News / Economy

EU-US Trade Talks Face Growing Hostility, Ministers Warn

The European Union's trade chief Karel De Gucht answers a question during an interview in Athens, Feb. 28, 2014.
The European Union's trade chief Karel De Gucht answers a question during an interview in Athens, Feb. 28, 2014.
Reuters
Free-trade talks between the United States and the European Union are in danger of being derailed by populist groups opposing everything from globalization to multinationals, EU ministers and business leaders said on Friday.
 
The rise of anti-EU parties, reports of U.S. spying in Europe and accusations that a trade pact would pander to big companies have combined to erode public support for a deal that proponents say would dramatically increase economic growth.
 
“We are grappling with people who are anti-European, who are anti-American, who are anti-free trade, who are anti-globalization and who are anti-multinational corporations,” Finland's minister for Europe and trade, Alexander Stubb, told his EU counterparts and business leaders at a meeting in Athens.
 
“We have an uphill battle to make the argument that this EU-U.S. free-trade agreement is a good one,” he said in remarks that were broadcast to reporters.
 
With the eurozone's economy barely out of a two-year recession, EU governments see a trade deal with the United States as the best way to create jobs. They say a pact encompassing almost half the world's economy could generate $100 billion in additional economic output a year on both sides of the Atlantic.
 
The European Union and the United States already trade almost $3 billion in goods and services each day, and by deepening economic ties, the pact could create a market of 800 million people where business could be done freely.
 
The EU's trade chief Karel De Gucht conceded that, outside business circles, there was little public awareness about the proposed Transatlantic Trade and Investment Partnership, which is often known by its initials as “T-TIP”.
 
“When we talk about T-TIP, some people think it is an extraterrestrial,” De Gucht said.
 
Nils Andersen of Danish shipper A.P. Moller-Maersk , who was among chief executives invited to the debate, said there was a danger of voters being “hijacked by populist statements”.
 
Yes or No?
 
Public support is crucial because the European Parliament and the U.S. Congress must ratify the agreement once it is made.
 
EU lawmakers have already shown a willingness to reject deals they think do not have enough public support - for example the global Anti-Counterfeiting Trade Agreement (ACTA) thrown out in 2012.
 
U.S.-EU trade talks initially enjoyed a warm reception when they were launched in July last year.
 
But European consumer and green groups said a deal letting firms operate freely in both the EU and the United states might let companies bypass EU safety and environmental standards.
 
The talks have also been overshadowed by widespread distrust of Washington caused by reports the United States bugged EU offices and German Chancellor Angela Merkel's mobile phone.
 
In the United States, President Barack Obama's efforts to speed up agreement on the deal, by renewing a 'fast-track' trade promotion authority, have faced resistance from members of his own Democratic party, some of them skeptical about the benefits of unfettered free trade.
 
The 'fast track' authority, which expired in 2007, would allow Obama to present the trade to Congress for a simple 'yes/no' vote, avoiding the risk of lawmakers picking it apart clause by clause and delaying its chances of becoming law indefinitely.
 
De Gucht said the EU's tight regulation in the sensitive issue of genetically modified food would not change, even if Brussels and Washington did sign an accord.
 
Some Europeans are worried about what impact GM crops and products - often dubbed “Frankenstein Food” - might have on health and the environment.
 
“We are not dumbing down our standards,” De Gucht said. “I will not agree to put hormone beef on the European market or change our laws on genetically modified organisms.”

You May Like

WHO: Anti-Ebola Efforts Should Focus on West Africa

Official says WHO is 'reasonably confident' countries bordering those hardest hit by the Ebola outbreak are not seeing the virus crossing their borders More

South Sudan Crisis Threatens Development

Economic costs and lost development opportunities in South Sudan have erased what little progress the country has made since independence in 2011 More

Ukrainian PM Warns: Russia May Try to Disrupt Sunday Poll

Arseniy Yatsenyuk orders full security mobilization for parliamentary election to prevent ‘terrorist acts’ from being carried out More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
After Decades of Pressure, Luxembourg Drops Bank Secrecy Rulesi
X
October 21, 2014 12:20 AM
European Union finance ministers have reached a breakthrough agreement that will make it more difficult for tax cheats to hide their money. The new legislation, which had been blocked for years by countries with a reputation as tax havens, was approved last week after Luxembourg and Austria agreed to lift their vetoes. But as Mil Arcega reports, it doesn’t mean tax cheats have run out of places to keep their money hidden.
Video

