The work of the EU-US Trade and Technology Council (TTC) has proved vital to the response to Russia’s war, according to all participants of the second TTC meeting on Sunday 15 and Monday 16 May. EU Commissioners Margrethe Vestager (Competition), Valdis Dombrovskis (Trade) and Thierry Breton (Internal Market) hosted US Trade Representative Katherine Tai and US Secretary of Commerce Gina Raimondo in Paris to continue the work of the TTC.
In their joint statement, as well as when speaking to the press, the four participants recalled how the TTC’s work on export controls had allowed for early coordination on the Russian sanctions.
Encouraged by this example, they want to go even further in their cooperation. The TTC will, for example, include work on food safety, according to Commissioner for Trade Valdis Dombrovskis.
At the end of the meeting, the EU and the US agreed to focus several of the TTC’s activities on the response to Russian aggression in Ukraine. They want to support Kyiv economically in the first instance. In particular, the two transatlantic partners want to “develop common approaches and explore shared solutions toward improving supply chain resiliency”. A few days earlier, the EU presented a plan to create ‘solidarity corridors’ and help Ukraine export its grain (see EUROPE 12951/4).
In another area of action, the EU and the US want to join forces to combat Russian disinformation. This work will result in a common analytical framework to identify Russian interference and attempts to manipulate information. This common base should then lead to the establishment of a framework for cooperation in crisis situations.
This topic is closely linked to food security for TTC participants: “The truth about food insecurity is that tons of grains are prevented from leaving Ukraine because of the war. We need that narrative to spread. We agreed to find ways to cooperate on this so that we can get the facts right and that people can get the real story”, Margrethe Vestager told the press on 16 May.
Monitoring value chains
The two transatlantic partners also announced new tools on the topics on which the TTC was initially focused. They agreed, for example, to develop an early warning and monitoring mechanism on semiconductor value chains. This should allow for better preparation for supply disruptions. The risk of semiconductor shortages has been a key issue for the TTC since its inception.
The future mechanism should also offer “an information exchange to avoid a subsidy race”. This is also an important area of concern between the EU and the US, who wish to develop a set of common principles on the subject of public funding. In the semiconductor industry, in particular, “a certain level of coordination, aligned to the goal of expending the ecosystem, will be good for both European and American industries”, stressed US Secretary of Commerce Gina Raimondo.
Standardisation and advanced technology
The EU and the US have decided to launch a bilateral Strategic Standardisation Information (SSI) mechanism. They hope that this will enable them to exchange views on the development of international standards as effectively as possible.
The two partners aim to be as aligned as possible on this issue and to take a leading position in the world. Critical and emerging technologies are particularly affected as the EU and Washington seek to spread a model of technologies in line with human rights.
For example, an artificial intelligence (AI) sub-group has been created. It is working to develop a roadmap on assessment and measurement tools for trustworthy AI and risk management.
Other working channels
The TTC’s work has also advanced in other areas and has led to some concrete results such as the launch of a tripartite dialogue on trade and labour and the publication of a best practice guide for businesses on platform governance.
Export controls, barriers to trade and the environment and climate all require enhanced cooperation and coordination. Both sides also issued conclusions on the work done by each of the 10 TTC working groups.
Both partners reiterated their desire to have a sustained dialogue on trade restrictions in third countries, as well as regarding their bilateral trade. They committed to “reduce unnecessary barriers to bilateral trade and investment”, without mentioning existing disputes or a way to resolve them, as we have previously written about (see EUROPE 12952/10).
The next TTC meeting is expected to take place before the end of the year and will probably be in the US this time.
See the joint statement and the conclusions of the working groups: https://aeur.eu/f/1nr (Original version in French by Léa Marchal)