Japan-EU Economic Partnership Agreement (EPA)

The EU and Japan's Economic Partnership Agreement entered into force on 1 February 2019. When it comes to energy technology trade, the treaty has customs duties elimination for the following prioritized products: iron, metals, steel, aluminum, battery packs and cells, heat pumps, electric cars, and ICE cars.

In 2023, Japan and EU agreed to step up in-depth cooperation for the semiconductor supply chains, research and development for semiconductors, advanced skills for the semiconductor industry, use cases of semiconductor applications, and subsidy transparency. 

Rule of origins apply to qualify for the preferential tariff treatment, conditions to confer originating status considers if the good has undergone sufficient production in the territory of the signatories e.g. materials undergoing change in tariff classification or satisfying a minimum local value content of 35-55%.

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