
Brunei(Pop. 350,000, per capita GDP $17,000)
・General agreement December 2006. Important as supplier of oil
and gas.
Indonesia (Pop. 550 million, per capita GDP $120)
・ General agreement Nov. 2006.
Fundamental discussion about resources sector.
Australia
Economic
Economic vitality
vitality
(Pop. 20.63 million, per capita GDP $30,682)
・Agreement between government leaders in Dec.
2006 to begin negotiations.
・Important from viewpoint of securing resources, East Asia
economic unification.
Japan-China-Korea
Investment Agreement
・Jan. 2007, heads of state agreed to enter
negotiations for investment agreement.
・ Private sector research on FTA is being
conducted.
Mexico
(Pop. 105 million,
per capita GDP $6,500)
・EPA concluded April 2005.
Includes agricultural products
liberalization for firsttime.
Chile (Pop. 16 million, per
capita GDP $5,839)
・General agreement Sept. 2006.
Important from viewpoint of
securing resources.
Switzerland (Pop.
7,390,000, per capita GDP $33,678)
・ Agreement between
government leaders in Jan.
2007 to begin negotiations.
East Asia
Overall
・Government leaders of ASEAN,
Japan, China, Korea, India,
Australia, NZ agree on starting
research.
South Africa
・Considering measures for
strengthening economic relations
19 Jan. 2007
4
1-3. Schedule regarding Japan’s economic cooperation
２００４
（As of Feb.27,2007)
２００７
Sept.Signing
（Nov.02 Start negotiations）
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Dec.03
Start
negotiations
Agreement
Apr. Entry into Force
May General agreement
Jan.
Dec.Signing
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Nov. General agreement
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Feb.
Ｊｕｌｙ Ｅｎｔｒｙ ｉｎｔｏ Ｆｏｒｃｅ
Sep．Signing
Sep. Signing
Sep. General agreement
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Feb.
（Nov.Start negotiations Agreement） Feb.
Ｉｎｄｕｓｔｒｙ-Ｕｎｉｖｅｒｓｉｔｙ Ｊｏｉｎｔ
Ｉｎｄｕｓｔｒｙ
Ｉｎｄｕｓｔｒｙ-Ｕｎｉｖｅｒｓｉｔｙ
Ｊｏｉｎｔ Ｒｅｓｅａｒｃｈ
Ｒｅｓｅａｒｃｈ
Jan
Ｊａｎ
Indonesia
Korea
ASEAN
Sep. General agreement
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Nov. General agreement
（Ｊｕｎ．Ｓｔａｒｔ ｎｅｇｏｔｉａｔｉｏｎｓ） ７月～交渉
Industry,
Industry, academia
academia and
and
government
government research
research
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Jun.Start negotiations
Dec.General agreement
Feb. Prep.mtng
Ｎｅｇｏｔｉａｔｉｏｎｓ
Prep.mtng
Ｎｅｇｏｔｉａｔｉｏｎｓ
Oct.03
Start
Nov. Cease negotiations
negotiations Ｄｅｃ．
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Agreement
Ｆｅｂ．（Ｎｏｖ．Ｓｔａｒｔ ｎｅｇｏｔｉａｔｉｏｎｓ Ａｇｒｅｅｍｅｎｔ） Apr.
Inter
Inter Governmental
Governmental Talks
Talks
Ａｉｍ for negotiation to be
completed Within Two years
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
ＧＣＣ
May
Vietnam
Feb.
India
Jul.
Preparation
Preparation metg
metg..
Sep.
Review
Review mtng
mtng
Joint
Joint resarch
resarch group
group
Jul
Nov.
Switzerland
Jan
Jan
Oct.
