The United States can significantly expand its market share in Japan through a free trade agreement (FTA). Japan is currently the number one FTA priority for U.S. pork producers. Unfettered market access to Japan would exponentially expand U.S. pork exports and create American jobs. Without a bilateral agreement, U.S. exports will be at a serious competitive disadvantage. The U.S. pork industry’s biggest competitor, the European Union, recently concluded negotiations on an FTA with Japan. In addition, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (TPP minus the U.S.) was signed this year. Inevitably, the United States will lose pork market share in Japan if it fails to negotiate a bilateral FTA with Japan.
NPPC urges the United States to expeditiously initiate bilateral free trade agreement (FTA) negotiations with Japan. U.S. pork exports to Japan would be significantly higher in the absence of its complex system of pork import protections commonly referred to as the “gate price system.”
- Japan has a population of nearly 127 million people.
- Japan is the third largest economy in the world.
- 2017 agricultural exports to Japan totaled $11.8 billion.
- The United States exported $1.6 billion of pork, nearly 394,000 metric tons to Japan in 2017.
- Japan is the largest value market and second largest volume market for U.S. pork exports.
- Pork exports to Japan support 13,100 U.S. jobs.