In favour of effective reciprocity. Less naïve - this is how European Commissioner for Trade Karel De Gucht has from the beginning described the new phase of the trade policy that Europe has drawn up and will gradually apply, without waiting for the Euro-American free trade area that will require at least two years of negotiation (see EUROPE 10788). The essential objective that is pursued is that of effective reciprocity on the part of third countries. The balance of commitments must in principle cover not only customs duties but also other aspects of trade - like the reciprocal opening of public contracts, investment and a number of other aspects.
Rigour and caution. The February European Council meeting adopted conclusions that draw up a real overview of the development that is under way. It has an interesting background, this text. The draft, which was initially developed by civil servants (see EUROPE 10777), was a hymn to opening up the markets - which would lead to 2% economic growth in the EU and 2 million jobs. The draft aroused some criticism at ministerial level, however - criticism that called for caution with regard to the automatic positive effects and for more rigour in the reciprocity required (see EUROPE 10778).
The text submitted to, and approved by, the summit is therefore more cautious in tone (an ambitious programme can be translated in the medium term into the above-mentioned advantages), it stresses the reciprocity of third countries and speaks of European trade defence instruments. And it points out that “the EU is focusing its efforts, in the immediate future, on developing bilateral trade relations”, mentioning some countries with optimism - China, Canada and Japan - but mentioning others with caution - Russia must first respect its commitments resulting from its WTO membership; negotiations with India require further effort; as for Mercosur, the summit limits itself to hailing the commitment to trade offers of reciprocal market access in the last quarter of the year. As for Ukraine, the countries of the Maghreb and the ACP (Africa, Caribbean and Pacific), the summit goes no further than to call for progress to be made.
And what about the multilateral negotiations under the WTO? The European summit stated that it hopes for progress ahead of the December conference in Bali and that it looks forward to the opening of negotiations on services. Furthermore, it wants a general approach that is more environmentally friendly and more competitive. This is a polite way of saying that the EU expects nothing - or almost nothing - at the multilateral level.
The commissioner's unending patience. Karel De Gucht's action began several years ago because the situation is complex and in the EU itself interests are sometimes contradictory. The illegal entry of counterfeit goods into the EU suits not only the producers and exporters of the third countries involved, but also the European importers who profit from them. At the same time, European producers who have to face unfair competition hesitate to open procedures against the fake products, fearing that their exports and their investment in the third countries concerned might be compromised. Back in May 2012 De Gucht had suggested a response - that the Commission itself introduce the complaints.
This is just one example of how the European attitude is being updated - there are many others. For example, with regard to Mercosur, De Gucht has warned against the protectionist temptation that can be seen in Argentina and Bolivia. Only a few MEPs who enjoy nice trips away and rhetoric continue to believe in the free trade area with Mercosur - which has no supranational institutions able to take decisions. The free movement of goods is not guaranteed. A bilateral agreement with Brazil would perhaps be more reasonable, as with other groups of South American countries.
On a general level, how can it be ignored that the EU is introducing ever more standards covering animal welfare? So much the better if cruelty to animals decreases in the world.
Positive aspects prevail. Free trade rules and the conditions for bringing free trade about are on the rise - but the expansion of trade is a factor for growth and well-being for everyone. Situations move on. China could become an ally of Europe - having copied thousands of European products and having sent it thousands of tonnes of them, China's production costs are going up with the growing well-being of its people, and its investments abroad are multiplying. Right now, other Asian countries are trying hard to break into the European market with low price and sometime counterfeit products - new criteria need to be negotiated with these countries too. The time for reciprocity and fairness has come.
(FR/transl.fl)