EU says it is ready to launch U.S. trade talks, but without agriculture

[webfact]

EU says it is ready to launch U.S. trade talks, but without agriculture

By Philip Blenkinsop

 

FILE PHOTO: U.S. and European Union flags are pictured during the visit of Vice President Mike Pence to the European Commission headquarters in Brussels, Belgium February 20, 2017. REUTERS/Francois Lenoir

 

BRUSSELS (Reuters) - The European Union is ready to start talks on a trade agreement with the United States and aims to conclude a deal before year-end, European Trade Commissioner Cecilia Malmstrom said on Monday.

 

The EU approved two areas for negotiation, opposed by France with an abstention from Belgium. But agriculture was not included, leaving the 28-country bloc at odds with Washington, which has insisted on including farm products in the talks.

 

The EU vote allows the Commission to start two sets of negotiations - one to cut tariffs on industrial goods, the other to make it easier for companies to show products meet EU or U.S. standards.

 

Malmstrom said she would now reach out to U.S. Trade Representative Robert Lighthizer to see when talks could begin.

 

"We are ready as soon as they are," Malmstrom told a news conference.

 

A spokeswoman for Lighthizer declined to comment.

 

But U.S. Senator Chuck Grassley, chairman of the tax and trade-focused Senate Finance Committee, said a U.S.-EU trade deal that excluded agriculture would be "unlikely" to win approval in the U.S. Congress because so many lawmakers want farm access to Europe.

 

"Elimination of industrial tariffs and non-tariff barriers only get us part of the way there, especially when we face major barriers to agricultural trade in the EU," Grassley, himself an Iowa farmer, said in a statement. "Agriculture is a significant piece of the global economy and it simply doesn't make sense to leave it out."

 

The European Commission has said it is willing to discuss cars as part of the industrial goods talks, but not agriculture.

 

"Agriculture will certainly not be part of these negotiations. This is a red line for Europe," Malmstrom said.

 

She added Brussels would strive to agree what amounted to a limited deal before the Commission's term ends on Oct. 31. "If we agree to start, I think it can go quite quickly."

 

Malmstrom stressed that the potential tariffs deal was far less ambitious than the previous "TTIP" negotiations, which stalled after three years and have now been rendered obsolete.

 

The two sides are each other's largest trading partners. Flows between the two represent 30 percent of global trade.

 

A Commission survey estimates an agreement on industrial tariffs would increase EU exports to the United States by 8 percent and U.S. products bound for Europe by 9 percent.

 

AUTO TARIFF THREAT

Hanging over the talks is U.S. President Donald Trump's threat to impose tariffs on cars and auto parts of around 25 percent on national security grounds.

 

Trump last July agreed with European Commission President Jean-Claude Juncker not to impose tariffs on EU-produced cars and parts as long as the two sides negotiated on trade, including removal of tariffs on "non-auto industrial goods."

 

But Lighthizer has voiced frustration with a "complete stalemate" with Europe on agriculture, telling a congressional committee in March there would be no U.S.-EU free trade agreement without agricultural access.

 

EU governments agreed the bloc would not conclude negotiations until Washington removed tariffs it has applied to EU steel and aluminum and would suspend negotiations if the Trump administration imposed new tariffs, such as on cars.

 

Germany, whose exports of cars and parts to the United States are more than half the EU total, has been among those most keen to press ahead with talks.

 

France, with very few U.S. car exports, wants climate change provisions in any deal - a difficult demand given Trump's withdrawal from the Paris climate agreement.

 

(Reporting by Philip Blenkinsop; Additional reporting by David Lawder in Washington; Editing by Alison Williams and Rosalba O'Brien)

 

 

-- © Copyright Reuters 2019-04-16

[malagateddy]

I sincerely hope that the USA totally wipe the floor with the eu.
Go USA go..ragdoll the eu[emoji2][emoji2][emoji2]

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[Ulic]

As both countries heavily subsidize agriculture my guess that is an easy one to take of the table for both countries. That said, with Trump, my subsidies don't count but yours do, so who knows. 

[Nigel Garvie]

2 hours ago, malagateddy said:

I sincerely hope that the USA totally wipe the floor with the eu.
Go USA go..ragdoll the eu

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The EU, even without UK is big and smart enough to hold their own. Remember we should thank them for protecting us from having to eat poorly regulated US rubbish food. Look at the obesity problem in the US, and the associated massive burden of obesity related diabetes on their health services, which is predicted to bankrupt our own health service in the next 20 years. Life expectancy in the US is the same as Cuba, and less than Chile. Three cheers for the French heroes who burnt down the first Macdonalds in France!

