EU & Japan Forge 'Competitiveness Alliance' to Counter Economic Coercion
The European Union (EU) and Japan have established a new strategic partnership, as announced following the EU-Japan Summit in Tokyo. The alliance, dubbed the 'competitiveness alliance', aims to bolster bilateral collaboration across trade, innovation, energy, economic security, and defence. Both Brussels and Tokyo expressed concern over the use of economic tools as political leverage by third parties, with China's trade practices and U.S. protectionist measures in their sights.
The partnership follows a separate U.S.-Japan agreement, where Washington reduced tariffs on Japanese automobiles in exchange for increased Japanese investment in the American market. The EU will now work more closely with Japan to counter economic coercion and address unfair trade practices. The EU seeks greater alignment with like-minded partners in the Indo-Pacific region, with Japan playing a pivotal role in the EU's wider regional strategy.
The alliance will serve as an instrument for economic cooperation and a platform for reinforcing democratic principles and international legal norms. The formal launch of negotiations on an information security agreement is expected later this year, with Germany playing a key role. The competitiveness alliance expands the focus to include resilience in critical supply chains, joint work on advanced technologies, and strategic coordination on external threats.
The EU-Japan Strategic Partnership, launched in 2025, is set to deepen economic cooperation, defend free trade, and enhance mutual security. The competitiveness alliance, with its expanded focus, is poised to strengthen the bilateral relationship and reinforce democratic values in the face of growing economic challenges.
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