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Challenges and concerns for small and medium-sized enterprises (SMEs) doing business in third countries

08-03-2021

This briefing discusses the main challenges and concerns for SMEs doing business in third countries. First, we show the current situation of European SMEs with respect to internationalisation and highlight the corresponding benefits. Second, based on previous literature on the topic, we distinguish between SMEs without international operations and SMEs that are already internationalised and discuss how different barriers can affect them.

This briefing discusses the main challenges and concerns for SMEs doing business in third countries. First, we show the current situation of European SMEs with respect to internationalisation and highlight the corresponding benefits. Second, based on previous literature on the topic, we distinguish between SMEs without international operations and SMEs that are already internationalised and discuss how different barriers can affect them.

Ārējais autors

Nazareno BRAITO, Davide CECCANTI, Duy HUYNH-OLESEN

State of play of EU-Australia FTA talks

02-12-2020

In May 2018, the Council authorised the Commission to negotiate a free trade agreement (FTA) with Australia. Negotiations were officially launched in June 2018. Between July 2018 and September 2020, eight negotiation rounds took place. The first chapter of the prospective EU-Australia FTA, concluded at the technical level, is on small and medium-sized enterprises. The ninth negotiation round started on 30 November 2020.

In May 2018, the Council authorised the Commission to negotiate a free trade agreement (FTA) with Australia. Negotiations were officially launched in June 2018. Between July 2018 and September 2020, eight negotiation rounds took place. The first chapter of the prospective EU-Australia FTA, concluded at the technical level, is on small and medium-sized enterprises. The ninth negotiation round started on 30 November 2020.

International Agreements in Progress - EU–China Comprehensive Agreement on Investment: Levelling the playing field with China

11-09-2020

Lack of reciprocity in access to the Chinese market and the absence of a level playing field for EU investors in China have posed major challenges for EU-China investment relations in recent years, with the negotiation of a comprehensive agreement on investment (CAI) being considered by the EU a key instrument to remedy this state of play. The CAI negotiations are aimed at establishing a uniform legal framework for EU-China investment ties by replacing the 25 outdated bilateral investment treaties ...

Lack of reciprocity in access to the Chinese market and the absence of a level playing field for EU investors in China have posed major challenges for EU-China investment relations in recent years, with the negotiation of a comprehensive agreement on investment (CAI) being considered by the EU a key instrument to remedy this state of play. The CAI negotiations are aimed at establishing a uniform legal framework for EU-China investment ties by replacing the 25 outdated bilateral investment treaties (BITs) China and EU Member States concluded prior to the entry into force of the Lisbon Treaty in 2009 when the EU gained competence for most investment issues. The CAI is intended to go far beyond traditional investment protection to also cover market access, investment-related sustainable development, and level playing field issues, such as transparency of subsidies, and rules on state-owned enterprises (SOEs) and forced technology transfer. Although leaders at the 2019 EU-China Summit jointly committed to concluding the CAI talks in 2020, lack of engagement at the highest political level on the Chinese side has raised doubts as to whether a breakthrough can be reached in time, with China more focused on navigating the uncertainties of its relations with the United States from January 2021. First edition. The 'International Agreements in Progress' briefings are updated at key stages throughout the process, from initial discussions through to ratification.

Access to the international market for coach and bus services

16-04-2019

The European Union aims to ensure that road transport rules are applied effectively and without discrimination. The current rules governing the access to the international market for coach and bus services appear to have been only partly effective in promoting this mode of transport. There are still differences in rules on access to national markets, differences in openness of national markets, diverse national access arrangements and discrimination in access to terminals in some EU countries. In ...

The European Union aims to ensure that road transport rules are applied effectively and without discrimination. The current rules governing the access to the international market for coach and bus services appear to have been only partly effective in promoting this mode of transport. There are still differences in rules on access to national markets, differences in openness of national markets, diverse national access arrangements and discrimination in access to terminals in some EU countries. In an attempt to address the issue, the European Commission adopted a legislative proposal on 8 November 2017 to amend the EU rules for access to the international market for coach and bus services. The proposal is part of its 'Europe on the Move' package, which aims to modernise European mobility and transport. The European Parliament adopted its position on the proposal on 14 February 2019. However, interinstitutional negotiations cannot yet begin, as the Council has not reached a common position on the file. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Towards a new EU policy approach to China: 21st EU-China Summit – April 2019

08-04-2019

With the European Parliament elections set for May 2019, the 21st EU-China Summit has been advanced, to be held in Brussels on 9 April 2019, only nine months after the previous one. The 2018 summit's joint statement captured a broad range of deliverables that had been achieved over a three-year period, since the EU and China had failed to agree on joint statements in 2016 and 2017. Considering that not even the short-term commitments on the trade and investment agenda from 2018 have been met, that ...

With the European Parliament elections set for May 2019, the 21st EU-China Summit has been advanced, to be held in Brussels on 9 April 2019, only nine months after the previous one. The 2018 summit's joint statement captured a broad range of deliverables that had been achieved over a three-year period, since the EU and China had failed to agree on joint statements in 2016 and 2017. Considering that not even the short-term commitments on the trade and investment agenda from 2018 have been met, that the context of US-China great power competition looms large and that the EU has adopted more assertive language in its recently issued EU-China strategic outlook, it remains to be seen whether meaningful outcomes will be reached at this year's summit.

International Agreements in Progress: Bilateral trade deal with Japan – largest to date for EU

01-02-2019

Following the signature of the EU-Japan Economic Partnership Agreement (EPA) in July 2018, and the conclusion of the ratification procedures by both partners at the end of 2018, the agreement entered into force on 1 February 2019. The agreement is the EU's largest bilateral trade agreement to date. It establishes a free trade area with a combined market of around 640 million consumers, accounting for roughly a third of the world's gross domestic product (GDP). The European Commission's analysis of ...

