3 Beddings (Futons)
Transcription
3 Beddings (Futons)
A-3. Beddings (Futons) 3 Beddings (Futons) 1. Market Conditions in Japan (1) Definition of Category Japanese bedding “futons” are a kind of extra-thick quilt with a variety of natural and synthetic material (including cotton, flax, wool, down, floss, polyester or acrylics) stuffed inside the fabric cover. This section examines down futons, wool futons and other futons including under-table warmer futons, which fall into the HS No. 9404 category in trade statistics (articles of bedding and similar furnishing), but does not discuss mattresses or sleeping bags. Classifications and HS numbers in trade statistics are as follows. HS Numbers 9404.90-010 9404.90-020 9404.90-030 Commodity Eiderdown futons, stuffed with feather or down Futons stuffed solely with man-made fibers Wool and other futons (2) Market Conditions Down, wool and other animal hair and feather materials are characterized by their natural capacity to shrink, expand, and absorb or repel moisture as external conditions change. Down futons are noted for their lightweight and temperature retention, aeration, and natural ability to absorb body moisture and carry it away from the skin. Because of this trait, down futons can be used even during hot and humid Japanese summer weather without discomfort. Wool futons also have excellent heat retention and elasticity. Wool also does not burn or soil easily. Recently some consumers have sought to maximize the benefits from each type of futon by sleeping on top of wool futons and using down futons as blankets. New types of futons have also appeared on the market, including 50% wool 50% polyester blend stuffing futons and interior cover type down futons. [Down futons] All futons containing feather stuffing are commonly referred to as “down futons,” but strictly speaking down futons are classified as either down feather futons or shuttlecock futons according to established standards criteria. Down feather futons have at least 50% down (the soft feathers on a bird’s breast) content in the stuffing, while shuttlecock futons have less than 50% down content. The term shuttlecock futon also denotes small feather stuffing. Products with higher down content are lower in weight and the higher in bulk (thickness and cushioning), and are considered high-performance products. Most of the down futon imported from Europe is the shuttlecock futon and it is a type of blanket generally called as “featherket.” In the prosperous times of late 1980s, the mainstream of imported futon was the high-class down futon from Europe. After the burst of bubble economy, since the leading mass merchandisers imported cheaper down futon from China one after another and decreased the sale price, the down futon have spread rapidly. However, the demand of such cheaper down futon has settled down in a short period of time and the fact was that the market has shrunk sharply. In recent years, most of the imported products are reasonably priced popular down futon made in China and imports of high-class futons from Europe are decreasing. [Wool futons] 100% wool futons come mainly from Europe (especially Germany), but in very small quantities. Most wool futons are luxury-grade products made according to traditional methods. [Under-table warmer futons] This type of bedding material is unique to Japan, but high wages have made it difficult to manufacture under-table warm futons competitively in Japan. In recent years, imports from China have rapidly increased. Although bedding is an everyday necessity, in some ways it resembles durable goods, and the turnover rate is originally low. The domestic futon market as a whole has been on the decrease over the past several years. Industry observers believe that down and wool futons are passing from the high growth phase to the mature phase of their product life cycle. Declining unit prices of regular futons have been responsible for lower sales figures due mainly to imports of low-priced good quality futons from China. Bedding makers have been trying to stimulate replacement demand by developing “21st Century bedding” with new added-value features based on the themes of health, safety and comfort. A common theme for bedding makers is to apply sleep science and the latest technology to develop bedding that is adaptable to consumers’ personal needs and changing life styles. Marketing Guide for ASEAN Exporters to Japan 33 A-3. Beddings (Futons) New products on the market are made from the latest in materials, including materials that use nanotechnology to make bedding that is gentler on the skin, more water absorbent and quicker to dry, along with non-allergenic materials that have near zero allergens, and material treated with ultraviolet rays and antibacterial compounds. Sales have been strong for bedding designed around the concept of comfortable sleep, including these new types of bedding and futons and specially shaped pillows. Surveys indicate that Japanese people of all ages and both genders complain about the quality of their sleep. About half say they do not sleep well, that their sleep is shallow, that they wake up in the night, or that their sleep is not restful. Recently companies other than bedding makers have been launching products and services centered on the concept of comfortable sleep. For instance, housing makers and home fixture makers have started selling air conditioners, sound dampeners and lighting fixtures that can be appropriately controlled to improve sleep quality and provide users with high-quality, refreshing sleep. Japanese and foreign brands of futons, blankets, pillows, pajamas and other sleep accessories have sought to coordinate their product lines around the theme of “good sleep for a comfortable life.” Some new type of stores now provide consulting services including body pressure measurements and pillow height measurements. City center stores offer combinations of bedding and sleep accessories revolving around the theme of “healing,” including herbs, dietary supplements, aromatherapy oils and other products that promote relaxation and healing. (3) Distribution System and Business Practices in Japan In the past the most common distribution channel for imported futons was from overseas manufacturer to import trading company to wholesaler to retailer and finally to the consumer. Recently there have been more moves to bypass the intermediary stages in the process. In the case of down futons in particular, it has become more common for import trading companies to sell direct to retailers and for foreign manufacturers to sell direct to mass merchandisers. At the retail stage, down futons are often sold through mass merchandisers and mail order companies. Wool futons are sold through department stores, and under-table warmer futons are sold through mail order companies, department stores, mass merchandisers, bedding specialty stores and appliance stores. In mail order businesses, catalogue sales grow at a sluggish pace, while internet shopping and television shopping enjoy strong growth. Until several years ago, there were a number of small-sized retailers specializing in sales of futon and other bedding products. The number of these specialized small-sized retailers recently has dropped sharply. City center specialty stores offer combinations of bedding and sleep accessories revolving around the theme of “good sleep.” Fig. 1 Distribution channels for imported futons Overseas manufacturers Import trading companies Domestic manufacturers* Wholesalers * Domestic manufacturers may act as import agents. Department stores, mass merchandisers, bedding specialty stores, mail order companies, door-to-door sales companies Consumers 2. Trade Trends (1) Import Trends in Japan Bedding (futon) imports in 2004 totaled ¥25.2 billion (down 3.4% from the year before) with 33,055 tons (down 3.5%). On a volume basis the most common type of imported futon is stuffed solely with man-made fibers (18,672 tons, share 56.5%), while on a value basis eiderdown futons (¥11.87 billion, 47.1%) exceeds man-made fiber futons (¥10.43 billion, 41.4%) (see Fig. 2). Most imports come from China, which has a commanding share of over 97% in