The Economic Partnership Agreement (EPA) between the EU and Japan enters into force on 1 February 2019. Businesses and consumers across Europe and in Japan can now take advantage of the largest open trade zone in the world.
President of the European Commission Jean-Claude Juncker said: “Europe and Japan are sending a message to the world about the future of open and fair trade. We are opening a new marketplace home to 635 million people and almost a third of the world’s Gross Domestic Product, bringing the people of Europe and Japan closer together than ever before. The new agreement will give consumers greater choice and cheaper prices; it will protect great European products in Japan and vice-versa, such as the Austrian Tiroler Speck or Kobe Beef; it will give small businesses on both sides the chance to branch out to a completely new market; it will save European companies 1 billion euro in duties every year and turbo-boost the trade we already do together. More than anything, our agreement shows that trade is about more than quotas and tariffs, or millions and billions. It is about values, principles and fairness. It makes sure that our principles in areas such as labour, safety, climate and consumer protection are the global gold-standard. This only happens when you work with the most natural of partners, separated by thousands of kilometres but united in friendship and values.”
Cecilia Malmström, Commissioner for Trade, said: “This agreement has it all: it scraps tariffs and contributes to the global rulebook, whilst at the same time demonstrating to the world that we both remain convinced by the benefits of open trade. As of 1 February, European companies will benefit from removed tariffs and simplified customs procedures. Our manufacturers, our service providers, our tech start-ups and our farmers all have something to celebrate. I am also proud that we have locked in our Paris climate deal commitments into a trade agreement for the first time, as well as setting high standards for workers’ rights and consumer protection. The stage is set for a significant boost in trade between us, which in turn creates jobs and lowers prices. It is now up to businesses and individuals to make the very most out of these new trade opportunities. We also count on all EU Member States to spread this message far and wide.”
The Economic Partnership Agreement removes the vast majority of the €1 billion of duties paid annually by EU companies exporting to Japan. Once the agreement is fully implemented, Japan will have scrapped customs duties on 97% of goods imported from the EU. The agreement also removes a number of long-standing non-tariff barriers, for example by endorsing international standards on cars. It will also break down barriers for key EU food and drink exporters to 127 million Japanese consumers and will increase export opportunities in a range of other sectors. Annual trade between the EU and Japan could increase by nearly €36 billion once the agreement is implemented in full.
The EU and Japan have agreed to set ambitious standards on sustainable development, and the text includes for the first time a specific commitment to the Paris climate agreement.
The key parts of the Economic Partnership Agreement
With regards to agricultural exports from the EU, the agreement will, in particular:
- scrap Japanese duties on many cheeses such as Gouda and Cheddar (which currently are at 29.8%) as well as on wine exports (currently at 15% on average);
- allow the EU to increase its beef exports to Japan substantially, while on pork there will be duty-free trade in processed meat and almost duty-free trade for fresh meat;
- ensure the protection in Japan of more than 200 high-quality European agricultural products, so called Geographical Indications (GIs), and the protection of a selection of Japanese GIs in the EU.
The agreement also secures the opening of services markets, in particular financial services, e-commerce, telecommunications and transport. It furthermore:
- facilitates to EU companies access to the procurement markets of 54 large Japanese cities, and removes obstacles to procurement in the economically important railway sector at national level;
- addresses specific sensitivities in the EU, for instance in the automotive sector, with transition periods of up to 7 years before customs duties are eliminated.
The agreement also includes a comprehensive chapter on trade and sustainable development; includes specific elements to simplify for small and medium-sized businesses; sets very high standards of labour, safety, environmental and consumer protection; strengthens EU and Japan’s commitments on sustainable development and climate change and fully safeguards public services.
Concerning data protection, the EU and Japan adopted decisions on 23 January of this year to allow personal data to flow freely and safely between the two partners. They agreed to recognise each other’s data protection systems as ‘equivalent’, which will create the world’s largest area of safe data flows.