[Snow Leopard]

Go TRUMP. 

[bristolboy]

3 hours ago, malagateddy said:

I sincerely hope that the USA totally wipe the floor with the eu.
Go USA go..ragdoll the eu

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Do you also hope it wipes the floor with the UK? Because if Brexit happens, you think the Trump is not going to demand that the UK open its markets to cheaper US agricultural products?

[dick dasterdly]

10 minutes ago, Nigel Garvie said:

The EU, even without UK is big and smart enough to hold their own. Remember we should thank them for protecting us from having to eat poorly regulated US rubbish food. Look at the obesity problem in the US, and the associated massive burden of obesity related diabetes on their health services, which is predicted to bankrupt our own health service in the next 20 years. Life expectancy in the US is the same as Cuba, and less than Chile. Three cheers for the French heroes who burnt down the first Macdonalds in France!

"Remember we should thank them for protecting us from having to eat poorly regulated US rubbish food."

 

Agree entirely.

 

The rest of your post is ignoring the fact that obesity and related problems are rising in many countries.

[dick dasterdly]

1 minute ago, bristolboy said:

Do you also hope it wipes the floor with the UK? Because if Brexit happens, you think the Trump is not going to demand that the UK open its markets to cheaper US agricultural products?

I think I'm right in saying that at the moment food in the eu containing GMO products - need to be shown on the label as such?

[malagateddy]

Haven't a clue..but why should likes if heseltine etc get a nice bit of pay for not utilising his land..just to keep a " false high " on food prices
Just look at certain foreign countries like france for example.

Do you also hope it wipes the floor with the UK? Because if Brexit happens, you think the Trump is not going to demand that the UK open its markets to cheaper US agricultural products?

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[Rimmer]

An off topic post removed

[dick dasterdly]

3 minutes ago, malagateddy said:

Haven't a clue..but why should likes if heseltine etc get a nice bit of pay for not utilising his land..just to keep a " false high " on food prices
Just look at certain foreign countries like france for example.

 

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Quite, CAP has worked for France -not so much for the uk, where it has resulted in big business taking over farms and being paid for doing nothing.....

[bristolboy]

25 minutes ago, malagateddy said:

Haven't a clue..but why should likes if heseltine etc get a nice bit of pay for not utilising his land..just to keep a " false high " on food prices
Just look at certain foreign countries like france for example.

 

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So in your view, most of UK agriculture is run along the lines of Heseltine's enterprise?

[Krataiboy]

Mon Dieu! Must defend those French farmers.

[dick dasterdly]

48 minutes ago, malagateddy said:

Haven't a clue..but why should likes if heseltine etc get a nice bit of pay for not utilising his land..just to keep a " false high " on food prices
Just look at certain foreign countries like france for example.

 

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43 minutes ago, dick dasterdly said:

Quite, CAP has worked for France -not so much for the uk, where it has resulted in big business taking over farms and being paid for doing nothing.....

 

22 minutes ago, bristolboy said:

So in your view, most of UK agriculture is run along the lines of Heseltine's enterprise?

Yes.

[farcanell]

With mere months to go, before a multitude of presidential candidates reveal their plans for the future, in a trump free landscape, I fail to see why any country would want to engage in negotiations with the US, if they can be put off in the short term.

 

To wit, we won’t discuss agriculture, so let’s discuss not discussing that for six months... oh... new EU trade representatives to get up to speed... now, where were we?

[Nigel Garvie]

3 hours ago, dick dasterdly said:

"Remember we should thank them for protecting us from having to eat poorly regulated US rubbish food."

 

Agree entirely.

 

The rest of your post is ignoring the fact that obesity and related problems are rising in many countries.

No I'm not ignoring that fact, what you are saying is and also..............This doesn't negate what I said. I agree that there are related problems rising in many countries. Like almost all these issues it is a highly complex interplay of many different factors. For example in Asia there is a higher genetic predisposition to diabetes anyway. The fact that diet and obesity play a big part in diabetes type2 is pretty widely accepted in Scientific circles.

 

2 hours ago, Krataiboy said:

Mon Dieu! Must defend those French farmers.

