Voluntary Report - Public distribution

**Date:** 1/15/2008

**GAIN Report Number:** E48005

E48006

**EU-27**

**Trade Policy Monitoring**

**Overview of EU Bilateral and Regional Trade Agreements**

**2008**

**Approved by:**

![](media/image1.wmf)Debra Henke

U.S. Mission to the EU

**Prepared by:**

David Leishman

**Report Highlights:**

This report provides an overview of current and prospective EU bilateral
and regional trade agreements. The report contains hypertext links to
other sources of information.

Includes PSD Changes: No

Includes Trade Matrix: No

Annual Report

Brussels USEU \[BE2\]

\[E4\]

# 

# Introduction

The 27 Member States of the European Union (EU) share a common trade
policy. This means that the EU, its institutions and its Member States,
act as a single jurisdiction on trade-related matters. International
agreements concluded by the EU are binding on the EU Institutions and on
the Member States. The legal basis for EU trade policy is [Article
133](http://europa.eu/scadplus/nice_treaty/majority_en.htm) of the
European Community (EC) Treaty. On this basis, the European Commission
is responsible for negotiating on behalf of the Member States in
consultation with a special committee, the so-called \"133 Committee\".
The 133 Committee is composed of representatives from the 27 Member
States and the European Commission. Its main function is to discuss and
coordinate on a full range of trade policy issues affecting the EU, from
the strategic issues of trade negotiations, to more specific issues
regarding trade in individual products. In the 133 Committee, the
European Commission receives the endorsement of EU Member States.
Decision-making under Article 133 functions on the basis of qualified
majority voting (QMV). Major formal decisions (for example an agreement
to launch or conclude negotiations) are confirmed by the Council of the
European Union.

This report provides an overview of current and prospective EU bilateral
and regional trade agreements. EU trade agreements can be classified
into three general categories - (1) agreements with countries that are
candidates or that can potentially become candidates for accession into
the EU; (2) agreements with countries that are in the EU "geographic
neighborhood," or that are part of long-standing historical and cultural
ties with Europe; (3) agreements with other countries that are of
strategic importance to EU commercial interests. Given the very wide
scope of ongoing trade negotiations, this report contains hypertext
links to other sources of information. The index below provides a
reference guide to countries covered in this report.

[]{#index .anchor}***INDEX -- Click on country name to link to reference
in the document***

