eu trade policy and ceta - carleton university · new eu trade policy •global europe strategy,...
TRANSCRIPT
EU Trade Policy
and CETA
The EU – a major trading power
European Commission, 2013
The EU – a major trading power
% of global exports,
goods, 2012
Others
55%
EU
15%
United States
11%
Japan
5%
China
14%
% of global exports,
services, 2012
Others
42%
EU
25%
United States
18%
Japan
4% China
6%
India
5%
Europa, 2013
Share of EU27 (excluding intra-EU trade),
USA, Japan and China in world trade in
goods (%)
Source: European Commission (2013)
Ten major EU export partners (2012)
European Commission, 2013
Ten major import partners (2012)
European Commission, 2013
7.9%
28.9%
56.2%
7.0%
Agricultural products
(Food (incl. Fish) & Raw
Materials)
Fuels
Manufactures
Other products
7.5% 6.5%
80.1%
6.0%
24.1%
14.3% 61.6%
0.1%
24.2%
20.2% 52.6%
3.0% Transportation
Travel
Other Commercial
Services (excl.
Government services)
Imports EU Trade in Goods (2011) Exports
EU Trade in Commercial Services (2010)
European Commission, 2013)
Major investment partners (2011)
European Commission, 2013
146
1
52 39
51 42
15 32 35 29
248
146
0
50
100
150
200
250
300
EU
27
Can
…
EF
TA
Russ
ia
Chin
a
Japan
Sout…
AS
E…
Lat
i…
Can
ada
US
A
Oth
er
104
8 6 31
80
-1
5
60 85
18
172
245
-50
0
50
100
150
200
250
300E
U27
Can
did
a…
EF
TA
Russ
ia
Chin
a
Japan
South
…
AS
EA
N
Lat
in…
Can
ada
US
A
Oth
er
FDI Inflows (2010) (bil. Euros) FDI Outflows (2010) (bil. Euros)
EU27
24.4%
Candidate
s
1.4% EFTA
4.5%
Russia
2.6% China
3.6% Japan
1.3%
South
Korea
0.8%
ASEAN
5.8%
Latin
America
8.1%
Canada
3.5%
USA
21.3%
Other
22.8% EU27
32.6%
Candidates
0.2% EFTA
6.4%
Russia
2.5% China
1.7% Japan
4.9%
South
Korea
0.8%
ASEAN
2.5%
Latin
America
2.4%
Canada
3.6%
USA
28.5%
Other
13.9%
FDI Inward Stock (2010) FDI Outward Stock (2010)
European Commission, 2013
EU trade policy:
History
• Treaty of Rome (1957): “an ever closer union among the peoples of Europe.”
– The first common policy.
– Progressive elimination of internal tariffs by 1969- Formation of
a free trade area (FTA) for the EEC with the gradual elimination
of tariffs, quotas and other barriers to trade among members.
– Creation of a uniform tariff schedule applicable to the imports
from the rest of the world: formation of a custom union.
– Single European Act (1986): four freedoms of movement: goods,
services, capital and people.
EU Trade policy: Basic features
Multilateral Bilateral/ Regional
Unilateral
3 DIMENSIONS
The three dimensions
do not conflict
EU trade policy:
Institutional framework
European Commission, 2013
New EU trade policy
• Global Europe Strategy, 2006:
– “an integrated approach to trade policy, linking the internal and external aspects of the EU’s competitiveness” (EC);
– Increased market access (tariffs, NTBs);
– New generation of trade agreements.
• Europe 2020, 2010: – Completion of current negotiating agenda;
– Deepen trade relations with other strategic partners;
– Help European businesses access global markets;
– Create opportunities for investors;
– More assertive approach to enforcement;
– Share the benefits of the global economy.
Why a new trade policy?
• Globalisation;
• Loss of competitiveness;
• Shift in global powers;
• Economic crisis.
Bilateral agreements
European Commission, 2013
Bilateral agreements
European Commission, 2013
European Commission, 2013
FTA partners and trade in goods
Source: European Commission (July 2012)
Canada’s trade policy
• Run by the Federal Government
• Canada’s Global Commerce Strategy:
– Pro-trade plan: since 2006:
• Nine free trade agreements: Panama, Jordan, Colombia, Peru, Honduras, European Free Trade Association (Norway, Switzerland, Iceland, Lichtenstein).
• Deep economic and trade agreement with the EU;
• Negotiations with Japan and India;
• Joined Trans-Pacific Partnership (TPP): Australia, Brunei, Chile, Canada, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States, and Vietnam.
Canada’s top export destinations (goods) 2012
EU, DG Trade 2013
Canada’s top export commodities
(2010)
$ millions %
Exports 404,834 100.0
Agricultural and fishing
products 36,938 9.1
Forestry products 21,851 5.4
Energy products 90,886 22.5
Industrial goods and
materials 96,489 23.8
Machinery and equipment 76,095 18.8
Automotive products 56,783 14.0
Other consumer goods 16,428 4.1
Other 9,364 2.3
Services exports – top partners (2011)
2006 2007 2008 2009 2010 2011 %2011
Government of Canada, 2013
Main services exports
Government of Canada, 2013
Canada’s top import sources (goods) 2012
EU, DG
Trade, 2013
Canada’s top import commodities
(2010) $ millions %
Imports 413,833 100.0
Agricultural and fishing
products 29,579 7.1
Forestry products 2,648 0.6
Energy products 40,549 9.8
Industrial goods and materials 86,926 21.0
Machinery and equipment 113,878 27.5
Automotive products 68,713 16.6
Other consumer goods 57,771 14.0
Other 13,770 3.3
Government of Canada, 2013
Services imports – top partners (2011)
2006 2007 2008 2009 2010 2011 %2011
Government of Canada, 2013
Main services imports
Government of Canada, 2013
EU – Canada relations
• 1976: Framework Agreement for Commercial
and Economic Cooperation;
• Bilateral agreements on various trade issues:
– 1998: Customs Cooperation Agreement;
– 1999: Veterinary Agreement;
– 2003: Wine and Spirits Agreement;
– 2009: Comprehensive Air Transport Agreement.
EU – Canada relations
• 2012:
– Canada – the 12th most important trading partner
for the EU (1.8% of EU external trade in goods)
– EU – the 2nd most important trading partner for
Canada (9.5% of Canada external trade in goods)
• Important trading partners in services
• EU is Canada’s second largest source and
destination of investment (2009)
EU-Canada trade relations
EU-Canada trade in services
Eurostat, 2011
EU-Canada trade in services (2010)
Eurostat, 2011
EU-Canada foreign direct investment
Eurostat, 2011
EU-Canada foreign direct investment
Eurostat, 2011
Comprehensive Economic and Trade
Agreement (CETA)
• October 2008: Joint Study, Assessing the Costs
and Benefits of a Closer EU-Canada Economic
Partnership:
– EU GDP increase by 0.08%;
– Canada GDP increase by 0.77% ($12 billion
benefit);
• May 2009: Launch of CETA negotiations;
• October 2013: CETA signed.
Comprehensive Economic and Trade
Agreement (CETA): Scope
• Trade in goods: non-agricultural and agricultural
• Regulatory measures: sanitary and phytosanitary issues;
technical barriers to trade
• Customs procedures and rules of origin
• Cross-border trade in services, including mutual
recognition of professional qualifications
• Investment
• Central and sub-central government procurement
• Regulatory cooperation (laws and procedures)
• Intellectual property
• Temporary movement of business persons
• Competition policy and related matters (monopolies and
state enterprises)
• Institutional arrangements and dispute settlement
• Sustainable development
Comprehensive Economic and Trade Agreement (CETA): Scope