As of 1 February, a large part of another agreement – the Strategic Partnership Agreement between the European Union and Japan – also applies on a provisional basis. This Agreement, which was signed in July of last year together with the Economic Partnership Agreement, is the first-ever bilateral framework agreement between the EU and Japan and strengthens the overall partnership by providing an overarching framework for enhanced political and sectoral cooperation and joint actions on issues of common interest, including on regional and global challenges. The Agreement will enter into force once it has been ratified by all EU Member States.
The Economic Partnership Agreement is now in force. To take stock of the initial months of implementation, the first EU-Japan committee meeting will be convened in April 2019 in Brussels.
On the parallel issue of investment protection, negotiations with Japan continue on standards and investment protection dispute resolution, with a meeting of Chief Negotiators scheduled for March. The firm commitment on both sides is to reach convergence in the investment protection negotiations as soon as possible, in light of their shared commitment to a stable and secure investment environment in Europe and Japan.
Inclusion for all: Action plan on Integration and Inclusion 2021-2027
Commission is presenting the action plan on Integration and Inclusion for the period 2021-2027. The action plan promotes inclusion for all, recognising the important contribution of migrants to the EU and addressing the barriers that can hinder participation and inclusion of people with a migrant background, from newcomers to citizens, in European society. It is built on the principle that inclusive integration requires efforts from both the person and the host community and sets out new actions that build on the achievements of the previous action plan from 2016.
Vice-President for Promoting our European Way of Life, Margaritis Schinas, said: “Inclusion is the embodiment of the European way of life. Integration and inclusion policies are vital for newcomers, for local communities, and contribute to cohesive societies and strong economies. Everyone who has the right to be in Europe should have access to the tools they need to realise their full potential and assume the rights and obligations governing our Union.”
Commissioner for Home Affairs, Ylva Johansson, said: “Migrants are ‘us’, not ‘them’. Everyone has a role to play in making sure our societies are cohesive and prosperous. Integration and inclusion mean listening to migrant communities and ensuring that everyone can enjoy rights, regardless of background. Inclusive integration is giving the same tools and support needed to contribute to society, so that migrants can reach their full potential and our societies benefit from their strength and skills.”
A European approach to integration and inclusion
As emphasised in the new Pact on Migration and Asylum, successful integration and inclusion is an essential part of a well-managed and effective migration and asylum policy. It is also essential for social cohesion and for a dynamic economy that works for all.
The action plan proposes targeted and tailored support that takes into account individual characteristics that may present specific challenges to people with a migrant background, such as gender or religious background. Successful integration and inclusion depends both on early action and on long-term commitment.
Although national governments are primarily responsible for creating and implementing social policies, the EU plays a key role in supporting Member States through funding, developing guidance and fostering relevant partnerships. The main actions are:
- Inclusive education and training from early childhood to higher education, focusing on facilitating the recognition of qualifications and continued language learning, with support from EU funds.
- Improving employment opportunities and skills recognition to fully value the contribution of migrant communities, and women in particular, and ensure that they are supported to reach their full potential. The Commission will work with social and economic partners and employers to promote labour market integration, support entrepreneurship and make it easier for employers to recognise and assess skills.
- Promoting access to health services, including mental healthcare, for people with a migrant background. In addition to dedicated EU funding, the action plan seeks to ensure people are informed about their rights and recognises the specific challenges faced by women, in particular during and after pregnancy. The action plan also supports Member States to exchange best practice.
- Access to adequate and affordable housing funded through the European Regional Development Fund, European Social Fund Plus, Asylum and Migration Fund and Invest EU, as well as funding platforms to exchange of experience at local and regional level on fighting discrimination on the housing market and segregation.
The action plan will be implemented by mobilising EU funding and by creating partnerships with all those involved: migrants, host communities, social and economic partners, civil society, local and regional authorities as well as the private sector. It will empower host communities and support their role in the design and implementation of integration measures and programmes, while also emphasising the responsibility of the people concerned in participating in the host society. It will seek to modernise access to services by using digital tools. Finally, it will improve the evidence base to help further development of policies and to ensure good monitoring of results.