Following the signature of the EU-Japan Economic Partnership Agreement (EPA) in July 2018, and the conclusion of the ratification procedures by both partners at the end of 2018, the agreement entered into force on 1 February 2019. The agreement is the EU's largest bilateral trade agreement to date. It establishes a free trade area with a combined market of around 640 million consumers, accounting for roughly a third of the world's gross domestic product (GDP). The European Commission's analysis of the economic impact of the agreement, published in June 2018, indicated that the EU's GDP could rise by approximately 0.14 %, and EU exports to Japan by around €13 billion by the time the EPA is fully implemented in 2035. The agreement will provide for significant economic opportunities for sectors such as agri-food and textiles, and it is predicted that no EU sector will be impacted by noticeable losses. In addition to exploiting the untapped potential of bilateral trade and strengthening the EU's economic presence in the Asia-Pacific region, the EPA, together with the Strategic Partnership Agreement (SPA), will provide a platform for stronger relations between the EU and Japan. The agreement also conveys a strong message on the parties' commitment to promoting a free and fair trading system and to rejecting trade protectionism.

The Generalised Scheme of Preferences Regulation (No 978/2012): European Implementation Assessment

19-12-2018

This evaluation of the EU Generalised Scheme of Preferences (GSP) focuses on the incentives in the GSP provisions that aim to push beneficiaries to comply with human rights and the extent to which these have been implemented and have had an impact on poverty reduction and good governance. The annexed economic evaluation of the GSP Regulation examines three inter-related questions: how beneficiaries have graduated from the GSP and what role preferences have played; how trade relations between the ...

This evaluation of the EU Generalised Scheme of Preferences (GSP) focuses on the incentives in the GSP provisions that aim to push beneficiaries to comply with human rights and the extent to which these have been implemented and have had an impact on poverty reduction and good governance. The annexed economic evaluation of the GSP Regulation examines three inter-related questions: how beneficiaries have graduated from the GSP and what role preferences have played; how trade relations between the countries that have recently graduated from the GSP and those that still benefit from it are affected; and what the impact of changes in the rules of origin has been.

EU and Japan seek to boost their relations

05-12-2018

The EU and Japan have given a strong signal in favour of free trade and their shared commitment to fundamental values and principles. In July 2018, they signed the EU-Japan Economic Partnership Agreement and the Strategic Partnership Agreement. The two agreements now need the European Parliament's consent for their conclusion.

The EU and Japan have given a strong signal in favour of free trade and their shared commitment to fundamental values and principles. In July 2018, they signed the EU-Japan Economic Partnership Agreement and the Strategic Partnership Agreement. The two agreements now need the European Parliament's consent for their conclusion.

The EU - Japan Economic Partnership Agreement

28-09-2018

This report independently assesses the EU-Japan Economic Partnership Agreement. We find that the EPA establishes an ambitious framework to further liberalise and better organise trade, covering goods, services, intellectual property and investment, tariff- and non-tariff measures, and regulatory cooperation. Given its depth and breadth, and that it is unprecedented in including provisions on corporate governance, SMEs, and climate change, the EPA is set to become a benchmark for future trade agreements ...

This report independently assesses the EU-Japan Economic Partnership Agreement. We find that the EPA establishes an ambitious framework to further liberalise and better organise trade, covering goods, services, intellectual property and investment, tariff- and non-tariff measures, and regulatory cooperation. Given its depth and breadth, and that it is unprecedented in including provisions on corporate governance, SMEs, and climate change, the EPA is set to become a benchmark for future trade agreements. Joining two open economies with high income levels and regulatory standards, the agreement is expected to generate benefits by boosting trade within sectors, minimising sectoral relocation and negative employment effects. Agri-food, textiles and leather products are where the EU can expect to make the greatest gains. Furthermore, the EPA will boost the EU’s economic presence and political relevance in the Asia-Pacific area. Going beyond its economic benefits, the agreement also has significant non-economic implications. Reinforced cooperation will enhance the ability of both parties to shape the course of global developments in a manner that better reflects their shared interests and values, such as their commitment to a rule-based global trade system and the fight against global warming.

Ārējais autors

Sonali CHOWDHRY, Marie Curie Visiting Fellow; André SAPIR, Senior Fellow; Alessio TERZI, Affiliate Fellow

The Institutional Consequences of a ‘Bespoke’ Agreement with the UK based on a ‘Distant’ Cooperation Model

04-07-2018

TThis in-depth analysis, commissioned by the European Parliament’s Policy Department for Citizens’ Rights and Constitutional Affairs at the request of the AFCO Committee, examines the impact for the European Union’s legal system and institutions of a “bespoke” agreement based on a “distant” cooperation model (with the EU/Ukraine and the EU/Canada agreements as main illustrations). The analysis of these agreements’ main characteristics reveals that even “distant” cooperation already has quite impressive ...

TThis in-depth analysis, commissioned by the European Parliament’s Policy Department for Citizens’ Rights and Constitutional Affairs at the request of the AFCO Committee, examines the impact for the European Union’s legal system and institutions of a “bespoke” agreement based on a “distant” cooperation model (with the EU/Ukraine and the EU/Canada agreements as main illustrations). The analysis of these agreements’ main characteristics reveals that even “distant” cooperation already has quite impressive consequences. These should be better taken into consideration in the present Brexit negotiation.

Ārējais autors

Franklin DEHOUSSE, Professor of International Economic Law, University of Liège

Gaidāmie notikumi

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EPRS online policy roundtable: Statistics, Data and Trust: Why figures matter [...]
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EPRS online Book Talk with David Harley: Matters of Record: Inside European Politics
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