Quoting the Japanese Finance Ministry, Kyodo News International revealed that the pact, which seeks to streamline and align customs procedures and stem the flow of pirated goods between Japan and Macao, amongst other provisions, was signed in Macao by director general of the Japanese Finance Ministry's Customs and Tariff Bureau, Hiroshi Fujioka, and director general of Macao Customs Service, Choi Lai Hang.

In January of this year, the Customs Administration of Japan and the Hong Kong Customs and Excise Department pledged to strengthen co-operation in fighting transnational customs crimes by signing a similar Customs Co-operative Arrangement.

The commissioner of the Hong Kong Customs and Excise Department, Richard Yuen, and the then director-general of the Japan Customs and Tariff Bureau, Yukiyasu Aoyama, signed the arrangement.

"The co-operative arrangement signifies our mutual commitment to elevate our relationship to a new platform as well as our determination to foster stronger co-operation," Mr Yuen explained at the time.

Although Japan already has a customs agreement in place with China, mainland customs law does not apply in the territories of Hong Kong and Macao, necessitating the signature of separate agreements with the authorities in each special administrative region (SAR).