EU-US partnership: European Commission Proposals To Strengthen Economic And Political Relations

Today the Commission has adopted a Communication entitled “A stronger EU-US Partnership and a more Open Market for the 21st century”. This contains a wide range of practical policy proposals for a joint EU-US strategy to boost economic integration, and to strengthen the broader framework of EU–US relations. On the economic side, the Commission proposes a particular focus to improve regulatory cooperation, promotion of knowledge and innovation, and improve border arrangements. On the political side, the Communication reviews options to raise the profile of the EU-US relationship to make it more effective. The proposals in the Communication prepare the EU-US Summit on 20th June which should establish the priority sectors and measures that need to be taken to address regulatory divergences between the EU and the US. The overall goal is to promote transatlantic trade and investment and stimulate economic growth.

Commissioner for External Relations and European Neighbourhood Policy Benita Ferrero-Waldner said: “We have no more essential partnership than with the US. Our current co-operation is good, but I am determined to re-energise the relationship, to ensure it achieves its true potential”.

Trade Commissioner Peter Mandelson said: “This Communication responds to the commitment we took at the EU-US Summit last year to come forward with a strategy and practical proposals for making the transatlantic market more open and efficient. It focuses on the modern trade agenda, how to improve co-operation between our regulators and how to open markets in areas not covered by the WTO.”

The EU and the US share the largest bilateral trade and investment relationship in the world, with the overall volume of EU-US trade in goods and services totalling €600 billion in 2003. But some non-tariff and regulatory barriers continue to prevent us from benefiting from the full potential of the relationship. The Communication makes proposals in the fields of regulatory co-operation, services, investment, competition, public procurement, intellectual property rights, innovation and new technologies and the interface between trade and security. These ideas take into account views provided by the business community, environmental and consumer organisations, trade unions and other interested groups and individuals following a wide consultation process that was held by both sides in 2004.

Regulation

The Communication identifies a number of areas where we believe there should be a push for closer regulatory co-operation. A high level Regulatory Co-operation Forum is proposed ahead of each EU-US summit, to bring together senior sectoral regulators from both sides to submit an annual Roadmap with objectives and priorities for the future.

Innovation

The Communication makes a number of proposals to improve development and integration of our knowledge-based economies, and encourage innovative technologies. Proposals include identifying priority areas for research collaboration, strengthening policy dialogue on sustainable sources of energy, and satellite navigation, and promoting academic exchange.

Borders

Post September 11^th, the challenge in border management remains how to strike a balance between necessary security requirements and the facilitation of trade and passenger transport. The Communication’s key proposal in this regard focuses on the concept of “authorised economic operators” who would benefit from simplified trade procedures on both sides of the Atlantic.

The Broader Framework

The Communication sets out a number of ideas for how we might strengthen the political structures of the transatlantic partnership, building on the 1990 Transatlantic Declaration, and the 1995 New Transatlantic Agenda. Options include a new transatlantic declaration setting out common values; giving EU-US summits a more strategic focus; negotiating a new Joint Action Plan; creating a forum to discuss macroeconomic issues of common interest; and enhancing the existing ‘Legislators’ Dialogue’ between the European Parliament and the US Congress as a first step towards a “Transatlantic Assembly”.

The Communication proposes that the 2005 EU-US Summit task senior officials to explore these ideas and present a concrete project in 2006.

Results of the consultation process in 2004 can be viewed at the following website:

http://europa.eu.int:8082/comm/external_relations/us/consultation/results/index.htm