In his presentation to the OECD Global Forum on Responsible Business Conduct, European Commissioner Phil Hogan set out, on Tuesday 19 May, the first elements of the European Commission's response to the European Parliament and the EU Council, which calls on the institution to strengthen its work on international production chains.
There will be a “new normal” after the Coronavirus pandemic, Hogan said, calling on other OECD members to seize this opportunity to address “some of the shortcomings in the functioning and governance of global trade”. He also cited the establishment of strategic stocks of medical equipment, the diversification and solidification of supply chains, and the strengthening of European protection instruments against unfair practices.
Now is also the time to assess how businesses can be supported in making this transition, he said. He added that the review of European trade policy would be carried out, among other things, with this in mind.
He also introduced a new model that the EU would advocate: that of “Open Strategic Autonomy” between a Europe that is “open for business” and one that “protects its people and companies”.
This would result, in particular, in the development of specific initiatives, such as European legislation on due diligence or conflict minerals. The latter could serve as a basis for further reflection at EU level, he emphasised.
Mr Hogan added that he will work closely with Justice Commissioner Didier Reynders, who is leading the work on reviewing options for regulating due diligence. Mandatory and horizontal due diligence legislation is expected by 2021. (Original version in French by Hermine Donceel)