MOTION FOR A RESOLUTION on measures to address the impact on European agriculture of the WTO ruling on the Airbus dispute

25.11.2019 - (2019/2895(RSP))

to wind up the debate on the statement by the Commission
pursuant to Rule 132(2) of the Rules of Procedure

Mazaly Aguilar, Zbigniew Kuźmiuk, Veronika Vrecionová, Ruža Tomašić, Nicola Procaccini, Bert‑Jan Ruissen, Carlo Fidanza
on behalf of the ECR Group

See also joint motion for a resolution RC-B9-0197/2019

B9‑0197/2019

European Parliament resolution on measures to address the impact on European agriculture of the WTO ruling on the Airbus dispute

(2019/2895(RSP))

The European Parliament,

– having regard to the decision taken by the arbitrator of the World Trade Organisation (WTO) in the Airbus subsidy dispute (DS316) on 2 October 2019, authorising US countermeasures on EU exports worth USD 7.5 billion (EUR 6.8 billion),

– having regard to the decision of the WTO’s dispute settlement body of 14 October 2019 authorising the suspension of concessions,

– having regard to the decision taken by the US to impose additional tariffs of 25 % ad valorem on certain agricultural products as of 18 October 2019,

– having regard to Rule 132(2) of its Rules of Procedure,

A. whereas the US is a major agri-food trading partner of the EU; whereas, in 2018, EU agri-food exports to the US amounted to EUR 22.3 billion (16.2 % of all EU agri-food exports), and agri-food imports from the US amounted to EUR 12 billion;

B. whereas the United Kingdom, France, Spain, Italy, Germany and Ireland will be strongly affected by the US’ decision to impose an additional 25 % tariff on certain agri-food products, and the agri-food sectors in other EU Member States will also be adversely affected;

C. whereas the main agricultural products affected by the additional tariffs will be high-value products such as wine, Scotch whisky, olives and olive oil, and dairy products such as butter and cheese; whereas further agri-food products, such as pork meat, citrus fruits, fruit juices and prepared fruits such as cherries and pears, as well as mussels, are also targeted;

D. whereas Spanish black olive exports to the US have fallen drastically since the US slapped tariffs on the product in November 2017;

E. whereas the EU’s agricultural sectors are still suffering the severe consequences of the Russian embargo, put in place in 2014; whereas US countermeasures add further instability to the EU’s internal market, which may face further market disturbance as a consequence of the UK’s withdrawal from the EU;

F. whereas farmers and the agri-food sector are, once again, being targeted in a non-agricultural trade dispute which lies outside their influence;

G. whereas the US measures present a serious threat to the market share of high-quality European products such as wine, cheeses and whisky, both immediately and in the long term, and of aggravating the already fragile situation in certain sectors, such as the olive oil and table olives sector;

H. whereas the dispute on Boeing subsidies is still pending before the WTO;

1. Expresses deep concern that the decision taken by the US to impose countermeasures on the EU as a result of the Airbus dispute will severely impact the competitive equilibrium for agri-food products in the internal market, especially affecting small and medium-sized enterprises and cooperatives, which constitute the main socio-economic drivers in rural areas;

2. Deeply regrets the lack of a timely negotiated settlement in advance of the application of the tariffs, despite repeated calls from the agri-food sector to find a solution;

3. Calls for a swift, negotiated settlement and de-escalation of the rising trade tensions between the two parties;

4. Urges the Commission to mobilise rapid support for the worst-affected agricultural sectors and to consider a concrete plan with targeted measures to compensate farmers for internal market distortions;

5. Calls on the Commission to closely monitor the EU agri-food market in order to detect, in a timely manner, disturbances arising from the application of the tariffs, cumulative effects with other market developments, including those of the ongoing Russian embargo, and the knock-on effect of displaced products on the food supply chain;

6. Calls on the Commission to use flexibility in the management of ongoing promotion campaigns in third countries, where appropriate, and to cooperate closely with national trade promotion offices in order to enable operators to be responsive and intensify and/or refocus their actions; asks the Commission to approve additional calls for promotion in line with budgetary allocations;

7. Stresses its commitment to international trade relations and the need to diversify export markets, in particular for agri-food products, and secure market access through the elimination of persistent technical obstacles which prevent operators from taking full advantage of export opportunities;

8. Instructs its President to forward this resolution to the Council and the Commission.