Today, around 34 million EU inhabitants were born outside the EU (around 8% of the EU population), and 10% of young people (15–34 years) born in the EU have at least one foreign-born parent. Migrants and EU citizens with a migrant background play a key role in European society and in different sectors of our economy, including as essential workers. However, they continue to face challenges in terms of access to education, employment, healthcare and social inclusion (see statistics).
The action plan on Integration and Inclusion complements existing and upcoming EU strategies to foster equality and social cohesion to ensure everyone is fully included and able to participate in European societies. It will be implemented with the forthcoming action plan to implement the European Pillar of Social Rights and the EU’s anti-racism action plan. It will also be closely linked with the EU Roma strategic framework for equality, inclusion and participation; the Gender Equality Strategy 2020-2025; the LGBTIQ equality strategy 2020-2025, the forthcoming strategy to combat antisemitism and the EU citizenship report.
G20 leaders united to address major global pandemic and economic challenges
President of the European Commission, Ursula von der Leyen, and President of the European Council, Charles Michel, represented the EU at the 15th G20 Leaders’ summit hosted by Saudi Arabia on 21-22 November 2020.
G20 leaders met in virtual format to address the way forward how to tackle together the ongoing COVID-19 pandemic, finance the development and deployment of a vaccine as well as continue the support to citizens and businesses struggling to cope with the aftermath of the pandemic.
President von der Leyen said: “I am glad that G20 leaders agreed to make Covid-19 vaccines available and affordable for all. But more funding is needed. This is why I called G20 Leaders to commit to fund 4.5 billion US dollars for the ACT-Accelerator by the end of the year. G20 leaders also agreed to maintain economic measures until the recovery is firmly on the way. As a lesson from the crisis we need to step up global preparedness. We will discuss this again in May 2021 at the joint G20 Global Health Summit in Italy. To build back a more sustainable, inclusive and resilient world we also need to step up actions to fight climate change. The EU leads the way to climate neutrality by 2050 and many G20 partners now have taken the same commitments.”
G20 leaders also discussed how to build back better and pave the way for an inclusive, sustainable and resilient future. President Michel said: “COVID-19 has come as a surprise to many of us. But it is not the first global pandemic. And sadly, it will not be the last. Looking ahead, the global community has to be better prepared for pandemics. An international Treaty on Pandemics could help us respond more quickly and in a more coordinated manner when they occur. It should be negotiated with all UN organizations and agencies, in particular the WHO. The WHO must remain the cornerstone of global coordination against health emergencies.”
They also discussed a number of other crucial global issues such as the economic recovery, the reform of the WTO, the taxation of the digital economy and how to support low-income countries.
Following the two days Summit, Leaders adopted the G20 Riyadh Declaration to address common global challenges.
On COVID-19, the EU championed a multilateral solution to the coronavirus pandemic. EU leaders called on the G20 to uphold and deepen its commitment to fight the COVID-19 crisis, notably by ensuring the affordable and equitable access for all people of diagnostics, therapeutics and vaccines. The Access to COVID-19 Tools Accelerator (ACT-A) initiative and its COVAX facility are the main tools to do so.
On climate change, the Summit agreed on a unified paragraph in the G20 Riyadh Declaration, after three consecutive G20 Summits where such consensus could not be reached. EU leaders urged all G20 members to work towards the full and effective implementation of the Paris Agreement. The EU also promoted a recovery based on green, inclusive, sustainable, resilient and digital growth in line with the 2030 Agenda and its Sustainable Development Goals.
On debt relief for the most fragile countries, Leaders reconfirmed their support through the G20 Debt Service Suspension Initiative that will provide debt relief and free resources to fight the pandemic. They committed to implementing the Debt Service Suspension Initiative (DSSI) including its extension through June 2021. EU leaders stressed that additional steps might be needed, and the Summit endorsed a common multilateral framework for further debt treatments.
On trade and taxation of the digital economy, Leaders recalled their support to the WTO reform process in the lead up to the 12th WTO Ministerial Conference and recognized the contribution that the Riyadh Initiative on the Future of the WTO has made. They also agreed to strive to find a consensus-based solution for a globally fair, sustainable, and modern international tax system by mid-2021, built on the ongoing work of the OECD.
