June 8, 2020
U.S. – Japan Trade Agreement
January 8, 2020
The limited U.S.-Japan Trade Agreement came into effect on January 1, 2020, immediately eliminating the 4.3% tariff on U.S. fresh chipping potatoes as well as lowering Japan’s tariffs on U.S. frozen fries to 4.25% (from 8.5%) and on U.S. dehydrated potato flakes to 13.3% (from 20%). Further reductions will follow on April 1, 2020, then annually each April until tariffs on U.S. frozen and dehydrated flaked potatoes are entirely removed in April 2021 and 2028, respectively.
Importantly, the tariff reductions secured align with those Japan provides to Australia, Canada, New Zealand, and other nations in the TPP-11 agreement, and with the EU in the EU-Japan FTA. These tariff concessions “level the playing field” with these competitors.
Japan is the U.S. potato industry’s largest export market, with exports totaling over $350 million in the past year. It is estimated that with the elimination of the current tariffs that U.S. exports to Japan could expand by an additional $150 million in the near future.
For information on market access issues, please contact Amy Burdett, Amy@PotatoesUSA.com.Tariff Schedule for U.S. Potatoes
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