The UK Japanese Trade Agreement: Key Points and Implications

The recently signed UK Japanese Trade Agreement, also known as the UK-Japan Comprehensive Economic Partnership Agreement (CEPA), is set to bolster economic ties between the two countries, cementing their position as global leaders in trade and commerce.

The trade deal, which came into effect on January 1, 2021, is the first major post-Brexit trade agreement signed by the UK, and it is seen as a crucial step towards strengthening the country`s trading relationships with key economic partners outside the EU.

Key Points of the UK-Japan Trade Agreement

The UK-Japan Trade Agreement aims to improve trade ties between the two countries by eliminating or reducing tariffs on a wide range of products and services, including:

– Agricultural products such as pork, beef, and cheese

– Automobiles and parts

– Electronics and digital products

– Medical devices and pharmaceuticals

Under the agreement, over 99% of tariffs on exports from the UK to Japan will be eliminated, providing a significant boost to British companies exporting to the East Asian market.

In addition to tariff reductions, the UK-Japan Trade Agreement also includes provisions to protect intellectual property rights, provide a framework for digital trade, and establish mechanisms for resolving disputes between investors and states.

Implications of the UK-Japan Trade Agreement

The signing of the UK-Japan Trade Agreement has important implications for both countries and the wider global economy. Here are some of the key implications to consider:

1. Boost to UK-Japan trade relations: The agreement provides a significant boost to trade ties between the two countries, improving access to each other`s markets and providing opportunities for increased trade and investment.

2. UK`s post-Brexit trade strategy: The UK-Japan Trade Agreement marks a crucial step towards the UK`s post-Brexit trade strategy, demonstrating the country`s ability to secure trade agreements outside the EU.

3. Impetus for global trade: The agreement, which is seen as a model for future trade deals, provides an impetus for global trade liberalization and multilateralism at a time when protectionist policies are on the rise.

4. Impact on the EU: The UK-Japan Trade Agreement may have implications for the EU, as Japan is a significant trading partner for many EU countries. The deal could potentially lead to Japan shifting its focus away from the EU to the UK market.


The UK-Japan Trade Agreement is a significant milestone for both countries, highlighting their commitment to free and open trade and investment. By eliminating barriers to trade and investment, the deal provides a much-needed boost for the UK`s post-Brexit trade strategy, while also providing Japan with improved access to European markets. The agreement is a model for future trade deals and provides an impetus for global trade liberalization and multilateralism.