Nov.Start Intergovernmental talks
Agreement
May
Inter-governmental
Inter-governmental research
research
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Ｎｅｇｏｔｉａｔｉｏｎｓ
Negotiations
Negotiations
negotiation Agreement
Inter-govenmental research
Inter
Inter-govenmental
research
Inter-governmental talks
Inter
Inter-governmental
talks
South Africa
East Asia
ＮｅｇｏｔｉａｔｉｏｎＣｓ
ＮｅｇｏｔｉａｔｉｏｎＣｓ
Dec.Start
Australia
Ｊａｐａｎ-China-Korea Investment Agreement
Review by
Jan.Review
negotiation
General
agreemnt
Nov.02EPA concluded
Malaysia
Thailand
２００６
Jan. 01Start negotiating
Singapore
Mexico
２００５
Jan/ Start negotiatio, Agreement
Negotiations
Negotiations
Jan.Start negotiations Agreement
Negotiations
Negotiations
Jan Agreed by Prime Minister
【EAFTA】
Apr. ASEAN＋３ Joint Specialist Research
ASEAN＋３ Joint Specialist Research
【East Asia EPA】
ASEAN+６
ASEAN+６ Specialist
Specialist Reseach
Reseach
5
1-4. Regional economic unification through bilateral EPAs
○
○In
In East
East Asia,
Asia, efforts
efforts at
at regional
regional economic
economic unification
unification through
through bilateral
bilateral EPAs
EPAs are
are increasing.
increasing.
○
○ Efforts
Efforts are
are progressing
progressing through
through ASEAN,
ASEAN, ASEAN
ASEAN ++ 1,
1, ASEAN
ASEAN ++ 3,
3, ASEAN
ASEAN +6,
+6, APEC.
APEC.
10 ASEAN nations
●AFTA entered into force
1992.
●Original member
countries will complete
liberalization in 2010.
(Thailand, Philippines,
Malaysia, Indonesia,
Singapore, Brunei)
●New member countries
will complete liberalization
in 2015. (Cambodia, Laos,
Myanmar, Vietnam)
ASEAN＋１
ASEAN
ASEAN＋３
Korea,
Korea, ASEAN
ASEAN
China,
China, ASEAN
ASEAN
Goods
Goods sector
sector enters
enters into
into force
force 2007
2007
Goods
Goods sector
sector entered
entered into
into force
force 2005
2005
Japan,
Japan, ASEAN
ASEAN
Agreement
Agreement target
target Spring
Spring 2007
2007
Australia,
Australia, NZ,
NZ, ASEAN
ASEAN
India,
India, ASEAN
ASEAN
Agreement
Agreement target
target 2007
2007
Agreement
Agreement target
target 2007
2007
ASEAN＋６
ＡＰＥＣ
（ASEAN, Japan, China, Korea）（ASEAN, Japan, China, Korea, India, Australia, NZ）
U.S.A.
Canada
Mexico
Peru
Chile
Hong
Kong
Taiwan
Russia
Papua
New
Guinea
・Sunner 2006. Specialist study completed,
proposal to start consultation
between governments.
・Jan 2007. At heads of government meeting,
continued study by specialists
decided.
・Summer 2006. Japan proposes start of
Among 10 ASEAN countries, Myanmar,
Cambodia and Laos are non-APEC members.
study be specialists.
・Jan. 2007 At heads of government meeting,
agreement on start of
specialist study.
・Nov. 2006. Heads of government agree on
study as long term objective.
6
1-5.
