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EU trade with Latin America and the Caribbean: Overview and figures

16-12-2019

Collectively, the 33 countries forming the Community of Latin American and Caribbean States (CELAC) are the EU's fifth largest trading partner. The EU has fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three countries of the Andean Community (Colombia, Ecuador, and Peru), and agreements with Mexico and Chile that are in the process of being modernised. Furthermore, the EU has inter-regional and bilateral framework ...

Collectively, the 33 countries forming the Community of Latin American and Caribbean States (CELAC) are the EU's fifth largest trading partner. The EU has fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three countries of the Andean Community (Colombia, Ecuador, and Peru), and agreements with Mexico and Chile that are in the process of being modernised. Furthermore, the EU has inter-regional and bilateral framework agreements with both Mercosur and its individual members. The EU's agreements governing trade relations with Latin American and Caribbean subgroupings and individual countries differ considerably in terms of coverage and methodology, depending on the time at which they were concluded and the backdrop to the negotiations. The EU is currently modernising the trade pillars of its agreements with Mexico (an 'agreement in principle' was reached in April 2018) and Chile (negotiations are still ongoing) in order to align them to the current standards of EU FTAs. If the EU-Mercosur Association Agreement, which includes a trade pillar for which a political agreement was reached in June 2019, is successfully ratified, the EU would then have comprehensive agreements governing trade relations with nearly all of Latin America and the Caribbean (with the exception of Bolivia, Cuba and Venezuela).

EU trade with Latin America and the Caribbean: Overview and figures

14-09-2018

This publication provides an overview of trade relations between the EU and Latin American and Caribbean countries and groupings. The EU has fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three members of the Andean Community (Colombia, Ecuador, and Peru), and bilateral agreements with Chile and Mexico. Since November 2017, a new agreement governing trade relations with Cuba has also been provisionally applied ...

This publication provides an overview of trade relations between the EU and Latin American and Caribbean countries and groupings. The EU has fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three members of the Andean Community (Colombia, Ecuador, and Peru), and bilateral agreements with Chile and Mexico. Since November 2017, a new agreement governing trade relations with Cuba has also been provisionally applied. In addition, the EU is currently modernising its agreements with Mexico (with which it has reached an 'agreement in principle') and Chile. The EU also has framework agreements with Mercosur and its individual members (Argentina, Brazil, Paraguay, and Uruguay). The agreement with the former will be replaced, once the ongoing negotiations on an EU-Mercosur association agreement have been completed. This publication provides recent data on trade relations between the EU and Latin American and Caribbean countries and groupings, compares the main agreements governing trade relations that are already in place, and analyses the rationale behind the ongoing negotiations on the EU-Mercosur, EU-Mexico and EU-Chile agreements. This is a revised and updated edition of a publication from October 2017 by Gisela Grieger and Roderick Harte, PE 608.793.

Modernising EU-Chile trade relations

05-09-2017

Currently, EU-Chile relations are governed by the 2002 EU-Chile Association Agreement (AA). The EU would like to modernise the AA's trade pillar to keep pace with new global trade patterns and the ambitious provisions of more recent trade agreements. During the September plenary, the European Parliament is expected to adopt recommendations on the future negotiations on this modernisation. It is also asked to give its consent to the conclusion of a separate EU-Chile agreement on trade in organic products ...

Currently, EU-Chile relations are governed by the 2002 EU-Chile Association Agreement (AA). The EU would like to modernise the AA's trade pillar to keep pace with new global trade patterns and the ambitious provisions of more recent trade agreements. During the September plenary, the European Parliament is expected to adopt recommendations on the future negotiations on this modernisation. It is also asked to give its consent to the conclusion of a separate EU-Chile agreement on trade in organic products and the AA's third additional protocol to take account of Croatia's EU accession.

Chile: the government struggles to implement its reform programme

25-04-2019

Chile is a close partner of the EU in Latin America. The EU and Chile have a mutual interest in pursuing even closer ties, leading them to agree to upgrade and modernise the Association Agreement signed in 2002. They started negotiations on a modernised agreement in November 2017. President Sebastián Piñera's centre-right government took office in March 2018. Politically, the situation of the Mapuche indigenous community and stricter migration policies have dominated its first year. The government ...

