USTR European Outreach Highlights TTIP’s Opportunities for Small Business Trade, Investment, and US Jobs
Christina Sevilla, the deputy assistant US Trade Representative for small business, recently discussed the importance of small- and medium-sized business on growth in both the US and EU. Sevilla met with companies from across Europe, in Germany, Austria, and Luxembourg, about the potential impacts of TTIP, and looked at how the agreement will reduce trade barriers and expand opportunities for small businesses in particular. (USTR)
Speeches and Official Announcements
Azevêdo: Support of Private Sector is Crucial for Future Multilateral Trading System
WTO Director-General Roberto Azevêdo emphasized the importance of member-states meeting obligations on trade practices and implementing the recent trade facilitation agreement, as these actions will encourage badly-needed economic growth. Talking at the opening session of Entrepreneur Week in Mexico, Azevêdo discussed issues including the role of international trade for SMEs and how the WTO can help the many obstacles they face on a daily basis. (World Trade Organization)
News
Canada-EU Finalize Trade Deal; Brussels Eyes 2016 Entry-Into-Force
Though the trade deal between the European Union and Canada was finalized last week, it is not likely to enter into force until 2016. The text of the agreement is currently under review and being translated into the many official EU languages; formal signatures are expected next year. Issues regarding ISDS and the comprehensiveness of the trade deal have raised questions among a few member-states, but final passage for the agreement–widely seen as a template for TTIP–is still considered to be on track. (Inside Trade)
Fincher Drafting Ex-Im Renewal Bill; Claims Broad GOP Support, Path Forward
Congressman Stephen Fincher (R-TN) is currently drafting a bill to reauthorize the Export Import Bank’s charter, with moderate reforms to address the concerns of a number of conservative lawmakers in the House of Representatives. He has stated that at least 100 House Republicans will eventually support his reauthorization bill, which needs to pass by September 30 to avoid at least a temporary shutdown of the bank. (Inside Trade)
Eurozone Economy Fails to Grow in Second Quarter
Figures from the second quarter show that the Eurozone economy has come to a halt, leading to calls for the European Central Bank to implement stronger measures to boost the economy. GDP growth remained flat in the second quarter, while investment contracted. Worryingly, economic growth even contracted by 0.2% in Germany. (Financial Times) or (Wall Street Journal)
Japan Suffers Worst Economic Contraction since Tsunami of 2011
Japan has just suffered its worst quarterly economic contraction since 2011, as the economy shrunk by 6.8%. The Japanese administration under Mr. Abe has increased public spending and backed monetary expansion; however, these were not enough to stimulate the country’s economy, after the introduction of a steep rise in national sales tax sharply curbed consumer spending. (Financial Times)
Recent Analysis
Rebuilding the Relationship: The Undeniable Ties Between the United States and Germany
In their opinion piece, issued by the American Institute for Contemporary German Studies, Jackson Janes and Karl-Theodor zu Guttenberg stress the importance of repairing the US-German relationship. Both countries highly interdependent in terms of their economic, political, and security ties; and their roles as global leaders mean they simply cannot allow the ongoing problems in the relationship to fester. However, the authors call upon both sides to recognize the changes both countries have undergone in recent years, and to acknowledge how these developments impact on their relationship. (American Institute for Contemporary German Studies)
Why Local German Business is in Favor of TTIP
This interview by the German Osnabruecker Zeitung shows how TTIP will positively influence the Emsbueren region in Germany. Contrary to current German public perception, the representative of the regional chamber of commerce stresses the importance of transatlantic trade in the region, alluding to roughly 200 regional small and medium enterprises who already conduct business across the Atlantic. He understands the public uncertainty in face of the newness of the idea of a transatlantic agreement, but stresses the similarities in norms and shared values on both sides of the Atlantic. (Osnabruecker Zeitung) — Original article in German
EU Approach to SPS ‘Equivalency’ In TTIP Echoes Failed Veterinary Deal
This article in the World Trade Online magazine draws similarities between the Transatlantic Trade and Investment Partnership (TTIP) currently under negotiation, and the US-EU Veterinary Equivalence Agreement (VEA) of 1998, which allows either side to approve additional public safety requirements. The article claims that TTIP incorporates similar ideas to the VEA, pondering the question as to whether the proposed agreement would actually improve the status quo if TTIP does not pursue true mutual recognition of food safety standards. (Inside Trade)
More information on the US-EU Veterinary Equivalence Agreement is available here: (US Department of Agriculture)
A Beachgoer’s Guide to August’s Financial Upsets
Though August is traditionally the calmest month of the year, this year’s holiday season has witnessed significant geopolitical and economic events which markets are struggling to comprehend. Geopolitical dangers such as the Russia-Ukraine confrontation, the ongoing conflict in Gaza, and the chaos unfolding in Iraq are affecting all aspects of the economy. Additionally, the deterioration and stagnation of Europe’s economic prospects are casting doubts on future growth in the region. (Financial Times)
Upcoming Events
Seventh Round of TTIP Negotiations – September 29 – October 3 in Washington DC – a political stock-taking between Ambassador Froman and Commissioner De Gucht will follow the talks on October 13.
EU Policy Agenda for Social Enterprise: What Next? – September 3 in Brussels; hosted by the European Economic and Social Committee – More Information
DISCOVER GLOBAL MARKETS: Free Trade Agreement Countries – September 9 -10 in Detroit, MI, hosted by the US Commercial Service – More Information
Jobs and Economic Growth for Atlanta: How TTIP Will Help – September 10 in Atlanta, GA; hosted by the Trans-Atlantic Business Council – More Information
TTIP Road Show, Edinburgh, Scotland: The US-EU Trade Negotiations and the Coalition for Transatlantic Business – September 23 in Edinburgh, Scotland; hosted by British American Business – More Information
Breakfast Briefing on the European Banking Union – September 23 – New York; hosted by the European American Chamber of Commerce – More Information
Launch of new Atlantic Council Publication on TTIP’s Benefits for Small and Medium-sized Enterprises – October 9 – More information forthcoming
AmCham EU’s 31st Annual Competition Policy Conference – October 14 in Brussels – More Information
Annual Transatlantic Digital Economy Conference – October 16 in Brussels; hosted by AmCham EU – More Information forthcoming