Reference: Economic cooperation negotiations between main countries, regions
Country
USA
Status
Entered into
force・
agreement
Singapore, MERCOSUR, Sri Lanka,
Nepal, Bhutan
Negotiating
６
Japan, ASEAN, Thailand, Egypt,
Korea, GCC
５
East Asia overall, EU, South Africa,
China, BIMSTEC, SAARC
４
Chile, ASEAN, Hong Kong, Macao
６
NZ, Australia, Pakistan, GCC, DSCU,
Singapore
５
East Asia overall, Iceland, India,
Korea, Japan-China-Korea
Entered into
force・
agreement
４
Chile, Singapore, EFTA, ASEAN
Negotiating
５
India, Me
７
East Asia overall, EU, South Africa,
China, BIMSTEC, SAARC
SACU、India, Andean Community
Entered into
force・
agreement
４
Singapore, Mexico, Malaysia,
Philippines
Negotiating
１１
Thailand, Brunei, Chile, Indonesia,
India, Vietnam, Australia, Switzerland,
Korea, GCC, ASEAN
３
East Asia overall, Japan-China-Korea,
South Africa
Chile, El Salvador, Honduras, Nicaragua,
Guatemala, NAFTA, Morocco, Bahrain,
Jordan, Israel, Australia, Singapore, Peru,
Colombia, Oman, Costa Rica, Dominica
８
Korea, Ecuador, Panama, FTAA, SACU,
UAE, Malaysia, Thailand
Under
consideration
２
ASEAN、APEC
Entered into
force・
agreement
２９
３
Under
consideration
６
ASEAN、Korean, India Central America
region, Andean Community, EuroMediterranean Community of Democratic
States
Entered into
force・
agreement
４
Negotiating
４
China, ASEAN, Malaysia, UAE, Japan
Under
consideration
４
East Asia overall, Korea, Chile, Korea
Entered into
force・
agreement
Under
consideration
China
Acp, Mexico, Chile, Algeria, Tunisia, South
Africa, Morocco, Egypt, EU, overseas
territories, Switzerland, Andorra, Rumania,
Bulgaria, Iceland, Norway, Liechtenstein,
Turkey, Faeroe Islands, Macedonia,
Croatia, Syria, Palestine, Israel, Jordan,
Lebanon, Russia, Ukraine, China
China, GCC, MERCOSUR
Negotiating
MERCO
SUR
５
Negotiating
EU
Australi
a
Entered into
force・
agreement
India
Country,
Region
１７
(As of Feb. 2007)
Negotiating
Under
consideration
Korea
Thailand, USA, NZ, Singapore
Under
consideration
Japan
３
Negotiating
３
GCC, Israel, FTAA
Under
consideration
３
EU, Pakistan, Korea
Entered into
force・
agreement
Under
consideration
※Created based on various information sources, announcements by each government, etc. Particularly for “Under consideration”, omissions are possible.
7
２．East Asia Plan
8
2-1. The Status of the East Asia Concept
○Strengthening of East Asia economic unification is progressing with
liberalization and system revision through East Asia EPA, and elimination of
regional inequalities through economic research centers as the two pillars.
Economic Research Institute for ASIAN and East Asia
East Asia EPA
（East Asian version of OECD concept, ERIA）
（Comprehensive economic partnership in East Asia,CEPEA）
Liberalization, system revision
Aim for economic cooperation through
ASEAN＋6 (Japan, China, Korea, India,
Australia, NZ)
Promote building of high
efficiency production network,
and improve regional industrial
competitiveness.
Cooperation, elimination of inequalities
Provide intellectual support for policy
proposals for sustained growth of East Asia
Japanese Approach promoting
Liberalization and system reform,
together with elimination of
regional inequalities through
cooperation.
As important part of Asian
cooperation, maintain
complementary relationship with
APEC*, including USA.
※ＡＰＥＣ＝Asia-Pacific Economic Cooperation
Prosperity brought about by East Asia economic unification will contribute to
incorporating Asia’s growth strength into the Japanese economy.
9
2-2. Aim of East Asia EPA (CEPEA)
○
○Sign
Sign an
an EPA
EPA with
with ASEAN
ASEAN and
and its
its partner
partner countries
countries tackling
tackling FTA,
FTA, EPA
EPA (Japan,
(Japan, China,
China, Korea,
Korea, India,
India,
Australia,
Australia, NZ,
NZ, ASEAN＋6).
ASEAN＋6). Aim
Aim for
for further
further development
development of
of the
the regional
regional production
production network.
network.
○
○Contribute
Contribute to
to building
building market
market economies
economies based
based on
on free
free and
and fair
fair rules
rules covering
covering broad
broad contents,
contents,
including
including not
not onlygoods
onlygoods trade,
trade, but
but also
also services,
services, investment
investment and
and intellectual
intellectual property,
property, etc.
etc.
