The conditions are not yet in place for Paris to approve two negotiating directives that would allow the European Commission to negotiate a limited trade agreement with Washington, French President Emmanuel Macron told the European Council on Friday 22 March.
The two mandates – one on the elimination of customs duties and the other on industrial products and conformity assessment – were proposed by the European Commission last January (see EUROPE 12175/1). The launch of this new phase of transatlantic trade relations would facilitate transatlantic trade, while avoiding an escalation of trade tensions.
While the subject was not to be officially on the European Council's agenda, a sentence had been added to the draft conclusions (see EUROPE 12218/3).
However, neither the circumstances nor the guarantees are yet sufficient for Paris.
“If we were to move forward, we could only do so with guarantees, the first in terms of the environment”, Mr Macron said at a press conference. “I am not in favour of having new trade agreements [...] with partners who do not have the same climate requirements as us”, the French president said. “This would be unfair competition for our companies, our farmers, all those on whom these standards are imposed”, he said.
Nevertheless, Paris is not opposed to validating a strict tariff mandate, if assurances are there. The subject is still under discussion, particularly with Germany, but France is demanding more safeguards. It therefore needs “a little more time” before it can give the green light to launch the talks, confirmed a source from the Elysée Palace.
On the German side, Berlin wants a clear signal to be sent to Washington in favour of launching trade negotiations. Industry fears that Washington will apply new tariff measures on European car exports as early as 17 May (see EUROPE 12195/1).
In the meantime, European diplomats are still working on the negotiating directives, in order to introduce language that will alleviate people's concerns, in particular the impossibility of reopening the TTIP negotiations in a roundabout manner (see EUROPE 12171/10).
To see the conclusions of the European Summit: http://bit.ly/2UQbgjJ (Original version in French by Hermine Donceel with editorial staff)