818

risultato/i

Parola(e)
Tipo di pubblicazione
Settore di intervento
Autore
Parole chiave
Data

Resilience of global supply chains: Challenges and solutions

25-11-2021

The growing importance of global supply chains has fundamentally changed the way the global economy and goods manufacturing are organised. While trade conducted through global supply chains has fallen somewhat as a share of total trade since the 2008-2010 global financial and economic crisis, more than two-thirds of international trade still involves transactions made possible by such chains. The EU is profoundly involved in these production chains, more so than most other countries, and significantly ...

The growing importance of global supply chains has fundamentally changed the way the global economy and goods manufacturing are organised. While trade conducted through global supply chains has fallen somewhat as a share of total trade since the 2008-2010 global financial and economic crisis, more than two-thirds of international trade still involves transactions made possible by such chains. The EU is profoundly involved in these production chains, more so than most other countries, and significantly more than both the United States and China. The pandemic disrupted many supply chains at its outbreak, and the subsequent economic recovery, the strongest on record, led to enormous further strain on the global supply system; surging demand, coupled with shortages of workers, ships, containers, air cargo space and clogged ports, created a 'perfect storm'. Supply chain bottlenecks are starting to weigh on the economic recovery, slowing growth and leading to delays, holding back the manufacturing sector and fuelling inflation. The EU had recognised its strategic dependence on some foreign inputs even before the pandemic, and had started to seek ways to increase its autonomy – a quest which has been accelerated by the impact of the coronavirus. To improve the resilience of supply chains, the EU is applying a policy mix that aims to increase domestic capacity, diversify suppliers and support the multilateral rules-based trade environment; it has also enhanced its cooperation with the US on supply chains. Other like-minded countries apply a similar policy mix, focusing on supporting reshoring or nearshoring. While this situation is not ideal, global supply chains are hard to reconfigure, and increasing their resilience is a time-consuming and costly process. Moreover, most experts predict that reshoring or nearshoring will be of limited importance. With time, though, resilience may improve through international cooperation, diversification and the accelerated uptake of digital technologies.

Policy Departments’ Monthly Highlights - November 2021

17-11-2021

The Monthly Highlights publication provides an overview, at a glance, of the on-going work of the policy departments, including a selection of the latest and forthcoming publications, and a list of future events.

The Monthly Highlights publication provides an overview, at a glance, of the on-going work of the policy departments, including a selection of the latest and forthcoming publications, and a list of future events.

The level playing-field for labour and environment in EU-UK relations

15-11-2021

The level playing-field (LPF) provisions of the Trade and Cooperation Agreement (TCA) between the European Union (EU) and the United Kingdom (UK) constitute a key part of the agreement, and are the product of some of the more challenging issues in the negotiations. The LPF provisions seek to safeguard fair competition between the parties. A notable component are the rules on social provisions, labour, environment and climate change, often referred to as the 'trade and sustainable development' (TSD ...

The level playing-field (LPF) provisions of the Trade and Cooperation Agreement (TCA) between the European Union (EU) and the United Kingdom (UK) constitute a key part of the agreement, and are the product of some of the more challenging issues in the negotiations. The LPF provisions seek to safeguard fair competition between the parties. A notable component are the rules on social provisions, labour, environment and climate change, often referred to as the 'trade and sustainable development' (TSD) chapters in other free trade agreements. The trading relationship between the EU and the UK is fundamentally different from that between the EU and other countries. Indeed, not only was the UK a Member State of the EU until 31 January 2021 and (almost all) EU laws applied to the UK until the end of the transition period on 31 December 2020, but the two economies are also close and strongly-interconnected neighbours. The TCA was therefore designed to ensure that a LPF continues post-Brexit. This could be achieved by maintaining levels of protection at the end of the transition period, as well as by either avoiding significant divergences in the future or by taking appropriate (rebalancing) measures. To this end, the TCA requires that parties do not weaken or reduce their levels of social, labour and environmental protection below those in place at the end of 2020 (non-regression). Existing commitments and ambitions on climate change, in particular on climate neutrality by 2050, remain in place for both parties. In addition, the TCA introduces a mechanism whereby a party can take appropriate rebalancing measures to offset any (adverse) 'material impacts on trade or investment' arising from 'significant divergences' between parties. It also allows either party to request a review with a view to amending the agreement, and either party can opt to terminate the trade chapters if the envisaged amendment is not satisfactory. The TCA LPF provisions on labour and environment, in view of the LPF focus, strengthen the enforcement of non-regression provisions by allowing for remedial measures in the event of non-compliance, and also reinforce the precautionary approach. The TCA also represents a notable innovation with its rebalancing and review provisions. This Briefing updates an earlier one, published in April 2021.