Over €280 million in EU funding for environment, nature and climate action projects
The European Commission has approved an investment package of more than €280 million from the EU budget for over 120 new LIFE programme projects. This EU funding will trigger total investments of nearly €590 million to help meet these projects’ ambitious goals for environment, nature, and climate action. This amount represents a 37% rise compared to last year.
The projects will help to achieve the European Green Deal objectives by supporting the EU Biodiversity Strategy and the Circular Economy Action Plan, contributing to the green recovery from the Coronavirus pandemic, and helping Europe become a climate-neutral continent by 2050, among others. Many of the new projects are cross-country projects involving several Member States.
Frans Timmermans, Executive Vice-President for the European Green Deal said: “The European Green Deal is our roadmap to a green, inclusive, and resilient Europe. LIFE projects epitomise these values as they bring together Member States for the protection of our environment, the restoration of nature, and support of biodiversity. I’m looking forward to the results of these new projects.”
Virginijus Sinkevičius, Commissioner for the Environment, Oceans and Fisheries added: “LIFE projects can really make a tangible difference on the ground. They bring solutions to some of the most serious challenges of our time such as climate change, loss of nature and unsustainable use of resources. If replicated across the EU at speed and scale, they can help the EU achieve its ambitious EU Green Deal goals and contribute to building a greener and more resilient Europe for all of us, but also for generations to come.”
Approximately €220 million are allocated to a wide range of projects on environment and resource efficiency, nature and biodiversity, and environmental governance and information and over €60 million to support climate change mitigation, adaptation and governance and information projects.
This includes major investments aimed at protecting and enhancing Europe’s biodiversity. Projects such as restoring peatlands – unique ecosystems home to many highly adapted, rare and threatened species – will contribute to the implementation of the EU Biodiversity Strategy. Peatlands are also an important carbon sink, and can boost Europe’s drive toward climate neutrality by 2050.
The LIFE projects also support reducing energy consumption in new buildings, in line with the recently launched EU Renovation Wave Strategy. Funds will go into developing universal and affordable low-carbon solution that could reduce energy consumption in all new buildings by up to 40%.
Funds will also go towards projects that prevent food waste and lead to improved waste management in line with the new EU’s Circular Economy Action Plan.
Financial resources are also being earmarked for numerous projects that will help energy-intensive industries to reduce greenhouse gas emissions in line with the Commission’s ambitious Climate Target Plan and our climate neutrality objective.
The numbers in brief
- 34 LIFE nature & biodiversity projects will support the implementation of the EU Birds and Habitats Directives as well as the EU Biodiversity Strategy to 2030. They have a total budget of €221 million, of which the EU will pay €133 million.
- 47 LIFE environment and resource efficiency projects will mobilise €208 million, of which the EU will provide €76 million. These projects cover actions in five areas: air, environment and health, resource efficiency and circular economy, waste, and water.
- 8 LIFE environmental governance and information projects of nearly €17 million with just over €9 million EU contribution will raise awareness of environmental issues among the wider public and help public authorities to promote, monitor and enforce compliance with EU environmental legislation.
- 16 LIFE climate change mitigation projects will have a total budget of approximately €86 million, of which just under €32 million from the EU.
- 15 LIFE climate change adaptation projects will mobilise €50 million, €26 million of which will come from EU funds.
- 3 LIFE climate governance and information projects will improve governance and raise awareness about climate change with a total budget of €7 million of which the EU is contributing just under €4 million.
Project descriptions and more details can be found in the Annex to this press release.
The projects were selected among more than 1250 applications submitted under the LIFE 2019 call for proposals, published in April 2019. The LIFE programme is the EU’s funding instrument for the environment and climate action. It has been running since 1992 and has co-financed more than 5 500 projects across the EU and in third countries. At any given moment, some 1 100 projects are in progress. The budget for 2014–2020 is set at €3.4 billion in current prices. For the next long-term EU budget 2021-2027, the Commission is proposing to increase LIFE funding by almost 60%.
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