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About

The objective of this ex-post evaluation is to carry out an evidence-based analysis of the economic, social, environmental, and human rights impact of the EU-Japan EPA after six years of application. The assessment relies on economic modelling, literature review, statistical data analysis, and stakeholder consultations.

 

Related to the impact areas, the analysis consists of four sustainability pillars: economic, social, environmental and the one related to human rights. Additionally, through case studies, the evaluation provides an in-depth analysis on specific issues.

Sustainability pillars

The methodology of this ex-post evaluation consists of two equally important elements: the in-depth analysis of sustainability effects; and consultations with key stakeholders. The focus of each of the four sustainability pillars is shortly highlighted below, and also our approach on case studies is outlined. For the stakeholder consultations please see here.

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Economic impact

The economic impact analysis provides the starting point for the evaluation because many of the effects observed in other pillars follow from the economic effects. A broad range of economic variables will be analysed using a multi-pronged approach. For example, the analysis will look at tariff and non-tariff obstacles, Foreign Direct Investment (FDI) flows, regulatory aspects, public procurement, customs, and impact on Least Developed Countries (LDCs) and Small and Medium-Sized Enterprises (SMEs).

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Social impact

The social impact analysis focuses on different types of social effects: e.g. on employment, labour standards, working conditions, welfare, poverty, vulnerable consumer groups,  women, vulnerable groups in the society. 

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Environmental impact

The environmental impact analysis looks at the effects of the agreement on: the interaction with Multilateral Environmental Agreements (MEAs), the Paris Agreement, and Global Biodiversity Framework, air quality, greenhouse gas emissions, water quality and resources, land use, soil quality, waste prevention and waste management, marine litter, biodiversity, ecosystems services and protected areas. 

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Human rights impact

The human rights analysis studies the impact of the agreement on human rights as set out in the international and regional human rights treaties. It takes into account pre-existing legal situation in the EU and Japan, pre-existing conditions of stress of vulnerability. Uptake of Corporate Social Responsibility (CSR) practices is also part of this analysis.

Case Studies

In addition to the sustainability pillar analyses, three case studies are carried out. They focus on more narrow, illustrative, issues that are relevant from a sustainability angle.

Concretely, the case studies cover:

  • Trade in key agricultural goods including SPS market access and related barriers

  • Geographical Indications (GIs) protection aspects

  • Trade in specific services 

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Case studies

Our Team

This study is carried out by the ECFORTE consortium: a multidisciplinary team of experts from Trade Impact BV, SQ Consult, Cambridge Econometrics, and the European Institute of Japanese Studies.

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 2025 Trade Impact B.V.                                                                                                                                                

 

Legal notice: This study was commissioned and financed by the European Commission. The views expressed on this website and in the project reports and documents are those of the authors and do not necessarily reflect the official position of the European Commission. The Commission does not guarantee the accuracy of the data included in this study. Neither the European Commission nor any person acting on the Commission’s behalf may be held responsible for any use made of the information contained therein. The Commission prepared the Computable General Equilibrium economic results for this study. 

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