Rules of origin in EU trade agreements

10-11-2021

The European Commission is currently in the process of simplifying and harmonising the rules of origin for EU trade agreements, with the aim of enhancing the effectiveness of the latter. Indeed, there is a general perception that the complexity of the rules and their lack of harmonisation across EU trade agreements, together with burdensome certification procedures, may be deterring some business managers from making use of the preferential trade tariffs allowed by the agreements. Rules of origin ...

The European Commission is currently in the process of simplifying and harmonising the rules of origin for EU trade agreements, with the aim of enhancing the effectiveness of the latter. Indeed, there is a general perception that the complexity of the rules and their lack of harmonisation across EU trade agreements, together with burdensome certification procedures, may be deterring some business managers from making use of the preferential trade tariffs allowed by the agreements. Rules of origin govern the conditions under which an imported good is recognised as 'originating' in a preference-given country and eligible for preferential trade tariffs. Provisions on rules of origin cover two major areas. First, the conditions for conferring origin are designed on a product-by-product basis, following principles typically based on processing operations and/or share of input. An essential part of this process also consists of determining to what extent origin rules may 'cumulate' materials and operations, not only in the parties to trade agreements, but also in third countries (under specific conditions). A second aspect is the certification procedure for origin, including product consignment conditions. The EU's reform process touches on all of these areas. It started with the reform of the generalised scheme of preferences in 2011, a unilateral trade arrangement designed by the EU for developing countries that inspired the EU's subsequent trade agreement negotiations. In some cases, the EU also promotes a more advanced cumulation system, particularly within the pan-Euro-Mediterranean system, to promote economic integration with neighbouring trading partners. Finally, the EU supports the use of flexible consignment rules that take into account increasingly globalised inventory management. It also encourages the use of self-certification by exporters as opposed to exporting authorities. Rules of origin are complex and rely on negotiations with partner countries, and their harmonisation poses a genuine challenge for the EU. In its latest trade policy review published in February 2021, the Commission announced that policy actions on rules of origin are still needed. The modernisation of the rules of origin is supported by the European Parliament, which has argued that they determine the 'true extent of trade liberalisation'.

EU international procurement instrument

20-10-2021

Government procurement forms an important part of national economies. The EU has opened up its public procurement markets to third countries to a large degree, while many other economies have had limited appetite to liberalise market access. In 2012, the European Commission tabled a proposal for an international procurement instrument (IPI). The IPI would give the EU leverage in negotiating the reciprocal opening of public procurement markets in third countries. The Commission revised the proposal ...

Government procurement forms an important part of national economies. The EU has opened up its public procurement markets to third countries to a large degree, while many other economies have had limited appetite to liberalise market access. In 2012, the European Commission tabled a proposal for an international procurement instrument (IPI). The IPI would give the EU leverage in negotiating the reciprocal opening of public procurement markets in third countries. The Commission revised the proposal in 2016, taking on board some recommendations from Council and Parliament. However, the revised proposal did not advance owing to differences in Member States' positions. In 2019, discussions in Council gathered new momentum in the context of a growing recognition of the need to level the playing field in international trade. In June 2021, Council adopted a negotiating mandate that added the threat of market exclusion to the price adjustment mechanism. Once Parliament's position on the revised IPI proposal has been finalised, the three institutions will launch trilogue negotiations. These are likely to centre on the scope and type of measures necessary to encourage reciprocity. Second edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Foreign subsidies and public procurement

30-09-2021

The EU has helped shape an international economic system based on openness and fair competition. Over the past few years, the benefits of this approach have come under pressure from foreign trade practices which undermine the principle of recip¬rocal treatment. In particular, this is the case with subsidies granted by non-EU governments and protected public procurement markets. This in-depth analysis reviews the state of play of EU policy action on foreign subsidies and in public pro¬curement markets ...