FTA, EPA efforts with ASEAN
India.
Negotiations
Korea. Signed
Japan.
Negotiating
Example of electronic, China
electrical maker
Pa
rts
China. Entry into force
Regional production network example
India
Australia, NZ
Negotiating
ＣＥＰＥＡ
Vietnam
l
Fina uct
d
pro
Thailand
Korea
Korea
Japan
s
Part
Australia, NZ
ASEAN
Schedule
January 2007
East Asia Summit
Agreement to start
study proposed by
Japan
Spring 2007
Start of private sector
research
Nov. 2007
East Asia Summit
Private sector interim
report expected.
Evaluate future
efforts
10
2-3.
History of economic cooperation for East Asia overall （timeline image）
２００５
（summer 2006）
Economic cooperation through ASEAN
＋Japan, China and Korea ＋India,
Australia and NZ.
Reference: East Asia version of OECD concept
（2007～？）
Agreement at East Asia Summit
ASEAN opposed
transfer to government
research.
Private sector study
(continues)
three Summit
Part 1
2007～
＋
Welcome at ASEAN
（2005～2006 summer）
Japan’s proposal
ASEAN＋６
Private sector
study
Now
Korean proposal
Economic cooperation
through ASEAN＋Japan,
China and Korea
China’s proposal
ASEAN＋３
2006
Part 2
Private sector
study
（2007～？）
Establish Economic
Research Institute for
ASEAN and East Asia
(2007). ERIA
11
2-4.
Aims of ERIA (Economic Research Institute for ASEAN and East Asia) ①Functions
z
zProvide
Provide policy
policy for
for prime
prime minister
minister and
and cabinet
cabinet at
at East
East Asia
Asia summit,
summit, etc
etc toward
toward East
East Asia
Asia economic
economic
unification.
unification. In
In future,
future, aim
aim for
for “East
“East Asia
Asia version
version of
of OECD”.
OECD”.
z
zPlace
Place emphasis
emphasis on
on support
support for
for developing
developing countries,
countries, toward
toward eliminating
eliminating developmental
developmental inequality
inequality
within
within the
the region.
region.
z
zJapan’s
Japan’s government
government plans
plans to
to provide
provide future
future support
support of
of 10
10 billion
billion yen.
yen.
Research Institutions involved from each country
▬Australian National University
▬Brunei Darussalam Policy Strategy
Institute
▬Cambodian Institute for Cooperation and
Peace (CICP)
▬Chinese Academy of Social Sciences (CASS)
▬India: Research and Information Systems
for Non-aligned & other Developing
Countries (RIS)
▬Indonesia: Institute for Global
Environmental Strategies
▬Japan: Asia Economic Research Institute
▬Korea Institute for International Economic
Policy (KIEP)
▬Laos: National Economic Research Institute
(NERI)
▬Malaysian Institute of Economic Research
(MIER)
▬Myanmar: Yangon University Institute of
Economics
▬New Zealand Institute of Economics
Research (NZIER)
▬Philippine Institute for Development
Studies (PIDS)
▬Singapore Institute for International Affairs/
South East Asia Peace and Security
Network
▬Thailand Development Research Institute
(TDRI)
▬Vietnam: Central Institute for Economic
Management
▬Asia Development Bank
East Asia Economic Unification
ASEAN+1
Intra ASEAN
ASEAN+3
ASEAN+6
Policy provision
ASEAN
Driving Force
Comments on survey analysis issues
Policy provision
Cooperation with
research institutions
within East Asia
Economic Research Institute
for ASEAN and East Asia
(ERIA)
・Conduct shared
research
・Send Researchers
ERIA: Economic Research Institute for ASEAN and East Asia
Capability
development
support for
developing
countries
¾Establishment planned within
ASEAN region ¾ Capital, etc
¾ Capital, etc
Japan
Govt.
