Building without blocs: EU-Japan relations after the July Summit
The EU-Japan summit, which took place today in Tokyo, did not produce major headlines. Yet it quietly underscored the two sides’ deepening strategic alignment, centred on a shared aim: to build economic security as a global common good, without compromising openness, and to strengthen multilateral economic governance amid rising protectionism, tariffs, and competing blocs.
Prime Minister Ishiba arrived at the summit grappling with internal challenges. Upper house elections over the weekend stripped the ruling Liberal Democratic Party (LDP)–Komeito coalition of its majority. The weakening of Ishiba’s mandate is likely to hinder major legislative initiatives, potentially affecting the implementation of the EU-Japan agenda. The results have also cast uncertainty over Japan’s future policy orientation, with the far-right Sanseito securing 14 seats. Nevertheless, domestic political shifts are likely to be outweighed and outlived by the external forces drawing the EU and Japan closer together.
Indeed, both sides face common external challenges, including sweeping US tariffs—up to 30% on EU exports if no deal is reached by the August 1 deadline, and 15% on Japanese goods under a new agreement with key terms still under negotiation. They also continue to navigate a complex relationship with Beijing, advocating greater cooperation on global challenges like climate change while pressing to recalibrate trade relations. The EU, in particular, is gearing up for a China summit most pundits have declared dead on arrival.
Against this backdrop, the summit was both timely and ripe with low-hanging fruit. Building on years of cooperation underpinned by the 2019 EU-Japan Economic Partnership Agreement, the summit launched the EU-Japan Competitiveness Alliance, expanding collaboration in data flows, cybersecurity, AI, connectivity, quantum technologies, supply chain resilience, and joint scientific research—to be accelerated by Japan’s upcoming association with Horizon Europe. The Alliance will also encompass initiatives on energy security (prioritising LNG and clean hydrogen), and a Critical Minerals and Rare Earths Partnership to reduce dependence on China—currently 58% for Japan and 98% for the EU—as it restricts rare earth exports.
Defence-industrial cooperation also featured prominently. Both parties reaffirmed alignment on global security—condemning Russia’s war in Ukraine, warning against growing Russia–North Korea ties, Pyongyang’s nuclear buildup, and voicing concern over tensions in the East and South China Seas. Building on their Security and Defence Partnership, they pledged deeper cooperation in cyber, maritime, and space security, including the joint development of a satellite constellation, which could reduce reliance on US-based platforms like Starlink. To anchor this cooperation industrially, they launched the EU–Japan Defence Industry Dialogue, a platform for engagement on dual-use and advanced technologies.
Lastly, while not formally on the summit agenda, Japan’s role in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) was likely front of mind for EU leaders, as Brussels signals interest in the bloc. Yet, even as blocs are used to counter economic coercion and hedge against protectionism, the EU and Japan should stay focused on safeguarding their shared stake in the multilateral trade system and jointly advancing WTO reform—as pledged at the summit.
Whether the summit marks a significant step forward or simply serves to consolidate previous milestones remains to be seen. What is clear is that, given the long record of commitments, success in EU-Japan relations should now be measured by concrete, stable, and long-term implementation.
Raul Villegas is a Policy Analyst at the Executive Office of the European Policy Centre.
Elixabete Arrieta is a Junior Policy Analyst in the Europe in the World Programme of the European Policy Centre.
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