The world’s largest and most successful trading bloc, the EU, is to sign a free trade agreement with the world’s third largest economy, Japan, later today. This further weakens the case (such as it is) for Brexit since the UK would benefit from the new arrangements (which it has had a hand in shaping) were it to remain in the EU. If the country does leave the bloc, it would need to agree a separate deal with Japan which would be unlikely to agree to trade with a smaller market on the same terms that it would with the full EU. The UK hopes to be able to “roll-over” many of existing EU trading agreements when it leaves the bloc, but there is no guarantee that it would be able to.

The new free-trade deal will (currently, at least) cover a market of 600 million people and represents approximately a third of the world’s GDP (but, roughly, 8% of its population).

The new free trade agreement between the EU and Japan will be signed in Japan by Donald Tusk and Jean-Claude Junkers on the EU side and Shinzo Abe for Japan. A major Japanese export to Europe is cars, but they have a thriving electronics industry. A major EU export to Japan is dairy produce. EU exports to Japan currently exceed $100 billion and it is hoped that the new pact will boost this figure by facilitating trade and cutting non-tariff barriers.

The relaxation of trading barriers comes at a time when the world’s largest economy seems bent on protectionism and raising barriers to trade (via punitive tariffs). Indeed, an early act of President Trump was to withdraw the USA from the putative Trans-Pacific trade agreement which was designed to facilitate and boost trade in the region.

Speaking during a visit to China, Mr. Tusk said: "It is the common duty of Europe and China, but also America and Russia, not to destroy [the global trade order] but to improve it, not to start trade wars which turned into hot conflicts so often in our history. There is still time to prevent conflict and chaos."

In Japan, Toshimitsu Motegi, the minister for Economic Revitalisation, noted: "At a time when protectionist measures are gaining steam globally, the signing of the Japan-EU deal today will show the world once again our unwavering political will to promote free trade."

The EU is also engaged in free trade discussions with Australia and New Zealand, two nations that Brexiters hope will quickly agree on post-Brexit deals with the UK. As they say, hope dies last.