The EU has helped shape an international economic system based on openness and fair competition. Over the past few years, the benefits of this approach have come under pressure from foreign trade practices which undermine the principle of recip¬rocal treatment. In particular, this is the case with subsidies granted by non-EU governments and protected public procurement markets. This in-depth analysis reviews the state of play of EU policy action on foreign subsidies and in public pro¬curement markets and identifies gaps in existing EU instruments. The analysis shows that the EU took the initiative with: (i) the completed FDI screening and trade defence reforms; (ii) the proposal for an International Procurement Instrument; and (iii) the proposal for a Regulation targeting the distortive effects of foreign subsidies. In addi¬tion, the EU is taking the lead at the multilateral level, promoting coordinated action in the WTO, G7, G20, OECD, and GAMS fora.

Autore esterno

Michael BÖHEIM, Nazareno BRAITO, Davide CECCANTI, Davide FINA, Duy HUYNH-OLESEN, Cécile JACOB, Katarína KUBOVICOVÁ

The Human Right to Drinking Water: Impact of large-scale agriculture and industry

30-09-2021

Access to safe drinking water is a human right. It is indispensable to a healthy, dignified and productive life. However, a significant proportion of the global population is not able to enjoy this human right. The purpose of this in-depth analysis is to consider the impacts of large-scale agricultural activity and industry on the progressive realisation of the human right to drinking water. In particular, it considers how the European Union and the European Parliament can better support non-EU countries ...

Access to safe drinking water is a human right. It is indispensable to a healthy, dignified and productive life. However, a significant proportion of the global population is not able to enjoy this human right. The purpose of this in-depth analysis is to consider the impacts of large-scale agricultural activity and industry on the progressive realisation of the human right to drinking water. In particular, it considers how the European Union and the European Parliament can better support non-EU countries to realise this human right. States and businesses have obligations and responsibilities towards citizens to ensure safe drinking water. However, fulfilling these obligations and responsibilities is in contention with competing water uses and economic considerations and marred by poor enabling environments and power dynamics. Achieving the human right to drinking water needs to be considered in the context of trade-offs emerging from the water-food-energy nexus where water use in one sector can have impacts on others. Virtual water embedded in the trade of agricultural goods demonstrates that demand for food can affect local water availability, posing challenges to ensuring the human right to drinking water in these places. Existing good practices focus on better recognition of obligations and responsibilities through a human rights-based approach, improved assessments of impacts, enhanced stakeholder engagement and mechanisms for due diligence. There are opportunities for the EU to extend the discussion on the human right to drinking water with other interlinked rights, noting the complex and integrated impacts of water resources.

Autore esterno

• Dr Naho MIRUMACHI • Dr Aleksandra DUDA • Jagoda GREGULSKA • Joanna SMĘTEK

EU-US Trade and Technology Council: New forum for transatlantic cooperation

27-09-2021

In December 2020, the European Commission proposed the creation of the EU-US Trade and Technology Council (TTC), to facilitate trade, expand investment, develop compatible standards, boost innovation and strengthen the partners' technological and industrial leadership. The TTC also aims to 'lead values-based digital transformation'. Meanwhile, trade between the EU and US continues and is as important as ever, manifested in the fact that, together, they form the largest bilateral economic relationship ...

