ACEA stresses need for 'real and effective' FTA with Japan

By / 11 years ago / News / No Comments

In a statement the organisation said that European automobile manufacturers respect the decision taken last year by the Council of the European Union to give the Commission a mandate to open trade negotiations with Japan.

However, Ivan Hodac, the ACEA’s secretary general, said the organisation still has some reservations about an FTA with Japan, adding: ‘We question its potential to create sufficient opportunities for European exporters to counterbalance the greater access to the EU which Japanese manufacturers will gain as a result of tariff reductions.’

The ACEA said that Japan currently retains unique national requirements that add to the cost of imports, without bringing benefits to the consumer, and it stressed the need for Japan to accelerate the harmonisation of its vehicle standards with UN Regulations.

‘Our industry requests that an EU type-approved vehicle can be sold in Japan without the need for further certification or costly modification. This is not the case today,’ explained Mr Hodac. ‘European cars are amongst the safest and cleanest in the world, so there is no reason why a car that is suitable for EU consumers should not be suitable for Japanese consumers.’

The ACEA also calls for Japan to revise the fiscal and other privileges enjoyed by kei-cars (super-mini cars which are a creation of the Japanese regulatory system), so that European sub-compact cars can compete on an equal footing.

‘ACEA urges for the real and effective elimination of non-tariff barriers in the car sector. We welcome the fact that in 12 months the European Commission will assess whether Japan’s progress in this regard is fully satisfactory,’ stated Mr Hodac. If this is not the case, the Commission has indicated that it will “pull the plug” on the negotiations.

ACEA says it has suggested to the Commission to set challenging, but realistic, targets for the first year of the negotiations. It will work constructively with the Commission and other relevant stakeholders to ensure that Japan fulfils its commitments to eliminate non-tariff barriers in the automotive sector.

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Natalie Middleton

Natalie has worked as a fleet journalist for nearly 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news - or gossip.

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