Chile is a close partner of the EU in Latin America. The EU and Chile have a mutual interest in pursuing even closer ties, leading them to agree to upgrade and modernise the Association Agreement signed in 2002. They started negotiations on a modernised agreement in November 2017. President Sebastián Piñera's centre-right government took office in March 2018. Politically, the situation of the Mapuche indigenous community and stricter migration policies have dominated its first year. The government has also tabled comprehensive proposals for tax and pension reform but has found it difficult to implement its reform programme. This is largely because it lacks a majority in Congress and faces a much more diverse political landscape than in the past, making it more difficult to gain broad support for its proposals. However, it has benefited from a robust economic recovery that started in 2018 after two years of sluggish growth. Under President Piñera, Chile has adopted a tough stance against the Venezuelan government, in line with other centre-right governments in South America. Chile played a key role in the launch in March 2019 of the new organisation for regional cooperation, the Forum for the Progress of South America (Foro para el Progreso de América del Sur, PROSUR).

EU trade with Latin America and the Caribbean: Overview and figures

26-10-2017

This publication provides an overview of trade relations between the EU and Latin American and Caribbean countries and groupings. The EU has concluded fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three members of the Andean Community (Colombia, Ecuador, and Peru), and bilateral agreements with Chile and Mexico. It is currently also modernising its agreement with Mexico and intends soon to start negotiations ...

This publication provides an overview of trade relations between the EU and Latin American and Caribbean countries and groupings. The EU has concluded fully fledged agreements with two Latin American groupings (Cariforum and the Central America group), a multiparty trade agreement with three members of the Andean Community (Colombia, Ecuador, and Peru), and bilateral agreements with Chile and Mexico. It is currently also modernising its agreement with Mexico and intends soon to start negotiations on modernising its agreement with Chile. The EU has also concluded framework agreements with Mercosur and its individual members (Argentina, Brazil, Paraguay, and Uruguay). The agreement with the former will be replaced, once the on-going negotiations on an EU-Mercosur association agreement have been completed. This publication provides recent data on trade relations between the EU and Latin American and Caribbean countries and groupings, compares the agreements governing trade relations that have already been concluded, and analyses the reasons behind the ongoing and planned negotiations on the EU-Mercosur, EU-Mexico and EU-Chile agreements. This is a revised and updated edition of a publication from March 2016 by Enrique Gomez Ramirez, Eleni Lazarou, Laura Puccio and Giulio Sabbati, PE 579.086.

The effects of human rights related clauses in the EU-Mexico Global Agreement and the EU-Chile Association Agreement

10-02-2017

The democracy clause in the EU-Mexico Global Agreement and by extension the EU-Mexico Free Trade Agreement calls for respect for fundamental human rights. If these are breached, a sanctioning clause can be invoked. The widely reported violations of human rights in Mexico are tackled through political dialogue. The agreement includes cooperation articles on social policy, the results of which are non-binding. Against this background, it is difficult to make a clear link between the potential effects ...

The democracy clause in the EU-Mexico Global Agreement and by extension the EU-Mexico Free Trade Agreement calls for respect for fundamental human rights. If these are breached, a sanctioning clause can be invoked. The widely reported violations of human rights in Mexico are tackled through political dialogue. The agreement includes cooperation articles on social policy, the results of which are non-binding. Against this background, it is difficult to make a clear link between the potential effects of human rights related clauses in the Global Agreement on the human rights situation in Mexico. The EU-Chile Association Agreement (AA) also includes a comprehensive Free Trade Agreement, which is subject to the democracy clause. More developed than that in the Global Agreement, this clause calls for respect for fundamental human rights; sustainable economic and social development; and commits parties to good governance. The AA also includes a suspension clause in case of breach of the democracy clause, and cooperation provisions, the results of which are non-binding. While these are more detailed than the ones in the Global Agreement, the impact of the EU-Chile AA on the human rights situation in Chile has been limited in its extent and to specific aspects of the social policy agenda. In both cases, the monitoring mechanisms of the EU agreements have generally been implemented properly – even if civil society participation in Chile was institutionalised late. These mechanisms have played an important role in nurturing cooperation, but the incentives created have not translated into sufficient pressure for the implementation of human rights related reforms. Rather than the EU FTAs per se impacting on ensuring the respect of human rights in Mexico and Chile, it is the cumulative effect of the liberalisation of trade in the two countries, the EU-Mexico Strategic Partnership, the role of all global players, and cooperation with international donors that have encouraged reform. Ultimately, whether or not reforms in favour of respect of human rights have been adopted and implemented was the result of domestic politics in Mexico and Chile.

