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EU-Japan free trade agreement – the proof of preferential origin

In this issue:

European Commission brings important clarifications on proving origin of goods inside EU-Japan free trade agreement

On 16 December 2019, the European Commission published a new guidance on proving preferential origin of goods traded based on EU-Japan free trade agreement.

At EU level, for issuing proofs of preferential origin inside the trade agreement, the exporter is required to issue a statement of origin. It also needs to be registered in the Registered Exporter (REX) system and hold an Exporter Reference Number.

The new guidance brings important clarifications on whether an exporter can use the document of another person (say a producer) to make out the statement on origin for his goods in case of export chain transactions.

Also, it brings additional explanations on the obligation of REX registration in such cases (producer or trader) and on the commercial documents on which the statement of origin text can be mentioned.

EU-Japan Free Trade Agreement entered into force on 1 February 2019. It allows application of tariff preferences (reduced or zero customs duties) in transactions with originating goods between the two territories.

How does the above influence your company activity?

If you are a trader which exports originating goods to Japan, a specific procedure applies for proving the preferential origin of your products.

We recommend you assess the implications of the new guidance which can smooth up your supply chain and ensure compliance with EU-Japan free trade agreement provisions.


Prepared by:
Mihai Petre – Director, Indirect Tax
For additional information, please contact:
Alex Milcev – Partner, Tax & Law Legal Romania
Ernst & Young SRL

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