Although the subject of trade relations with the United States is not on the agenda for the informal meeting of European trade ministers in Nicosia on Thursday 19 and Friday 20 February, it is likely to feature in the various discussions.
The issues on the table concern trade relations with China, preparations for the 14th World Trade Organization Ministerial Conference, and trade negotiations between the EU and its partners around the world - including the United States.
Preparations for the WTO Ministerial Conference
After a dinner in the presence of WTO Director-General Ngozi Okonjo-Iweala on Thursday evening, the ministers will devote their first Friday discussions to preparations for the Ministerial Conference in Yaoundé (Cameroon) at the end of March.
This meeting is seen as the starting point for the modernisation of the Geneva-based organisation, against a backdrop of a weakening multilateral trading system.
The ministers’ discussions should be based on the position paper presented by the European Commission on 22 January (https://aeur.eu/f/kss ).
According to a European diplomat, there is “a consensus among the Member States on how to proceed with the reform of the organisation, which is at a critical juncture”.
In addition to structural changes since the creation of the WTO in 1995, the Commission highlighted recent geopolitical tensions and the instrumentalisation of trade measures and tariffs, without explicitly mentioning the actions of the US administration.
In particular, the ministers will be discussing reform of the dispute settlement mechanism, which has been paralysed by the United States’ refusal to appoint judges to the Appellate Body.
There will also be a broader discussion of the reassessment of the unanimity principle applied in the decision-making process of the 166 members of the WTO.
Relations with China
The second session of the day will be devoted exclusively to trade relations with Beijing, which have been somewhat overshadowed recently, as one diplomat put it, “due to the unstable global environment caused by the United States”.
In his view, however, it is not possible to dissociate China from the United States. “More often than not, the tensions between these two partners influence the way the EU acts”, he said.
This informal discussion is not intended to lead to decisions on long-standing disputes. Rather, it aims to provide an update on the latest developments at a time when China is still being accused of unfair trading practices in the form of massive state subsidies.
Among other things, the ministers could refer to the European Commission’s recent acceptance of an offer of a price undertaking as part of European countervailing measures against imports of Chinese electric vehicles (see EUROPE 13806/22).
Trade negotiations in progress
Bernd Lange, Chair of the European Parliament’s Committee on International Trade (INTA), will be taking part in the working lunch to provide an update on current bilateral negotiations between the EU and other trading partners.
The calendar at the start of the year has been full, with the signing of the agreement with the Mercosur countries, the conclusion of negotiations on the free trade agreement with India and the resumption of talks with Australia, which have been given fresh impetus in response to pressure from the United States (see EUROPE 13795/1).
The signing of agreements with Indonesia and Mexico will also be discussed quickly, as well as the continuing negotiations with the United Arab Emirates, several ASEAN partners, Malaysia and the Philippines.
Mr Lange is also the lead rapporteur on EU-US relations. He is therefore expected to report on the INTA Committee’s position, which will be voted on in a few days’ time, on the regulations backing up the bilateral trade commitment of July 2025 and enabling tariffs on a series of US products to be reduced or eliminated (see EUROPE 13805/14).
The aim of the Cyprus Presidency of the Council of the EU is to conclude the forthcoming inter-institutional negotiations as quickly as possible (see EUROPE 13762/15). (Original version in French by Pauline Denys)