“ So far , we are at the stage of better defining how we can achieve the goals we set out in the preparatory stage ”.
INTERVIEW
“ So far , we are at the stage of better defining how we can achieve the goals we set out in the preparatory stage ”.
The EU has the right to withdraw from negotiations after one year if Japan does not agree to remove certain non-tariff barriers . What precisely are you looking for from the Japanese ?
We were granted in our mandate the possibility to stop negotiations if , at the end of one year , we were not seeing on the Japanese side the implementation of what was agreed in the preparatory negotiations .
We are looking for the implementation of what Japan committed to as liberalisation in some sectors and the facilitation of work in certain other sectors .
The “ scoping exercise ” is complete , but its contents are secret . Why is this , and how do European firms know if their trade issues are included in the negotiations or not ?
Yes , this is a secret document . It is a joint definition of the level of ambition that we want to reach .
It does not contain solutions to specific problems because that is not the aim of the scoping exercise . Its objective is to identify the areas that will be covered in the negotiations .
It is shared with member states and the relevant committees in the European Parliament .
It was prepared with the help we received from industry and that has been very important in understanding what we should be achieving . But formally , this document is not for industry .
There are a number of discussions with stakeholders and ways to address issues and if any companies want to ask us , we can explain about the negotiations and what we are promoting .
Is the “ scoping exercise ” the last chance for EU firms to lodge trade issues , or are there opportunities to do so further down the road ?
The scoping exercise is not a legally binding document or an agreement ; it is more of a gentleman ’ s agreement between the two sides to negotiate in good faith and on the stated ambitions .
It is almost more of a detailed agenda of the future negotiations , but it does not solve any of the issues .
Nothing is concluded until everything is concluded . Companies can bring up issues throughout the process , as long as they are substantive and important .
What is the size of the prize , in terms of increased trade and jobs , if the EU and Japan can agree to a free trade deal ?
When we did the assessment , we saw that , if we were as ambitions as we could be — and we want to be ambitious — then this deal could bring about an increase in Europe ’ s GDP of between 0.6 % and 0.8 %. This is close to € 1trn in additional trade , and that means a lot of jobs , too .
What British business sectors are pushing hardest for this FTA to go through ?
British industry is very much in favour of this agreement . We know that there is strong support from British businesses and we also see strong support from the British government .
There are lots of sectors in which British industry will be able to benefit ; Britain produces a number of niche cars , for example , while medical devices , chemicals , and financial services are all also very important .
And which ones have reservations ? For Europe as a whole , the area that is most sensitive is cars . The industry is undergoing a difficult period at the moment , but I think that trade can be
Japan ’ s mission to the European Union , in Brussels . more of an answer than a problem . If some of the problems in Europe are structural , then it will take time to rebalance from the economic crisis that we have been experiencing since 2009 . That is an opportunity to export to foreign markets that are already growing again .
If UK firms have queries about the FTA , how can they go about finding out further information ?
We often receive questions directly from companies and we try to answer them .
Sometimes they come to us through their national administrations and , for small and medium-size enterprises , their office of foreign trade is usually their first interface .
We are limited in our resources and these are often resource-intensive problems , but we try our best and we often learn something , too . It is never time wasted .
What is the long-term prognosis for Europe – Japan trade relations ?
If I didn ’ t believe in a positive future , I would not be doing this job . If we can conclude the discussions in two years and then ratify the agreement , I think we will start to see the benefits fairly rapidly in terms of the liberalisation of markets : maybe in five to 10 years .
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