WORLD TRADE
ORGANIZATIONWT/REG140/3
22 October 2003
(03-5572)
Committee on Regional Trade Agreements
AGREEMENT BETWEEN JAPAN AND SINGAPORE
FOR A NEW-AGE ECONOMIC PARTNERSHIP
GOODS ASPECTS
Communication from the Parties
I. BACKGROUND INFORMATION ON THE AGREEMENT
1. Membership And Dates Of Signature, Ratification And Entry Into Force.
The Agreement between Japan and the Republic of Singapore for a New-Age Economic
Partnership, commonly known as the JSEPA, en tered into force on 30 November 2002. The two
Governments announced their intention to negotiate an agreement in October 2000. After completing
four rounds of formal negotiations and 12 rounds of informal ones, the Japanese Prime Minister
Junichiro Koizumi and the Singapore Prime Minister Goh Chok Tong signed the Agreement in
Singapore on 13 January 2002.
2. Type Of Agreement
The JSEPA is a comprehensive Free Trade Agreement in conformity with Article XXIV of
GATT 1994.
3. Scope
The JSEPA covers all trade in goods between the Parties that meet the Rules of Origin criteria
and as laid out in Article 14 and Annex I of the Agreement.
4. Trade Data
Customs duties on goods representing 98.5% of total bilateral trade in 2000 were either
immediately eliminated upon entry into force or  will   be eliminated in accordance with Annex I to the
Agreement.  This accounts for 93.8% of Singapore's exports to Japan and 100% of Japan's exports to
Singapore. For the year ending December 2000, Japan's imports from Singapore totaled JPY 663,
685million and Singapore's imports from Japan totaled S$39,955,023,000.
More detailed bilateral trade statistics are attached to the back of this document.
II. TRADE PROVISIONS
1. Import Restrictions
There are no import restrictions associated with the JSEPA.WT/REG140/3
Page 2
1.1 Duties And Charges
Article 14 stipulates that each Party shall eliminate its customs duties on goods of the other
Party in accordance with its Schedule in Annex I.
As provided in paragraph 4 of Article 14, each Party shall eliminate other duties or charges of
any kind imposed on or in connection with the importation of goods of the other Party, if any.
1.2 Quantitative RestrictionsArticle 17 stipulates that each party shall not institute or maintain any non-tariff measures on
the importation of any good of the other Party which are inconsistent with its obligations under theWTO Agreement.
1.3 Common External TariffThis is not applicable to the JSEPA.
2. Export Restrictions
There are no export restrictions associated with the JSEPA.
2.1 Duties And ChargesAs provided in Article 16, neither Party shall adopt or maintain any duties on goods exported
from its territory into the territory of the other Party.
2.2 Quantitative RestrictionsArticle 17 stipulates that each party shall not institute or maintain any non-tariff measures on
the sale for export of any good destined for the territory of the other Party which are inconsistent with
its obligations under the WTO Agreement.
3. Rules Of Origin
The Rules of Origin are defined in Chapter 3 and fully expanded upon in Annex II. According
to the provisions in this Chapter, products are di vided into two categories; one is wholly obtained
products, the other is manufactured products. Wholly obtained products mainly refer to commodity
products as provided in Article 23. Such products are automatically accepted as originating in Japan
or Singapore respectively. Manufactured products mean that the products are manufactured in Japan
or Singapore from materials, components or parts. These products will be considered originating inJapan or Singapore if they meet the product-specific rules in the Agreement. Essentially the Rules of
Origin require that the products be sufficiently transformed in Japan or Singapore. Such
transformation is deemed to have occurred if there is a change in tariff classification (CTC). Basically
the CTC rule in the JSEPA requires the final prod uct to have a different 4-digit heading from the
materials used in its production. For 264 products of interest to Singapore, th ey will also qualify for
preferential tariff treatment if the qualifying value content is at least 60% of the F.O.B. price.WT/REG140/3
Page 3
4. Standards
4.1 Technical Barriers To Trade
Chapter 6 of the JSEPA applies to the mutual recognition of the results of conformity
assessment procedures conducted by the conformity assessment bodies, as set out in the laws,regulations and administrative provisions specified in two Sectoral Annexes to the Agreement, in the
area of telecommunications terminal equipment and radio equipment, and electrical products.
