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EU and Japan create world's biggest free trade zone

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Re: EU and Japan create world's biggest free trade zone

#201

Earlier quoted context omitted.

That's pretty interesting, is it expensive for all types of cheese from like kraft singles to french brie? Do you have any other stories of common EU/US items that are rare in Japan?

I might be being a bit of a snob, but in the context of a cheese-related discussion kraft singles don't really rate mention.

Are you even allowed to call them cheese? I thought they had to be labeled as a processed milk product or something.

Re: EU and Japan create world's biggest free trade zone

#202
post #43

While lack of tariffs is nice, as a small-time seller, complying with all these VAT, taxing rules (Germany added new requirement in 2019 to obtain some kind of new tax certificate which is not related to VAT certificate) makes it quite complicated from compliance point alone. But I guess it represents general attitude towards business in europe. Not sure how it is like in Japan. [edit] What I mean is that it is all f…

That's true. But there is some progress on that as well. From Jan 2019, the so called VAT MOSS (mini one stop shop) is open to companies from outside the EU as well: https://www.gov.uk/government/publications/vat-changes-to-th... I don't know how it works exactly, but it means that you can now supply digital goods and services to all EU countries after getting registered with the VAT MOSS instead of registering for V…

Just a perspective - €10k with a margin of 5% (is what I see after all the expenses for such a small volume) leaves you with €500 to comply with regulations. VAT compliance with the just UK costs us 700 GBP per year so far and few hours each quarter.

Re: EU and Japan create world's biggest free trade zone

#204

Earlier quoted context omitted.

That's pretty interesting, is it expensive for all types of cheese from like kraft singles to french brie? Do you have any other stories of common EU/US items that are rare in Japan?

I might be being a bit of a snob, but in the context of a cheese-related discussion kraft singles don't really rate mention.

Say what you will about Kraft singles, but they melt like nothing else. Kraft doesn't belong everywhere, but it has foodie applications. [0]

[0] - https://www.seriouseats.com/2016/07/whats-really-in-american...

Re: EU and Japan create world's biggest free trade zone

#205

Earlier quoted context omitted.

That's true. But there is some progress on that as well. From Jan 2019, the so called VAT MOSS (mini one stop shop) is open to companies from outside the EU as well: https://www.gov.uk/government/publications/vat-changes-to-th... I don't know how it works exactly, but it means that you can now supply digital goods and services to all EU countries after getting registered with the VAT MOSS instead of registering for V…

Just a perspective - €10k with a margin of 5% (is what I see after all the expenses for such a small volume) leaves you with €500 to comply with regulations. VAT compliance with the just UK costs us 700 GBP per year so far and few hours each quarter.

Cost/bureaucracy of doing business is a common annoyance unfortunately, not exclusive to one or other country and those should be passed onto the consumer.

These are rarely trivial on a small scale, small margin business.

Re: EU and Japan create world's biggest free trade zone

#206
post #136

"For the first time, the trade agreement includes countries' Paris climate deal commitments." This is a brilliant answer to the tragedy of the commons. Often times people ask why they should make great efforts to be more environmentally friendly when other groups are not. This creates multiparty incentives attached to real economic benefits to keep their word on climate change. I hope The US, China, and Russia all en…

this will enable the creation of brand new vegetable varieties like Chernushima carrots...

Re: EU and Japan create world's biggest free trade zone

#207

Earlier quoted context omitted.

Are you from the UK? The point is that between the UK and Ireland there is a CTA, common travel agreement. This means frictionless border crossing between the Republic of Ireland and Northern Ireland. This was straightforward when both were EU members as the border didn't need to be policed for transfer of goods. If the UK leaves the EU then goods from the UK cannot just be moved into the Republic of Ireland if there…

The UK doesn't have to put anything up. If the EU/Ireland choose to, that's kind of their problem.

Of course it doesn't, but then free movement of people cannot be stopped.

Re: EU and Japan create world's biggest free trade zone

#208
post #43

While lack of tariffs is nice, as a small-time seller, complying with all these VAT, taxing rules (Germany added new requirement in 2019 to obtain some kind of new tax certificate which is not related to VAT certificate) makes it quite complicated from compliance point alone. But I guess it represents general attitude towards business in europe. Not sure how it is like in Japan. [edit] What I mean is that it is all f…

That's where resellers come in. If you sell something like software, you can use a reseller like Fastspring, and they deal with taxes world wide. Since they sell the software, they owe VAT and GST and sales tax and whatnot -- you don't.

They take a generous markup (6-9%), but for small sellers, it's a good deal.

Re: EU and Japan create world's biggest free trade zone

#209

Japan has avoided the madness of tariffs and trade wars that has affected the west recently. Instead they have been quietly negotiating trade deals with everyone and generally getting along. Good on them! Also it includes cheese, which will make westerners in Japan very happy.

For those interested in why - Japan always had very high tariffs on cheese (40% on WTO, 37.5% on EU). In comparison, the US has a general tariff of 10% on cheese, with many exceptions making it 0%. http://www.customs.go.jp/english/tariff/2019_2/data/e_04.htm https://hts.usitc.gov/?query=cheese Similarly high tariffs across the board on most imports has been the norm in Japan for decades, with many agricultural produc…

> Free trade is great when applied evenly.

Free trade is great even when applied unevenly.

Re: EU and Japan create world's biggest free trade zone

#210
post #43

While lack of tariffs is nice, as a small-time seller, complying with all these VAT, taxing rules (Germany added new requirement in 2019 to obtain some kind of new tax certificate which is not related to VAT certificate) makes it quite complicated from compliance point alone. But I guess it represents general attitude towards business in europe. Not sure how it is like in Japan. [edit] What I mean is that it is all f…

That's where resellers come in. If you sell something like software, you can use a reseller like Fastspring, and they deal with taxes world wide. Since they sell the software, they owe VAT and GST and sales tax and whatnot -- you don't. They take a generous markup (6-9%), but for small sellers, it's a good deal.

Paddle is another option (https://paddle.com/). They charge 5%.
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