pork producers

Japan-EU Trade Agreement Threatens U.S. Pork Exports to Japan

Dan Exports/Imports, Industry News Release, Pork

The Department of Agriculture’s Foreign Agricultural Service says a Japan-EU trade agreement threatens U.S. pork exports to Japan. Japan and the EU announced finalization of negotiations on the Japan-EU Economic Partnership Agreement in December of last year.

pork exportsFor 2017, Japan imported $1.68 billion of pork from the U.S. and $1.69 billion from the European Union. Japan ranked as the world’s largest importer of pork and pork products in 2017, growing imports from $4.9 billion in 2016 to $5.2 billion in 2017.

USDA says the trade agreement between Japan and the EU, similar to the Trans-Pacific Partnership, marks a change in trade with Japan eliminating tariffs on more than 60 percent of its pork and pork product tariff lines within 12 years. Additionally, the agreement has established a volume-based safeguard for EU pork imports that will be phased out over 11 years. USDA says larger exports of European processed pork products can be expected under the agreement, and USDA says agricultural exporters from the United States will face challenges as the EU gains preferential tariffs under the agreement.

From the National Association of Farm Broadcasting News Service.