4.2 Sanitary And Phytosanitary MeasuresThere are no sanitary and phytosanitary measures provided in the JSEPA.
5. Safeguards
Article 18 of the JSEPA stipulates that each Party may, only during the transition period and
to the minimum extent necessary to prevent or remedy  the injury and to facilitate adjustment, suspend
the further reduction of any rate of customs duty on the good provided for in Chapter 2 or increase the
rate of customs duty on the good to a level not to exceed the lesser of; (1) the most-favoured-nationapplied rate of customs duty in effect at the time when the measure set out in this paragraph is taken,
and (2) the most-favoured-nation applied rate of  customs duty in effect on the day immediately
preceding the date of entry into force of this Ag reement, if an originating good of the other Party,
which is accorded the preferential tariff treatment provided for in Article 14, as a result of the
reduction or elimination of a customs duty, is being imported into the territory of the former Party insuch increased quantities, in absolute terms, a nd under such conditions that the imports of that
originating good alone constitute a substantial cause of serious injury, or threat thereof, to a domestic
industry of the former Party.
6. Anti-Dumping And Countervailing Measures
According to Article 14, nothing in that Article which sets out the elimination of customs
duties shall prevent a Party from imposing, at any time, on the importation of any goods of the other
Party, any anti-dumping or countervailing duty applied consistently with the provisions of Article VI
of GATT 1994, the Agreement on Implementation of Ar ticle VI of the General Agreement on Tariffs
and Trade 1994 and the Agreement on Subsidies and Countervailing Measures in Annex 1A to the
WTO Agreement.
7. Subsidies And State-Aid
This is not applicable to the JSEPA.
8. Sector-Specific Provisions
There are no sector-specific provisions in the JSEPA.
III. GENERAL PROVISIONS OF THE AGREEMENT
1. Exceptions And Reservations
Article 4 and 19 sets out the exceptions based on the relevant provisions of WTO Agreement
including GATT Articles XX and XXI.WT/REG140/3
Page 4
2. Accession
This is not applicable to the JSEPA.
3. Dispute Settlement Procedures
Chapter 21 contains the provisions on Dispute Avoidance and Settlement.  Article 140 allows
a Party to request consultations for the purposes of avoiding disputes. The other Party shall afford
adequate opportunity for consultations and shall reply promptly to the request and enter into
consultations in good faith. Article 141 stipulates that the Parties may agree at any time to good
offices, conciliation or mediation.
Article 142 allows a Party to request consultations for the purpose of settling disputes, if it
considers that any benefit accruing to it is being nullified or impaired, and Parties shall make everyeffort to reach a mutually satisfactory resolution through consultations. There are specific timelines
stipulated for the requested Party to enter into consultations.
Article 143 provides for the establishment of an ar bitral tribunal at the request of either Party
if Parties fail to resolve the dispute through consu ltations.  Each Party shall appoint an arbitrator, and
both Parties shall agree on a third arbitrator.  Article 143 also makes provisions for the appointment of
the third arbitrator in the event that Parties are fail to agree.
The dispute settlement procedures also include detailed provisions as to the functions and
proceedings of arbitral tribunals, as well as the implementation of the tribunal’s rulings or findings.There are timeframes specified for each stage of the entire proceedings, so as to give a degree of
automaticity to the process.
Nothing in the chapter on dispute settlement and avoidance shall prejudice the rights of the
Parties to have recourse to dispute settlement procedures available under any other internationalagreement to which they are parties.
4. Relation With Other Trade Agreements
Article 6 provides that in the event of any inconsistency between this Agreement and any
other agreement to which both Parties are parties, the Parties shall immediately consult with each
other with a view to finding a mutually satisfac tory solution, taking into consideration general
principles of international law.
