Thai exporters welcome Jtepa
The Japan-Thailand Economic Partnership Agreement (Jtepa) – which came into effect on November 1 – appears to have met with approval from Thai exporters. Reports indicate that double the number of Thai exporters requested Rules of Origin application forms in connection with the agreement in October compared with September as tariffs are set to fall.
Among these were shoe, leather goods and sports equipment manufacturers. Exports from Thailand to Japan are expected to rise dramatically now that the pact is in place, with footwear exports projected to grow by 10-15% during the first year of the agreement, despite the fact that China currently supplies 80% of Japan’s shoe imports.
Zero import tariffs have been introduced for 40% of products listed in the pact and tariffs for the remaining 60% will gradually be reduced to zero by April 2017. These include shoes, leather goods, plastics and rubber, among others.