In December 2020, the European Commission proposed the creation of the EU-US Trade and Technology Council (TTC), to facilitate trade, expand investment, develop compatible standards, boost innovation and strengthen the partners' technological and industrial leadership. The TTC also aims to 'lead values-based digital transformation'. Meanwhile, trade between the EU and US continues and is as important as ever, manifested in the fact that, together, they form the largest bilateral economic relationship in the world, with the largest global data flows across the Atlantic. However, in recent years, transatlantic trade and technology policy relations have been marked by low levels of cooperation and a number of sources of tension. The 2021 change of administration in Washington nevertheless reinvigorated the relationship between the two. The TTC was formally launched during the EU-US Summit on 15 June 2021. High-level politicians will guide the Council, while the groundwork will be carried out in ten working groups, comprised of experts from both partners. They will cover issues such as common standards, resilient supply chains, tech regulation, global trade challenges, climate and green tech as well as investment screening and export controls. The establishment of the TTC has been widely welcomed by stakeholders and the think-tank community as an important step towards bridging existing gaps and moving on with a forward-looking agenda, focused on strategic areas and new ways of cooperation. While there is a genuine will to work together on common challenges, some difficult issues such as unresolved issues from the past and different approaches to regulating digital markets persist, and it remains to be seen whether the TTC will lead to the creation of an ambitious joint policy that influences trade and technology worldwide. The first meeting is due to take place on 29 September 2021 in Pittsburgh, Pennsylvania.

World Trade Organization TRIPS waiver to tackle coronavirus

16-09-2021

The coronavirus pandemic has rekindled the global debate on whether the multilateral trade regime for intellectual property rights (IPR) protection limits access to essential medical products. Despite embedded flexibilities in the World Trade Organization (WTO) Agreement on Trade-related Intellectual Property Rights (TRIPS), India and South Africa, co-sponsored by a large number of developing countries, submitted an initial proposal for a temporary waiver in response to Covid-19 in October 2020, ...

The coronavirus pandemic has rekindled the global debate on whether the multilateral trade regime for intellectual property rights (IPR) protection limits access to essential medical products. Despite embedded flexibilities in the World Trade Organization (WTO) Agreement on Trade-related Intellectual Property Rights (TRIPS), India and South Africa, co-sponsored by a large number of developing countries, submitted an initial proposal for a temporary waiver in response to Covid-19 in October 2020, followed by a revised proposal in May 2021, which continues to divide opinion. The US administration voiced its support for a vaccines waiver. EU leaders indicated an openness to discussion, while putting forward an alternative plan with a focus on limiting export restrictions, compulsory licensing and using the existing TRIPS flexibilities.

Trends in Chinese reporting on the European Union: Xinhua's coverage of EU affairs, 2012-2021

10-09-2021

The main Chinese news service, Xinhua, has steadily expanded its coverage on the European Union over the past decade. The main challenges facing the Union have featured strongly, from the refugee crisis to Brexit to the impact of Covid 19. The tone of the coverage in this period has been neutral, rather than negative, and has not become more critical during the pandemic. Internal EU policies are often put in a favourable light, although internal divisions also feature in Xinhua's reporting. Xinhua ...

The main Chinese news service, Xinhua, has steadily expanded its coverage on the European Union over the past decade. The main challenges facing the Union have featured strongly, from the refugee crisis to Brexit to the impact of Covid 19. The tone of the coverage in this period has been neutral, rather than negative, and has not become more critical during the pandemic. Internal EU policies are often put in a favourable light, although internal divisions also feature in Xinhua's reporting. Xinhua tends to emphasise EU cooperation with China and EU divisions with the United States. It also criticises EU sanctions and human rights complaints, both about China – for example on Xinjiang and Hong Kong – and about countries including Russia and Turkey. These trends are in line with China's long-standing stated preference for the EU to become a pole in a multipolar world order that is able to balance US power, despite its disapproval of the EU's pursuit of human rights issues. Xinhua's coverage emphasises both the opportunities and the challenges facing European integration. This dual approach tends to support the view that China is ambiguous about the EU's ability to become a more influential and more useful strategic partner on the world stage. This briefing is based on a quantitative and qualitative analysis of Chinese-language online articles by the state-affiliated Xinhua News Agency since 2012, as well as a selection of secondary sources.

Prossimi eventi

29-11-2021
The Mutual Defence Clause (Article 42(7) TEU) in the face of new threats
Audizione -
SEDE
29-11-2021
Competitiveness of EU agriculture
Audizione -
AGRI
30-11-2021
Eliminating Violence against Women - Inter-parliamentary committee meeting
Altro evento -
FEMM

Partner