On 17th July 2018, Japan and the European Union formally agreed on an EPA which is scheduled to come into effect in early 2019. It will ease the movement of goods between both regions. Once implemented, approx. 99 percent of EU custom duties and approx. 94 percent of Japanese customs duties will be eliminated. This will, in particular, benefit Japanese automobile/car parts industry and the EU’s farming sector. According to the Japanese Ministry of Foreign Affairs, it is expected that the EPA will increase Japan’s real GDP by approximately one percent.