import quantities and around 90% of import value in the all of three product categories (see Figs. 4 - 6). As is the case with other textile products, China has improved its technical capabilities with Japanese companies’ assistance, and it is now able to export futons to Japan in large quantity at low prices, yet with good quality. In 2004, however, futon imports from China finished lower than the year before on both a value and volume basis, and this resulted in negative growth in overall imports of futons. Marketing Guide for ASEAN Exporters to Japan 34 A-3. Beddings (Futons) Fig. 2 Trends in Japan’s bedding (futon) imports [Total import value] [Import value by category] (¥ million) 30,000 (¥ million) 15,000 20,000 10,000 10,000 5,000 Eiderdown futons Man-made fiber futons Other futons 0 0 2001 2002 2003 2000 (Year) 2004 2001 Value Eiderdown futons Stuffed solely with man-made fibers Other futons TOTAL 2002 2003 2004 (Year) Volume 2000 2001 2002 2003 2004 2001 2002 2003 2004 10,459 13,301 12,596 12,629 11,874 2000 9,732 10,217 10,019 11,342 10,125 - 8,967 11,377 10,732 10,425 - 13,812 17,647 19,071 18,672 - 2,532 2,705 2,728 2,908 - 3,130 3,180 3,846 4,258 10,459 24,800 26,678 26,089 25,208 9,732 27,159 30,846 34,258 33,055 <Reference> Other articles of 46,193 48,506 49,082 54,324 54,534 71,460 72,458 77,106 90,217 89,810 bedding Units: value=¥ million, volume=tons Source: Trade Statistics (Ministry of Finance) (Note) Until 2000 beddings other than eiderdown were included in the category of “other articles of bedding” (9409.90-090). Fig. 3 Trends in futon imports by category in 2004 Value Value Share Volume Yearly Volume change 94.0 10,125 Average unit price Yearly Share change 30.6% 89.3 2003 2004 Eiderdown futons 11,874 47.1% 1,113 1,173 Stuffed solely with man-made fibers 10,425 41.4% 97.9 18,672 56.5% 97.9 563 558 2,908 11.5% 106.6 4,258 12.9% 110.7 709 683 Other futons TOTAL 25,208 100.0% 96.6 33,055 100.0% 96.5 762 763 Units: ¥ million, tons, yearly change=%, average unit price=¥ per kilogram Source: Trade Statistics (Ministry of Finance) (2) Principal Exporters to Japan and ASEAN’s Position China dominates and controls the imported bedding market. On a value basis, China has an overwhelmingly lead as an exporter of beddings to Japan, by accounting for 90.5% (¥10.75 billion) of eiderdown futons, 86.1% (¥8.98 billion) of man-made fiber futons, and 92.0% (¥2.68 billion) of other futons (see Figs. 4 - 6). Chinese share of total import volume reached 98.2% (32,455 tons) in 2004. In most cases, these beddings were produced with technical assistance from Japanese companies. Recently, China’s productive capability has increased markedly through improved stitching technology. In 2004, however, imports of all of three product categories from China finished below the previous year’s level on both a value and a volume basis. It suggests that Chinese products, which had been prominent in the market mainly due to its overwhelming price competitiveness, may hit the ceiling. Japan imports very small quantities of upscale down futons from Germany, Hungary, Vietnam and Denmark, and man-made fiber futons from Vietnam and Thailand. ASEAN holds a just 5.7% share (¥1.44 billion) of total futon imports in 2004 on a value basis, and 1.0% (340 tons) on a volume basis (see Fig. 7). Nevertheless, while China finished the year with negative growth, imports from ASEAN secured positive growth compared with the previous year (¥1.37 billion). As far as man-made fiber futons, the leading product for ASEAN, are concerned, Vietnam positioned second place (¥781 million, share 7.5%) and Thailand positioned third place (¥531 million, share 5.1%), then ASEAN as a total acquired 12.6% share of total (see Fig. 5). Their products are accepted in Japan as one rank above the Chinese products and the growth of Vietnam is especially remarkable in recent years. Marketing Guide for ASEAN Exporters to Japan 35 A-3. Beddings (Futons) Fig. 4 Principal exporters of eiderdown futons to Japan [Trends in import value by leading exporters] [Shares of eiderdown futon imports in 2004 (value