Research Inst.
Business
Training for policy
advisors, researchers
Mainly East Asia
countries
Mainly East Asia countries
Govt.
Research Inst.
Business
12
②Schedule until establishment
Jan. 2007: 2nd East Asia Summit (Cebu)
* Prime Minister Abe proposed the ERIA plan
* It was well received by all government heads in the East Asia region.
Discussion with each country in the region, the plan becomes specific
Aug. 2007: East Asia Finance Ministers Conference
Nov. 2007 3rd East Asia Summit (Singapore)
○ ERIA formally established, home base decided (to be
decided by ASEAN general vote).
○ Interim report on East Asia EPA public research
Note: However, this is based on the premise of agreement to the Japan – ASEAN EPA
13
2-5. The Potential for the Integration of the East Asian Economy to Contribute to the Japanese Economy 1) Closer Economic
Region
-There
-There will
will be
be an
an increase
increase in
in the
the proportion
proportion of
of regional
regional trade
trade in
in East
East Asia
Asia which
which will
will result
result in
in aa level
level
of
of real
real integration
integration that
that exceeds
exceeds that
that of
of North
North America
America (NAFTA)
(NAFTA) and
and is
is on
on aa level
level on
on aa par
par with
with
the
the European
European Union
Union (15
(15 countries).
countries).
70
(%)
Percentage of
regional trade
EU (15 countries)
EU Completion of regional
Market integration
65
EU Introduction of the
Euro
60%
60
５７％
Start of
ASEAN CEPT
55
５４％
ASEAN＋６
アセアン＋６
50
（ASEAN＋Japan,
China, Korea＋India, Australia, NZ ）
（ｱｾｱﾝ＋日中韓＋印豪NZ）
ASEAN＋３
アセアン＋３
（ｱｾｱﾝ＋日中韓）
45
（ASEAN＋Japan, China, Korea）
45%
40
38%
Issue of NAFTA
NAFTA
35
30
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002 (year)
(Note) “ASEAN/Japan/China/Korea (+India/Australia)” also includes Hong Kong and Taiwan.
(Origin) IMF “DOT” Board of Foreign Trade, Taiwan, Chinese Taipei“Trade Statistics”
Created from: (http://eweb.trade.gov.tw/default.asp)
14
②Importance as a Trading Partner for Japan
Breakdown by Region of Japan’s Trade Structure (2005)
Other
Latin America
2.1%
3.7%
MexicoChili
0.9% 0.5%
Comprises 50% of total
trade with East Asia
when Australia, New
Zealand, and India are
included.
East Asia: ASEAN, Korea, China,
Hong Kong, Macao, Taiwan, Australia,
India, New Zealand
North America
19.4%
US
17.8%
China, Hong Kong,
Macao, Taiwan
25.9%
Total Japanese
Trading Figures for
Imports and Exports
(2005)
122.6 trillion yen
ＥＵ
Europe, 13.2%
Russia
15.4%
GCC
8.0%
East Asia
Korea 50.0%
6.4%
ASEAN
13.3%
Australia
3.3%
India
Middle East ＮＺ
0.6%
0.4%
9.4%
Created from MOFA trading
statistics
ASEAN (Thailand, Philippines, Singapore, Malaysia, Indonesia, Brunei, Vietnam,
Myanmar, Laos, Cambodia), GCC (Saudi Arabia, UAE, Qatar, Kuwait, Oman,
Bahrain), EFTA (Switzerland, Iceland, Norway, Liechtenstein), MERCOSUR (Brazil,
Argentina, Uruguay, Paraguay), SACU (South Africa, Lesotho, Swaziland, Botswana,
Namibia)
15
③Growing Relations With Other Regions
In
In addition
addition to
to the
the rapid
rapid increase
increase of
of trade
trade between
between Japan
Japan and
and each
each of
of the
the nations
nations of
of East
East Asia,
Asia, there
there
has
has also
also been
been aa dramatic
dramatic increase
increase in
in the
the level
level of
of trade
trade between
between East
East Asia
Asia and
and the
the United
United States
States
and
and between
between East
East Asia
Asia and
and Europe.