5. Institutional Framework
No intergovernmental or supranational institutions were created to operate the JSEPA.
The Ministry of Foreign Affairs of Japan and the Ministry of Trade and Industry of Singapore
are the two primary governmental agencies respons ible for the overall implementation and monitoring
of the JSEPA.
IV. OTHER
1. Transparency
According to Article 2 of the JSEPA, each Pa rty shall promptly make public, or otherwise
make publicly available, its laws, regulations, administrative procedures and administrative rulingsWT/REG140/3
Page 5
and judicial decisions of general application as well as international agreements which pertain to or
affect the operation of this Agreement.
2. Confidential Information
Article 3 stipulates that nothing in this Agreement shall be construed to require a Party to
provide confidential information, the disclosure of which would impede law enforcement, or
otherwise be contrary to the public interest, or which would prejudice legitimate commercial interests
of particular enterprises, public or private. In addition, each Party shall, in accordance with its laws
and regulations, maintain the confidentiality of information provided in confidence by the other Party
pursuant to this Agreement.
3. General
The JSEPA had gone beyond commitments of both countries under the WTO on liberalization
of trade in goods and services, and investment. The Agreement also includes trade facilitation and
bilateral cooperation in key growth areas such as information and communication technology, science
and technology, financial services, tourism and human resources development, amongst others.WT/REG140/3
Page 6
JAPAN/SINGAPORE BILATERAL TRADE DATA
Singapore’s Imports from Japan, Year 2000 – 2002
(Value in S$’000)
Year Total Imports
2000 39,955,023
2001 28,794,106
2002 26,079,846
Source: International Enterprise Singapore
Japan’s Imports from Singapore, Year 2000 – 2002
(Value in JPY 1million)
Year Total Imports
2000 663,685
2001 612,170
2002 563,928
1) Source: Ministry of Finance, Japan
2) except for re-importation, re-exportation and commodities
intended for use in aircrafts’ stores
Singapore’s Imports from Japan, Year 2000 – 2002
(Value in S$’000)
HS Code Product Description 2000 2001 2002 % change
2002/2001
Rank
8542 Electronic Integrated Circuits & Microassemblies 7,500,096 5,229,606 4,769,773 -8.8
8473 Parts & Accessories For Use With Machines Of
Headings 84.69 To 84.72_Excl Covers & Carrying
Cases1,934,394 1,550,926 1,392,269 -10.2
8541 Diodes Transistors & Similar Semiconductor
Devices Photosensitive Semiconductor Devices Etc1,635,296 1,235,397 1,319,746 6.8
8479 Machines & Mechanical Appliances Having
Individual Functions Not Elsewhere Specified2,048,879 1,085,219 991,151 -8.7
8703 Motor Cars & Other Motor Vehicles Designed For
Transport of Persons Incl Station Wagons & RacingCars947,318 904,505 934,572 3.3
8471 Automatic Data Processing Machines & Units
Thereof Magnetic Optical Readers & Those ForTranscribing Data1,837,760 1,385,744 678,659 -51.0
8532 Electrical Capacitors Fixed Variable Or Adjustable
(Pre-Set)1,139,824 698,006 572,967 -17.9
8536 Electrical Apparatus For Switching Or Protecting
Electrical Circuits For Voltage Not Over 1000 Volts951,529 629,785 560,589 -11.0
8708 Parts & Accessories Of Motor Vehicles Of Headings
87.01 To 87.05371,786 370,657 421,104 13.6WT/REG140/3
Page 7
8525 Transmission Apparatus For Radio-Telephony
Telegraphy Broadcasting Or Television &Television Cameras392,496 404,143 411,556 1.8
7108 Gold Incl Gold Plated With Platinum Unwrought Or
In Semi-Manufactured Forms Or In Powder Form329,253 283,847 391,455 37.9