basis)] (¥ million) 15,000 China Others 0.2% 10,000 ASEAN EU 0.6% 8.7% China 90.5% 5,000 Germany 0 2000 2001 2002 2003 2000 2001 2002 Value Value Value China (Year) 2004 2003 Value 2004 Volume Value Volume Average unit price 98.7% 1,076 9,380 11,852 11,155 11,457 11,210 10,747 90.5% 9,992 Germany 613 984 921 733 53 720 6.1% 63 0.6% 11,475 Hungary 218 174 221 188 30 169 1.4% 22 0.2% 7,655 Vietnam 5 51 52 73 18 63 0.5% 13 0.1% 4,780 Denmark 0 4 47 40 6 43 0.4% 12 0.1% 3,457 5,679 Others 243 237 200 137 25 132 1.1% 23 0.2% TOTAL 10,459 13,301 12,596 12,629 11,342 11,874 100.0% 10,125 100.0% 1,173 (E U) 893 1,243 1,287 1,085 109 1,034 8.7% 113 1.1% 9,171 (ASEAN) 54 55 75 67 19 67 0.6% 18 0.2% 3,708 Units: ¥ million, tons, average unit price=¥ per kilogram Fig. 5 Source: Trade Statistics (Ministry of Finance) Principal exporters of man-made fiber futons to Japan [Trends in import value by leading exporters] [Shares of man-made fiber futon imports in 2004] (¥ million) 12,000 China 10,000 Others 0.3% ASEAN 12.6% 8,000 6,000 China 86.1% 4,000 Vietnam 2,000 Thailand 0 2000 China 2001 2002 2003 2001 2002 Value Value 2004 (Year) 2003 Value 2004 Volume Value Volume 8,251 9,728 9,205 18,641 8,981 86.1% 174 455 688 150 781 7.5% 160 0.9% 4,888 Thailand 520 889 564 103 531 5.1% 103 0.6% 5,130 Denmark 2 12 47 21 75 0.7% 33 0.2% 2,305 R. Korea 6 3 27 45 22 0.2% 38 0.2% 573 15 289 201 111 36 0.3% 19 0.1% 1,878 TOTAL 8,967 11,377 10,732 19,071 10,425 100.0% 18,672 100.0% 558 (E U) 10 25 76 34 104 1.0% 48 0.3% 2,163 (ASEAN) 694 1,344 1,252 253 Units: ¥ million, tons, average unit price=¥ per kilogram Marketing Guide for ASEAN Exporters to Japan 18,318 Average unit price 98.1% 490 Vietnam Others 36 EU 1.0% 1,312 12.6% 263 1.4% 4,979 Source: Trade Statistics (Ministry of Finance) A-3. Beddings (Futons) Fig. 6 China Principal exporters of other futons to Japan 2001 2002 2003 Value Value Value 2004 Volume Value Volume Average unit price 97.4% 645 2,381 2,407 2,500 3,741 2,675 92.0% 4,147 Germany 52 53 101 31 61 2.1% 17 0.4% New Zealand 66 175 35 11 60 2.1% 18 0.4% 3,353 Thailand 1 30 45 39 59 2.0% 49 1.2% 1,197 Denmark - 15 1 1 21 0.7% 6 0.1% 3,489 1,553 Others 3,644 31 26 45 24 33 1.1% 21 0.5% TOTAL 2,532 2,705 2,728 3,846 2,908 100.0% 4,258 100.0% 683 (E U) 57 72 130 41 102 3.5% 31 0.7% 3,358 (ASEAN) 14 31 47 Units: ¥ million, tons, average unit price=¥ per kilogram Fig. 7 40 Trends in imports from ASEAN by country/category [Value] (¥ million) 65 2.2% 59 1.4% 1,095 Source: Trade Statistics (Ministry of Finance) [Volume] (tons) 600 2,000 1,431 1,500 1,374 1,443 413 400 1,000 340 312 276 762 200 500 0 0 2001 2002 2003 2001 (Year) 2004 Value Eiderdown futons Man-made fiber futons ASEAN Other futons TOTAL TOTAL Share of total 2001 54 694 14 762 3.1% 2002 55 1,344 31 1,431 5.4% Eiderdown futons 51 52 Man-made fiber futons 174 455 Vietnam Other futons TOTAL 224 507 Share of total 0.9% 1.9% Eiderdown futons 1 Man-made fiber futons 520 889 Thailand Other futons 1 30 TOTAL 522 918 Share of total 2.1% 3.4% Myanmar Malaysia 2 Indonesia 12 2 Singapore 3 Philippines 2 0 Laos Cambodia Brunei Units: ¥ million, tons, average unit price=¥ per kilogram 2002 2003 2004 Volume 2003 75 1,252 47 1,374 5.3% 2004 67 1,312 65 1,443 5.7% 73 688 761 2.9% 564 45 610 2.3% 0 1 2 - 63 781 5 849 3.4% 531 59 589 2.3% 4 1 0 - 2001 27 232 17 276 1.0% 2002 19 368 26 413 1.3% 2003 19 253 40 312 0.9% 2004 18 263 59 340 1.0% (Year) Average unit price 2004 3,708 4,979 1,095 4,240 25 17 18 13 4,780 57 137 150 160 4,888 9 585 82 154 168 182 4,661 0.3% 0.5% 0.5% 0.6% 2 173 231 103 103 5,130 3 24 39 49 1,197 178 255 142 152 3,865 0.7% 0.8% 0.4% 0.5% 5 830 1 0 0 1,918 14 2 1 1 690 2 1 1 0 Source: Trade Statistics (Ministry of Finance) Marketing Guide for ASEAN Exporters to Japan 37 A-3. Beddings (Futons) (3) Imports’ Market Share in Japan As bedding production has largely shifted to China, domestic production has shrunk dramatically, and overall market also shrunk due to decline of product unit prices. Imports command a larger share of the market, accounting for 21.7% of the market in eiderdown futons, and 