At a Meeting of the Trade Ministers of the Member States of the European Union on Thursday 21 November, at which several broad policy debates took place (see EUROPE 12373/5 and other news), the subject of transatlantic relations did not require extensive discussions. In essence, Europeans want to stay on course with the Positive Agenda between the EU and the United States, as identified by US President Donald Trump and Commission President Jean-Claude Juncker in July 2018. But this is easier said than done.
Bye bye, sanctions?
Cecilia Malmström, European Commissioner for Trade, wants to believe that the Positive Agenda has removed the threat of tariff sanctions on imports of European cars under Section 232 of the Trade Expansion Act (see EUROPE 12256/12, 12195/1).
Indeed, after having postponed his decision once, President Trump did not make any comments on 13 November, and the deadline passed without any news from the White House.
“This means that both sides continue to respect the agreement done by presidents Juncker and Trump last July, where we said that, as long as we have this positive agenda, we would not impose any new tariffs”, Malmström told the press at the end of the session.
All while playing for time: “Of course, the threat is not entirely gone and we are mindful of that”, but the appetite for these new tariffs seems to be at its lowest level, she said. In addition, there are “severe legal limitations” on the application of tariffs after the deadline, according to a recent decision from the US Court of International Trade.
Ministers therefore wish to redouble their efforts to make progress on their Positive Agenda.
What dialogue?
But it takes two to have a dialogue, Commissioner Malmström also admitted. And the transatlantic partners’ crossed monologues are struggling to find points of intersection.
The American idea of a mini-package of negotiating topics, mentioned a few weeks ago and containing mainly lobsters and chemical products, has not been echoed by the Europeans (see EUROPE 12370/20).
As for the integration of agricultural issues into the talks, as requested by Washington, the idea is still not on the table in the EU - at least for the time being. “We want to see traction first” on the mandates that are currently on the table, Sigrid Kaag, Dutch Minister for Foreign Trade, told the press, as a “confidence-building measure both ways”. Then, “potentially one can have a broader conversation”, she added.
The Union will therefore continue to focus on the easiest targets on its positive agenda, starting with conformity assessment negotiations. “We have sent the United States our proposal for a text on an agreement on conformity assessment; we are also working on some standards and we are waiting for a response from the United States on this”, Malmström said.
Airbus
Finally, the ministers reviewed the impact of the sanctions applied by the United States under the WTO arbitrator’s conclusions in the dispute on the aircraft manufacturer Airbus and the need for compensation for the most affected sectors (see EUROPE 12350/17, 12348/7, 12346/11).
The EU will continue to work towards a negotiated solution, but the proposal for transatlantic collaboration to establish rules on how to support aircraft manufacturers remains, to date, a dead letter. (Original version in French by Hermine Donceel)