Europe. There
There is
is an
an increasingly
increasingly high
high level
level of
of instances
instances in
in which
which
Japanese
Japanese companies
companies are
are using
using supply
supply chains
chains that
that span
span the
the entire
entire East
East Asian
Asian area.
area.
１９９４
２００４
Value of Exports
Unit: millions of dollars
Japan
JPN -> EU
67,602
JPN -> US
119,149
US -> JPN
EU -> JPN
53,407
62,848
Unit: millions of dollars
East Asia -> JPN
129,300
US
US -> East Asia
96,146
East Asia -> EU
East Asia -> US
146,737
130,983
East Asia*
Source: Japan's Trade White
Paper 2006
129,805
US -> JPN
62,563
JPN -> East Asia
290,753
90,875
EU -> East Asia
JPN -> US
EU -> JPN
77,022
JPN -> East Asia
168,761
EU
Japan
JPN -> EU
85,875
EU
US
East Asia -> JPN
196,348
EU -> East Asia
US -> East Asia
181,317
108,183
East Asia -> EU
293,589
East Asia -> US
367,863
East Asia*
*By East Asia we refer to the total of the ASEAN 5 (Singapore, Indonesia, the Philippines, Thailand and Malaysia) and China, Hong Kong, Taiwan and
Korea)
16
2-6 Outlook for Liberalization and Facilitation in the Asia-Pacific region
The initial issue is to settle the situation as concerns Japan-ASEAN trade, or ASEAN+1. After that an
approach can be made to an economic partnership agreement encompassing ASEAN+6, with a
long-term goal being set to include an APEC FTA.
WTO
Reopening and Conclusion of the Round
From
2010
Research on Regional
Economic Integration Including
FTAAP
2009
(Ongoing research
into ASEAN+3
FTA)
Considering Measures to Strengthen APEC
2008
Reopening of
China-Korea
EPA
negotiations?
FTA
negotiations
and other
approaches
such ad
ChinaAustralia and
ChinaSingapore
APEC
Compiling FTA Model Measures
Research on
ASEAN+6: East
Asia EPA
Progress in the
Japan-India
EPA and other
approaches
US-Malaysia, US-Thai Negotiations, etc..
*China enacts goods treaty
Progress in
bilateral EPA
negotiations with
ASEAN such as
Japan-Indonesia
and JapanVietnam
Discussions on strengthening US-Japan economic relations
Until
2007
An approach to
strengthening
economic ties
based on
ASEAN+1 (Japan,
China, Korea, India,
Australia, NZ)
US-Korea FTA Negotiations
Across the
Asia-Pacific
East Asia
Hosting of APEC in Japan/Target Year for Achieving the Bogor objectives (realization of free and
open trade and investment)
The possibility of an FTAAP as a long term outlook
17
3. The Results of Japan's EPA
Agreements that have Come into Effect
‐Taking the case of the EPA with Singapore and the EPA with Mexico as Case Studies ‐
18
3.1 The Results of the Japan-Singapore Economic Partnership Agreement
1. Trade Trends in the period Before and After the EPA Took Effect (Comparison of 2002 and 2004)
(1) Trade trends after the taking of effect of the treaty
Despite the stagnation of the Japanese economy and the outbreak of SARS and terrorism , trade volume maintained the level of
average years.
