the european union lecture 10.ppt

Trade Policy Lecture no. 10 The EU is the largest trader in the world Significance of EU trade The EU negotiates as one in WTO The EU pursues multilateral trade policy, but since Doha breakdown shifting to bilateral trade links The EU seeks to include non-trade issues in international trade negotiations Government procurement Environmental protection Competition Food and product safety Ethical and labour issues The development of EU trade policy An original policy Created in parallel to customs union and agriculture policy Early US pressure for European trade liberalisation Non-reciprocal preferential tariff arrangements with former colonies (ACP countries) With completion of internal market, EU promotes rule-based trading regime on the international level Institutional framework(multilateral negotiations) EU given exclusive powers in trade, now also concerning FDI, services and IPRs The Council (qualified majority) and the EP set out the trade policy Commission negotiates on a mandate from the Council Article 207 Committee accompanies Commission throughout negotiations Commission reports to Parliament Council takes decision on qualified majority unless Certain issues of FDI Cultural and audiovisual services Social services, education and health EP gives consent if agreement necessitates amendment of legislation adopted by the EP Institutional changes budget implications Institutional framework (Association agreement) Commission negotiates on trade issues on a mandate of the Council High representative negotiates on foreign and security related issues A special Council committee follows negotiations Council decides on negotiation outcome by qualified majority European Parliament consent is necessary for most agreements except those in foreign and security affairs Trade defence instruments Anti-dumping the most used instrument After a complaint from industry, Commission establishes Dumping (selling below cost) Serious injury Causality (dumping linked to injury)