Brussels, 26/07/2012 (Agence Europe) - The European Commission wants to open free trade talks with Japan, but is facing resistance from France, which fears greater competition for EU car manufacturers.
On Wednesday 25 July 2012, French Industrial Recovery Minister Arnaud Montebourg criticised unfair competition from South Korean car manufacturers, which have increased their share of the market in Europe since the EU-South Korea free trade deal came on stream. He told reporters that France wants to request activation of surveillance measures to determine whether to activate the safeguard mechanism, as has been done by the EU in the past for steel from the US and Russia. He also criticised the naive free trade deal. Earlier that same day, the French government unveiled a recovery plan for struggling French car manufacturers, which calls on the Commission to activate the safeguard clause in the EU-South Korea free trade deal. Montebourg said Europe may be open, but that does not mean “help yourself”, and it must not accept social and environmental dumping.
On 18 July 2012, the European Commission suggested opening free trade talks with Japan, which would involve liberalising trade in cars, to the concern of Germany, France and the European car manufacturers' umbrella group, ACEA (see EUROPE 10659). (EH/transl.fl)