19.3% in regular futons (other than down futons) in 2003. In addition, Japan relies almost totally on imports for down and feather comforters. Makers have to cut prices due to deflationary pressures, and it is impossible to compete on price with futons made in Japan. The low end of the market is likely to become still more dependent on China and ASEAN in the future. Fig. 8 Imports’ share in the Japanese market Eiderdown futons 2000 Domestic shipments Imports Market total Imports’ share 2002 2001 60,303 10,459 70,762 14.8% 55,626 13,301 68,927 19.3% 49,491 12,596 62,087 20.3% Other futons 2003 45,485 12,629 58,114 21.7% Yearly change 91.9 100.3 93.6 2002 68,149 14,082 82,231 17.1% 2003 56,231 13,460 69,691 19.3% Yearly change 85.0 95.6 84.8 Unit: ¥ million (factory shipment basis), yearly change=% Source: Census of Manufactures Domestic shipments are limited to those with 4 or more employees and those designated by the Minister of Economy, Trade and Industry. 3. Key Considerations related to Exporting to Japan (1) Regulations and Procedural Requirements at the Time of Importation in Japan Bedding imports are not subject to any restrictions or regulations. (2) Regulations and Procedural Requirements at the Time of Sale in Japan The sale of bedding is subject to the Household Goods Quality Labeling Law, the Law for Control of Household Products Containing Harmful Substances, and the Act Against Unjustifiable Premiums and Misleading Representations. Down futons, depending on species of feathers, may be subject to provisions of the Law for Conservation of Endangered Species of Wild Fauna and Flora. In addition, prospective exporters to Japan need to be aware that advocating the effect or efficacy such as “make the blood circulation smooth,” “fix the back bone distortion,” or “effective for the backache” can be a violation of the Pharmaceutical Affairs Law. 1) Household Goods Quality Labeling Law The Law stipulates the format and content of quality labeling for products designed for everyday household use. The purpose is to protect the benefit to consumers by providing information that helps them choose products and informs them about how to use the products correctly. Bedding must bear labeling as specified by the Law. Products may not be sold without labels. (see (3) Labeling Regulations) 2) Law for Control of Household Products Containing Harmful Substances Bedding is subject to content standards for insecticides and fire-retardant compounds based on provisions of the Law for Control of Household Products Containing Harmful Substances. Importers and distributors may not sell, give away, or display futons for commercial purposes unless the merchandise complies with those standards. Harmful substances regulated by the Law Harmful substance Abbr.: DTTB Abbr.: APO Abbr.: TDBPP Bis (2,3-dibromopropyl) phosphate Dieldrin Formaldehyde (For infants 24 months or younger) Standards Less than 30 ppm Prohibited Prohibited Prohibited Less than 30 ppm Less than 0.05 of absorbance difference or less than 16 ppm Usage Insecticide compounds Fire-retardant compounds Fire-retardant compounds Fire-retardant compounds Insecticide compounds Resin compounds 3) Act Against Unjustifiable Premiums and Misleading Representations The Act prohibits a form of improper labeling exaggerated or false labeling that misleads consumers about the nature or quality of products. In case of futon, the unclear indications without objective basis such as “the best-class quality,” “using a great quantity of high-class down,” “increased down” deem to be a form of improper labeling to lead to the misunderstanding by consumers that the products are much better than the actual. Marketing Guide for ASEAN Exporters to Japan 38 A-3. Beddings (Futons) Vague or confusing labeling that makes it difficult to discern the actual country of origin is also prohibited as a form of improper labeling. The country of origin is defined as “a country in which a treatment or process effecting substantial change to the substance of the goods made.” (3) Labeling Regulations at the Time of Sale in Japan 1) Legally