The European Union plans to open doors for free-trade deal with Japan, in an attempt to revive Europe’s stagnant economy.
For European car makers an agreement with Japan will only mean welcoming more competition at home. But since the European Union is in a race with the US to sign as many free-trade deals as it can and by doing so lock in access to fast-growing economies, especially in Asia. The 27 commissioners of the European Union will support the decision to go on with the sensitive Japan talks.
“The Commission will agree the EU should try for a trade deal with Japan,” said one of the diplomats, briefed ahead of Wednesday’s meeting dedicated to the issue of Japan talks. “This is crucial to Europe’s future as a trading bloc,” the diplomat said.
A first round of talks is expected to begin early next year and in October will take place the leaders’ summit. The European Union believes that if trade accords will be signed with the 80 countries where negotiations have already begun, this will bring 2 million new jobs and a contribution of 275 billion euro ($340 billion) to Europe’s economy.