Phl, Japan ink pact on ind’l cooperation

The Philippines and Japan have entered into a pact to further boost cooperation on the industrial front.

Likewise, the country is working on ways to enhance agricultural exports to Japan by calling to scrap tariffs and quotas under the Philippine Japan Economic Partnership Agreement (PJEPA).

Trade Secretary Ramon Lopez said a Philippine- Japan Industrial Cooperation Action Plan (ICAP) has been signed during President Duterte’s state visit in Tokyo.

“With the support of our counterpart, Japan’s Ministry of Economy, Trade and Industry, the Philippine-Japan ICAP will work on helping manufacturing, automotive, MSMEs (micro, small, and medium enterprises), industries and services and human resource development,” Lopez said.

“The Philippines commits to further improve the business environment, as Japan also is expected to give full support to ASEAN economic integration and the Philippines ASEAN chairmanship in 2017,” he added.

Lopez said Japanese firms are already major players in a number of industries in the country, citing automotive giants Toyota and Mitsubishi and ship builder Tsuneishi as examples.

Meanwhile, Lopez said the Philippine government during the State Visit has also requested to further reduce or eliminate tariff in the country’s banana exports to Japan under the PJEPA.

“We will try to work on possible reduction or elimination of tariff on bananas,” he said.

Lopez said the Philippines currently supply about 86 percent of Japan’s banana imports.

He said Philippine banana exports to Japan are subject to seasonal tariff of two percent from April to September and 18 percent from October to March.

PJEPA was signed in 2006 and came into effect in 2009. The Department of Trade and Industry said economic relations between Japan and the Philippines strengthened with the signing of the agreement.

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