Required Labeling [1] Household Goods Quality Labeling Law The Textile Product Quality Labeling Standards based on the Household Goods Quality Labeling Law specify both the label content and format. The label must list fabric covering and filling materials of futons and the name and place of contact of the labeler (address or telephone number). When non-fibrous material other than cotton, wool or down (such as urethane foam) is used as stuffing material for futons, the name of that material must appear in product labeling. In addition, down futon labeling must include the proportion of down or other feather material in the stuffing. 2) Voluntary Labeling based on Provisions of Law [1] Fire Service Law Example label of futon Covering Cotton 100% Filling Cotton 100% (Urethane-foam use) XYZ Co., Ltd. TEL: 01-2345-6789 Example label for fire-retardant mark Futon cover fabrics and futon stuffing materials that comply with fire-retardant may bear fire-retardant label in the stipulated format. This labeling is not obligatory, but some localities have ordinances or administrative advisories recommending the use of such products in hotels, inns and other public buildings as well as in health care and social welfare facilities. To qualify for this labeling, bedding must be tested not only for fire retardant but also for toxicity. For more details, please contact: • Japan Fire Retardant Association TEL: 03-3246-1661 http://www.jfra.or.jp 3) Voluntary Industry Labeling [1] The Wool Mark Wool futons that meet quality standards established by The Woolmark Company, Wool Mark Label Japan may display the 100% Wool Mark. Only 100% wool futons made at production facilities that have received permission may attach the Wool Mark to their products. The 100% Wool Mark quality standards include standards for wool type and mass, oil content and quilting technique, as well as guidelines for shrinkage and insecticide content. Contact: • The Woolmark Company, Japan TEL: 03-5950-9371 http://www.wool.co.jp [2] Unified Mark for Ticks Prevention Processed Products Interior Fabrics Performance Evaluation Conference composed of affiliated five Unified Mark for Ticks Prevention Processed organizations, including the Japan Interior Furnishing Material Association and the Products All Japan Bedding Goods Association, provides the “voluntary standards for ticks prevention processed products” (enacted in 1999) which intended for futons and other beddings (and carpet) and indicates the unified marks on the products which passed these standards. With regard to the standards for ticks prevention, there are established standard values for “avoidance effect” not to let ticks come close and “propagation repression effect” not to increase ticks, and the durability of ticks prevention effect and the safety of processed chemical are to be confirmed. The subject of this certification system is limited to corporate members of affiliated five organizations. Contact: Interior Fabrics Performance Evaluation Conference TEL:03-3433-4521 (c/o Japan Interior Furnishing Material Association) http://www.interior-seino.gr.jp (4) Key Considerations for entering the Japanese Market Futons are not subject to stringent regulatory requirements, which mean that prospective exporters to Japan have a broad range of opportunities. One problem with all futons is that it is difficult to assess the quality of the stuffing material, since it is packed entirely inside the covering. In addition, down and wool stuffing can Marketing Guide for ASEAN Exporters to Japan 39 A-3. Beddings (Futons) develop problems with insect pests and with odor resulting from their natural characteristic scent. Unless the quality check such as the protection against these problems is performed before exporting to Japan, it will cause the troubles of inferior products or the risks of returning the products. In Japan, the Product Liability (PL) Law has been enacted in order to stipulate the liability for compensation of manufacturers etc. and to protect the victim in case that it is verified that the damages to human life, body or