Parliamentary hearings of the Commissioners-designate: An analysis of the portfolios of the von der Leyen Commission

22-11-2019

This compendium brings together a set of Briefings prepared by the European Parliamentary Research Service (EPRS) to assist Members of the European Parliament in gaining an overview of the parliamentary hearings of Commissioners-designate, which took place in early October 2019, as well as additional hearings in November. These public hearings form the backdrop to Parliament's confirmation vote on the College of Commissioners put forward by Ursula von der Leyen, following her own election as Commission ...

This compendium brings together a set of Briefings prepared by the European Parliamentary Research Service (EPRS) to assist Members of the European Parliament in gaining an overview of the parliamentary hearings of Commissioners-designate, which took place in early October 2019, as well as additional hearings in November. These public hearings form the backdrop to Parliament's confirmation vote on the College of Commissioners put forward by Ursula von der Leyen, following her own election as Commission President by the European Parliament in July 2019. In addition to an overview of the process, setting it in its historical and political context, this volume contains a briefing on each of the Commissioners-designate and their portfolios. Each of these briefings highlights some of the key issues and recent developments in the portfolio, as well as recalling the Parliament's activity in the area in the last parliamentary term.

Research for AGRI Committee - Agricultural trade: assessing reciprocity of standards

15-05-2018

The aim of this study is to provide an assessment of the application of the reciprocity principle in EU agri-food trade at global level. The report provides substantial evidence for progresses occurring at worldwide level in regulatory rapprochement. Scientific cooperation, collaboration between risk assessment bodies, harmonization of control procedures and early warning systems for emerging hazards can facilitate progress in this direction, reducing transaction costs and information asymmetries ...

The aim of this study is to provide an assessment of the application of the reciprocity principle in EU agri-food trade at global level. The report provides substantial evidence for progresses occurring at worldwide level in regulatory rapprochement. Scientific cooperation, collaboration between risk assessment bodies, harmonization of control procedures and early warning systems for emerging hazards can facilitate progress in this direction, reducing transaction costs and information asymmetries in agri-food trade.

External author

A. Zezza, F. De Maria, M. R. Pupo D’Andrea, J. Swinnen, G. Meloni, S. Vandevelde, A. Olper, D. Curzi, V. Raimondi, S. Droguè

EU and ILO: Shaping the Future of Work

12-06-2019

This Report reviews the main results of some 60 years of collaboration between the European Union (EU) and the International Labour Office (ILO) and coincides with the 100th anniversary of the ILO. Started in 1958, EU-ILO collaboration has intensified over recent years, covering an ever-greater range of issues to address the future of work and the challenges it poses to the sustainability of decent work and social protection. This document was prepared by Policy Department A at the request of the ...

This Report reviews the main results of some 60 years of collaboration between the European Union (EU) and the International Labour Office (ILO) and coincides with the 100th anniversary of the ILO. Started in 1958, EU-ILO collaboration has intensified over recent years, covering an ever-greater range of issues to address the future of work and the challenges it poses to the sustainability of decent work and social protection. This document was prepared by Policy Department A at the request of the Employment and Social Affairs Committee.

External author

F. Pastore, S. Gausas, I. Styczynska et al.

Free trade or geo-economics? Trends in world trade

27-09-2019

The European Union (EU) is the biggest integrated economic zone and a guarantor of an open and predictable regulatory system able to determine its own economic destiny. But the behaviour of other global powers is increasingly calling this ability into question. China and the United States, especially, do not separate economic interests from geopolitical interests in the same way the EU does and are increasingly trying to gain geopolitical advantage using their economic might. The EU is known as ...

The European Union (EU) is the biggest integrated economic zone and a guarantor of an open and predictable regulatory system able to determine its own economic destiny. But the behaviour of other global powers is increasingly calling this ability into question. China and the United States, especially, do not separate economic interests from geopolitical interests in the same way the EU does and are increasingly trying to gain geopolitical advantage using their economic might. The EU is known as a fierce defender of a multilateral rules - based trade system with free but fair trade as its strategic policy objective. The EU will therefore do its utmost to save a ‘meaningful multilateralism’ by helping to reform the WTO, improve multilateral investment protection and conclude multilateral trade agreements. At the same time, the EU will defend its own interests by negotiating bilateral trade deals and applying trade defence and investment screening where needed. The EU has a strong interest in keeping the use of geo-economic measures manageable and avoid escalation into a trade war.

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