3707 Chemical Preparations For Photographic Uses &
Unmixed Products For Photographic Uses For RetailSale615,033 558,403 381,418 -31.7
8482 Ball Or Roller Bearings 518,507 369,431 349,052 -5.5
8704 Motor Vehicles For Transport Of Goods 617,693 335,730 317,320 -5.5
8523 Prepared Unrecorded Media For Sound Recording
Or Similar recording Of Other Phenomena Excl
Products Of Chapter 37322,029 317,051 301,260 -5.0
9892 Special Transactions Not Classified According To
Kind275,804 285,450 294,215 3.1
8529 Parts For Use Solely With Apparatus Of Headings
85.25 To 85.28501,887 367,780 276,430 -24.8
8517 Electrical Apparatus For Line Telephony Or
Telegraphy Incl Such Apparatus For Carrier CurrentLine Systems395,630 342,692 248,863 -27.4
2402 Cigars Cheroots Cigarillos & Cigarettes Of Tobacco
Or Of tobacco Substitutes54,193 222,225 236,889 0.0
8522 Parts & Accessories Of Apparatus For Use Solely
With Apparatus Of Headings 85.19 To 85.21404,940 251,691 215,194 -14.5
Sub-Total for top 20 products 22,794,348 16,828,288 15,064,482 -10.5
Singapore's Imports from Japan 39,955,023 28,794,106 26,079,846 -9.4
Top 20 as % of Total Imports from Japan 57.05% 58.44% 57.76%s
Source: International Enterprise Singapore
Japan’s Imports from Singapore, Year 2000 – 2002
(Value in JPY1million)
HS Code Product Description 2000 2001 2002 % change
2002/2001
8471 Automatic data processing machines and units
thereof 168,811  165,435  141,330 -14.57%
8542 Electronic integrated circuits and microassemblies  132,646  105,408    96,591 -8.36%
8473 Parts and accessories    56,867    56,985    46,336 -18.69%
2710 Petroleum oils and oils obtained from bituminous
minerals   38,104    26,241    26,402 0.61%
2707 Oils and other products of the distillation of high
temperature coaltar   15,644      9,911    21,236 114.26%
9018 Instruments and appliances used in medical, sugical,
dental or veterinary sciences   12,578    13,477    13,540 0.47%
8524 Records, tapes and other recorded media    15,289    13,930    12,988 -6.76%
3811 Anti-knock preparations, oxidation inhibitors, gum
inhibitors, viscosity improvers, anti-corrosivepreparations and other prepares additives, formineral oils     7,479      9,149    11,276 23.25%
7112 Waste and scraps of precious metal      6,643      6,807    10,447 53.47%
8541 Diodes, transistors and similar semi-conductor
devices     9,403      6,886      7,093 3.01%WT/REG140/3
Page 8
1901 Malt extract      6,549      8,094      6,949 -14.16%
2932 Heterocyclic compounds with oxygen hetero-atom
only     6,773      9,017      6,700 -25.68%
1806 Chocolate and other food preparations      5,840      6,972      6,634 -4.85%
4901 Printed books, brochures, leaflets and similar printed
matter     4,056      6,193      6,316 1.98%
2933 Heterocyclic compounds with nitrogen hetero-atom
only        308         945      6,231 559.69%
9032 Automatic regulating or controlling instruments and
apparatus     1,689      2,941      4,605 56.58%
8517 Electrical apparatus for line telephony or line
telegraphy   11,609    11,927      4,405 -63.07%
7404 Copper waste and scrap      5,199      3,683      3,861 4.84%
2106 Food preparations      3,700      4,137      3,831 -7.40%
3824 Prepared binders for foundry moulds or cores      4,812      6,393      3,773 -40.88%
Sub-Total for top 20 products  513,999  474,531  440,545 -7.16%
Japan's Total Imports from Singapore  663,685  612,170  563,928 -7.88%
Top 20 as % of Total Imports from Singapore 77.45% 77.52% 78.12%
1) Source: Ministry of Finance, Japan
2) Except for reimported, reexported and commodities intended for use in aircrafts’ stores
__________