properties have been caused due to defects in manufactured goods. For the imported products, since the importers shall be liable to compensation for damages, the importers need to be careful about the handling manuals and warning indications, not to mention the quality control. The retail outlet deals with defective merchandise and requests for exchanges. Some retailers provide fee-based repair services for holes or rips in the fabric. (5) Considerations for Related Products Related product categories include cotton, wool and synthetic fiber blankets, bedspreads and bed pads. These products are subject to virtually the same legal and regulatory requirements as futons. (6) Regulatory Agency Contact • Household Goods Quality Labeling Law Product Safety Division, Consumer Affairs Department, Commerce and Information Policy Bureau, Ministry of Economy, Trade and Industry TEL: 03-3501-1511 http://www.meti.go.jp • Law for Control of Household Products Containing Harmful Substances Office of Chemical Safety, Evaluation and Licensing Division, Pharmaceutical and Food Safety Bureau, Ministry of Health, Labour and Welfare TEL: 03-5253-1111 FAX: 03-3593-8913 (Direct) http://www.mhlw.go.jp • Act Against Unjustifiable Premiums and Misleading Representations Consumer Related Trade Division, Trade Practice Department, Fair Trade Commission of Japan TEL: 03-3581-5471 FAX: 03-3581-1754 (Direct) http://www.jftc.go.jp 4. Tariff Duties and Consumption Tax in Japan (1) Tariff Duties Fig. 9 presents tariff duties on futons. In case of confirming the tariff classification or applicable tariff rate in advance, it is convenient to use the “advance counseling program.” By making an inquiry to the customs orally, or through document or e-mail, the customs will reply to such inquiry. Contact: Customs website http://www.customs.go.jp [Preferential Tariff System] In order to apply for preferential tariff rates on futons imported from preferential treatment countries, the importer should submit a certificate of preferential country of origin (Form A) issued by the customs or other issuing agency in the exporting country (not required if the total taxable value of the shipment is no greater than ¥200,000). For more details, please contact the Customs and Tariff Bureau, Ministry of Finance. Application of tariff rates on ASEAN countries is as follows. Applicable Rates LDC Preferential Rate Preferential Rate JSEPA Rate WTO Rate Marketing Guide for ASEAN Exporters to Japan 40 ASEAN Countries Myanmar, Cambodia, Laos Thailand, Indonesia, Malaysia, Philippines, Vietnam Singapore Brunei A-3. Beddings (Futons) Fig. 9 Tariff duties on futons Rate of Duty Prefer- TemJSEPA ential porary 9404.90 Futons A -100 Eiderdowns, stuffed with feather or down 4.6% 3.8% Free -020 Stuffed solely with man-made fibers 4.6% 3.8% Free -030 Other 4.6% 3.8% Free Note 1: “A” in JSEPA rate means that based on the Japan-Singapore Economic Partnership Agreement (JSEPA), articles originated in Singapore were approved as duty free from the effective date of Agreement (November 30, 2002). Note 2: Normally the order of precedence for application of tariff rates is JSEPA, Preferential, WTO, Temporary, and General, in that order. However, Preferential rates are only eligible when conditions stipulated by law or regulations are met. Also, WTO rates apply when those rates are lower than Temporary or General rates. Refer to “Customs Tariff Schedules of Japan” (published by Japan Tariff Association) etc. for more complete interpretation of tariff table. HS No. Description General WTO (2) Consumption Tax (CIF + Tariff Duty) x 5% 5. Related Industry Organizations • All Japan Bedding Goods Association (JBA) TEL: 03-3281-2679 FAX: 03-3281-1720 http://www.jba210.jp • All Japan Cotton Wadding and Bedding Goods Manufacturers Co-Operative Association TEL: 03-3281-2714 FAX: 03-3281-1720 http://www.zennichimen.or.jp • Japan Down Products Corporative Association TEL: 03-5649-2285 http://www.nichiukyo.org • Japan Down Association TEL: 03-3294-0108 FAX: 03-3294-0129 http://www.jda.gr.jp Marketing Guide for ASEAN Exporters to Japan 41