Video After Decades of Pressure, Luxembourg Drops Bank Secrecy Rules

European Union finance ministers have reached a breakthrough agreement that will make it more difficult for tax cheats to hide their money. The new legislation, which had been blocked for years by countries with a reputation as tax havens, was approved last week after Luxembourg and Austria agreed to lift their vetoes. But as Mil Arcega reports, it doesn’t mean tax cheats have run out of places to keep their money hidden.
Video

Video Kobani Refugees Welcome, Turkey Criticizes, US Airdrop

Residents of Kobani in northern Syria have welcomed the airdrop of weapons, ammunition and medicine to Kurdish militia who are resisting the seizure of their city by Islamic State militants. The Turkish government, however, has criticized the operation. VOA’s Scott Bobb reports from southeastern Turkey, across the border from Kobani.
Video

Video China Political Meeting Seeks to Improve Rule of Law

China’s communist leaders will host a top level political meeting this week, called the Fourth Plenum, and for the first time in the party’s history, rule of law will be a key item on the agenda. Analysts and Chinese media reports say the meetings could see the approval of long-awaited measures aimed at giving courts more independence and include steps to enhance an already aggressive and high-reaching anti-corruption drive. VOA’s Bill Ide has more from Beijing.
Video

Video US ‘Death Cafes’ Put Focus on the Finale

In contemporary America, death usually is a topic to be avoided. But the growing “death café” movement encourages people to discuss their fears and desires about their final moments. VOA’s Jerome Socolovsky reports.
Video

Video Ebola Orphanage Opens in Sierra Leone

Sierra Leone's first Ebola orphanage has opened in the Kailahun district. Hundreds of children orphaned since the beginning of the Ebola outbreak face stigma and rejection with nobody to care for them. Adam Bailes reports for VOA about a new interim care center that's aimed at helping the growing number of children affected by Ebola.
Video

Video Young Nairobi Tech Innovator on 'Track' in Security Business

A 24-year-old technology innovator in Nairobi has invented a tracking device that monitors and secures cars. He has also come up with what he claims is the most robust audio-visual surveillance system yet. As Lenny Ruvaga reports from the Kenyan capital, his innovations are offering alternative security solutions.
Video

Video Latinas Converting to Islam for Identity, Structure

Latinos are one of the fastest growing groups in the Muslim religion. According to the Pew Research Center, about 6 percent of American Muslims are Latino. And a little more than half of new converts are female. VOA’s Carolyn Presutti travelled to Miami, Florida -- where two out of every three residents is Hispanic -- to learn more.
Video

Video Exclusive: American Joins Kurds' Anti-IS Fight

The United States and other Western nations have expressed alarm about their citizens joining Islamic State forces in Syria and Iraq. In a rare counterpoint to the phenomenon, an American has taken up arms with the militants' Syrian Kurdish opponents. Elizabeth Arrott has more in this exclusive profile by VOA Kurdish reporter Zana Omer in Ras al Ayn, Syria.
Video

Video South Korea Confronts Violence Within Military Ranks

Every able-bodied South Korean male between 18 and 35 must serve for 21 to 36 months in the country’s armed forces, depending upon the specific branch. For many, service is a rite of passage to manhood. But there are growing concerns that bullying and violence come along with the tradition. Reporter Jason Strother has more from Seoul.
Video

Video North Carolina Emerges as Key Election Battleground

U.S. congressional midterm elections will be held on November 4th and most political analysts give Republicans an excellent chance to win a majority in the U.S. Senate, which Democrats now control. So what are the issues driving voters in this congressional election year? VOA National Correspondent Jim Malone traveled to North Carolina, one of the most politically competitive states in the country, to find out.
Video

Video Comanche People Maintain Pride in Their Heritage

The Comanche (Indian nation) once were called the “Lords of the Plains,” with an empire that included half the land area of current day Texas, large parts of Oklahoma, New Mexico, Kansas and Colorado.The fierceness and battle prowess of these warriors on horseback delayed the settlement of most of West Texas for four decades. VOA’s Greg Flakus reports from Lawton, Oklahoma, that while their warrior days are over, the 15,000 members of the Comanche Nation remain a proud people.
Video

Video Turkey Campus Attacks Raise Islamic Radicalization Fears

Concerns are growing in Turkey of Islamic radicalization at some universities, after clashes between supporters of the jihadist group Islamic State (IS) or ISIS, and those opposed to the extremists. Pro-jihadist literature is on sale openly on the streets of Istanbul. Critics accuse the government of turning a blind eye to radicalism at home, while Kurds accuse the president of supporting IS - a charge strongly denied. Henry Ridgwell reports from London.

All About America

AppleAndroid

World Currencies

EUR
USD
0.7893
JPY
USD
107.68
GBP
USD
0.6238
CAD
USD
1.1214
INR
USD
61.185

Rates may not be current.