¾ Value of exports from Japan to Singapore 1.7745 trillion yen increased to 1.9448 trillion yen (9.6% increase)
¾ Value of imports from Singapore to Japan 626.7 billion en increased to 680.1 billion yen (8.5% increase)
(2) Trade trends for major items whose duties were repealed
¾ Exports of beer from Japan to Singapore
Duty: Maximum of SGD1.7 per liter repealed to 0%
Value of trade increased by 20.3%
(Reference: As a result of the conclusion of this economic partnership agreement, Asahi Beer shifted the production plant for beer to be
exported to Singapore from a plant in China to a facility in Japan)
¾ Exports of plastic products from Singapore to Japan
Duty: Maximum of 6.5% reduced to 0% (including some items for which the reduction does not have immediate
effect) Value of trade increased by 74.7%
2. Major effects in terms of Investment
*Trade value figures are based on Finance Ministry Trade Statistics
¾ There has been an increase of foreign direct investment from Singapore since the EPA took effect both in terms of
investment cases and value invested.
¾ In particular, the year 2003 saw an increase of 550% over the year 2002 in terms of foreign direct investment.
In August 2003 IE Singapore (the Singaporean International Business Agency) opened up a Business Support Office in
Tokyo and this has already been used by three firms. In October 2001 the Japan External Trade Organization
(JETRO) opened a Business Support Center in Singapore and as of December 2003 this Center had been used by 19
companies, with 16 of them already having launched operations on the ground in Singapore.
3. Major results in areas other than trade
¾ Mutual recognition (Electric and Electronic Areas)
On 13 February 2003 it became possible for safety tests based on Singaporean safety criteria to be undertaken in Japan
through the Japan Quality Assurance (JQA) Organization, registered in the Japan-Singapore Mutual Recognition Joint Committee,
thereby making it possible for mutual recognition based on inspection operations to be done.
19
3-2. Results of the Japan-Mexico Economic Partnership Agreement
1. Trade Trends in the period Before and After the EPA Took Effect
(1) Trade trends after the taking of effect of the treaty
(Trade value figures are based on Finance Ministry Trade
Statistics)
40%
（FY２００４ -> FY２００５）
9000
increase
Value of exports from
Japan to Mexico
7000
Increase from approximately
590 billion to 860 billion yen
5000
590
Billion yen
3000
(100 million FY20０４
yen)
860
Billion
yen
FY20０５
Treaty took effect in April 2005
(2) Trends in trade in individual items (Source: Ministry of Economics,
Economics,
Mexico)
Value of automobile exports from 90000 increase
Japan to Mexico
Approx. 840
Increase from approximately 585 million
million dollars
dollars to approximately 935 million
Approx. 590
dollars
Value of imports from
Mexico to Japan
2500
Increase from approximately 240
billion to 290 billion
2000
(Year on year increase of 22%)
20%
increase
240
billion
yen
(100 million yen)
FY20０４
290 billion
yen
FY20０５
million dollars
(Year on year increase of 42.7%)
(10,000 0
dollars)
(Year on year increase of 45%)
3000
1.4 fold
(From April – December 2004 to April – December 2005
FY20０４
Value of exports of uninterruptible
power sources from Japan to Mexico
1000
Increase from approximately 2.38 million
dollars to approximately 9.53 million
dollars
(Year on year increase of 300%)
Uninterruptible power sources:
Devices that protect computers and
other devices from blackouts
FY20０５
4 fold
increase
Approx. 9.53
Million dollars
Approx. 2.38
(10,000 Million dollars
0
FY20０４
Fy20０５
dollars)
2. Major effects in areas other than trade Approx. 250%
(1) Investment
increase from
2004 to 2005
There is an increasing number of companies that are implanting
additional and new investments in Mexico centering on the automobile
sector
The following are some of the major cases of Japanese corporations
that have made additional and new investments in Mexico in the aftermath
of the Japan-Mexico Economic Partnership Agreement:
-Mazda (Initiated sales from October 2005)
-Isuzu Automobiles (Initiated sales from November 2005)
-Nissan Motors (Expanded local production)
-Bridgestone (Built third new factory)
(2) Cultivating a business environment
Based on the EPA, a Committee to Cultivate a Business
Environment has been established with the participation of
representatives from the governments of Japan and Mexico as
well as representatives from the private sector who discuss
various issues faced by Japanese corporations operating in
Mexico.
-The first session of the committee was held in
Mexico City on 21 April
20