Actually it is European (Including UK) stomachs and health that I would like to see protected. The CAP has always been a contentious issue, and certainly I would agree with Leavers (I won't make a habit of that - heaven forbid!) that it is fundamental flaw in the EU that has to be addressed. The fact remains that there is no reason we would wan't to buy crap food from the US, if they want to sell it they should meet or standards or pis# off.

[Prissana Pescud]

Free trade is the claim.

But no trade deal is free. It is a series of complex agreements that create another layer of red tape.

Nor is it fair trade.

And placing trade tariffs to protect mostly agriculture and manufacturing is self defeating.

EU and US highly subsidize agriculture. US now subsidizes manufacturing.

So a trade agreement means they will dump goods.

This is not a foundation for free or fair trade treaties

[Chomper Higgot]

A taste of what the UK can look forward to in post Brexit negotiations with the US - the decimation of UK agricultural.

 

 

[Chomper Higgot]

What we have in this news is an example of the collective bargaining power of the EU and it’s ability to use that power to face up to the US.

 

 

[malagateddy]

Maggie Thatcher was not PM till I think 1980 or 1981..the scandel re dumping excess dairy produce was in the '60's.

I don’t think that’s the whole story.
 
Maggy Thatcher School Milk Snatcher eliminated a significant portion of the milk market and in doing so created an overnight surplus, which was ‘disposed of’.
 
But anyway, nothing to do with the EU.

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[jamesy9368]

7 hours ago, bristolboy said:

Do you also hope it wipes the floor with the UK? Because if Brexit happens, you think the Trump is not going to demand that the UK open its markets to cheaper US agricultural products?

As I live in the UK part of the time do tell me why I should pay more for my food than I need to.??

[Chomper Higgot]

19 minutes ago, jamesy9368 said:

As I live in the UK part of the time do tell me why I should pay more for my food than I need to.??

Since you are only occasionally there you might not be concerned that UK farming is wiped out by subsidised US farming.

 

Jus so long as you personally don’t have to pay a fair price for food produced in the UK.

[bomber]

the UK has little to gain trading alone and wouldnt get far with trumps and his cronies,the EU would fair a bit better but still nowhere near good enough to strike deals,trump just isnt up for sensible talking,i think we all know this,EU is still by far the best way forward for the UK,its the reason brexit hasnt happened and wont happen

[malagateddy]

the UK has little to gain trading alone and wouldnt get far with trumps and his cronies,the EU would fair a bit better but still nowhere near good enough to strike deals,trump just isnt up for sensible talking,i think we all know this,EU is still by far the best way forward for the UK,its the reason brexit hasnt happened and wont happen

Did you hear the fat lady sing..'cos I didn't.

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[bomber]

4 minutes ago, malagateddy said:

Did you hear the fat lady sing..'cos I didn't.

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farage forming a new party and brexit not happening is enough to shut the fat lady up.Carry on dreaming by all means,there arent too many high rises in issan,you should be able to take it on the chin like a true bulldog ????

[bomber]

11 minutes ago, dick dasterdly said:

There's no doubt that the eu has deliberately kept food prices artificially high.

how do you work that out?  i know food in the UK would be quite higher if it weren't for the german supemarkets.

[Chomper Higgot]

Interestingly one of the arguments put forward in favor of EU farm subsidies is that they help protect traditional farming, traditional ways of life and local communities.

 

Odd that Brexiteers have a problem with that. 

[bomber]

1 minute ago, Chomper Higgot said:

I'm not the one cheering the US against the EU (which the UK is currently still a member of and showing diminishing signs of ever leaving).

 

 

malagateddy is still believing the brexit camp BS that the US will come along and save us for the 3rd time in 100 years,i think most folks with any common sense realise its not going to happen.

[bomber]

3 minutes ago, Chomper Higgot said:

Interestingly one of the arguments put forward in favor of EU farm subsidies is that they help protect traditional farming, traditional ways of life and local communities.

 

Odd that Brexiteers have a problem with that. 

what will the brexiteers think of this, is it bullying or shackles?

EU law fixes minimum rights for 'gig economy' workers - BBC News.html

[damascase]

11 hours ago, malagateddy said:

I sincerely hope that the USA totally wipe the floor with the eu.
Go USA go..ragdoll the eu

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I can’t help wondering what the EU has done to you personally to make you respond every time in such a vicious and malicious way.