+----------------------------------------------------------------------+---+
|                                                                      |   |
| ------- ----------------------------------------- ------------------ |   |
| -------------------------- ----------------------------------------- |   |
|   **A**   [ACP](#ACP)                                                |   |
|     [Angola](#ACP) [Antigua & Barbuda](#ACP)     [Armenia](#Armenia) |   |
|           [[Albania]{.underline}](#Albania)         [Argen           |   |
| tina](#mercosur)                       [[ASEAN]{.underline}](#ASEAN) |   |
|           [Algeria](#algeria) [Andorra](#Andorra)                    |   |
|                              [[Azerbaijan]{.underline}](#Azerbaijan) |   |
|                                                                      |   |
|   **B**   [Bahamas](#ACP)                           [[Belize]{       |   |
| .underline}](#ACP)                 [[Brazil]{.underline}](#mercosur) |   |
|                                                                      |   |
|         [[Bahrain]{.underline}](#GCC)             [[Benin]{.underlin |   |
| e}](#ACP)                  [[Brunei Darussalam]{.underline}](#ASEAN) |   |
|           [[Bangladesh]{.underline}](#bangladesh)   [[Bolivia]{      |   |
| .underline}](#andean) [[Bosnia &  [[Burkina Faso]{.underline}](#ACP) |   |
|           [[Barbados]{.underline}](#ACP)            Herzegovina]{.un |   |
| derline}](#Bosnia)           [[Burma (Myanmar)]{.underline}](#ASEAN) |   |
|           [[Belarus]{.underline}](#Belarus)         [[Bots           |   |
| wana]{.underline}](#ACP)               [[Burundi]{.underline}](#ACP) |   |
|                                                                      |   |
|   **C**   [[Cambodia]{.underline}](#ASEAN)          [[Ch             |   |
| ile]{.underline}](#Chile)                [Cook Islands](#ACP) [Costa |   |
|           [[Cameroon]{.underline}](#ACP) [[Cape     [[Colo           |   |
| mbia]{.underline}](#andean)            Rica](#centralamerica) [[Côte |   |
|           Verde]{.underline}](#ACP) [[Central       [[Como           |   |
| ros]{.underline}](#ACP)                d\'Ivoire]{.underline}](#ACP) |   |
|           African Republic]{.underline}](#ACP)      [[Congo]{.       |   |
| underline}](#ACP) [[Congo,         [[Croatia]{.underline}](#Croatia) |   |
|           [[Chad]{.underline}](#ACP)                Dem              |   |
| ocratic Republic of                       [[Cuba]{.underline}](#ACP) |   |
|                                                                      |   |
|                        the]{.underline}](#ACP)                       |   |
|                                                                      |   |
|                                                                      |   |
|  **D**   [[Djibouti]{.underline}](#ACP)            [[Dominica]{.unde |   |
| rline}](#ACP)               [[Dominican Republic]{.underline}](#ACP) |   |
|                                                                      |   |
|   **E**   [[Ecuador]{.underline}](#andean) [[East   [[El S           |   |
| alvador]{.underline}](#centralamerica) [[Eritrea]{.underline}](#ACP) |   |
|           Timor]{.underline}](#ACP)                 [[Equat          |   |
| orial Guinea]{.underline}](#ACP)      [[Ethiopia]{.underline}](#ACP) |   |
|           [[EFTA]{.underline}                                        |   |
| ](#EFTA)                                                             |   |
|           [[Egypt]{.underline                                        |   |
| }](#egypt)                                                           |   |
|                                                                      |   |
|   **F**   [[Faroe                                                    |   |
|                        [[Fiji]{.underline}](#ACP)                    |   |
|           Islands]{.underline                                        |   |
| }](#faroeislands)                                                    |   |
|                                                                      |   |
|   **G**   [[Gabon]{.underline}](#ACP)               [[Guatemala]     |   |
| {.underline}](#centralamerica)   [[Guinea-Bissau]{.underline}](#ACP) |   |
|           [[Gambia]{.underline}](#ACP)              [[Gui            |   |
| nea]{.underline}](#ACP)                 [[Guyana]{.underline}](#ACP) |   |
|           [[Georgia]{.underli                                        |   |
| ne}](#Georgia)                                                       |   |
|           [[Ghana]{.underline                                        |   |
| }](#ACP)                                                             |   |
|           [[Grenada]{.underli                                        |   |
| ne}](#ACP)                                                           |   |
|                                                                      |   |
|   **H**   [[Haiti]{.underline                                        |   |
| }](#ACP)               [[Honduras]{.underline}](#centralamerica)     |   |
|                                                                      |   |
|   **I**   [[Iceland]{.underline}](#EFTA)                             |   |
|       [[Iran]{.underline}](#Iran)                  [Israel](#Israel) |   |
|           [[India]{.underline                                        |   |
| }](#India)             [[Iraq]{.underline}](#Iraq)                   |   |
|           [[Indonesia]{.under                                        |   |
| line}](#ASEAN)                                                       |   |
|                                                                      |   |
|   **J**   [[Jamaica]{.underli                                        |   |
| ne}](#ACP)             [[Jordan]{.underline}](#Jordan)               |   |
|                                                                      |   |
|   **K**   [[Kazakhstan]{.underline}](#Kazak                          |   |
| hstan)   [[Kiribati]{.underline}](#ACP)               [Kuwait](#GCC) |   |
|           [[Kenya]{.underline                                        |   |
| }](#ACP)               [Kosovo](#Kosovo)                             |   |
|                                                                      |   |
|   **L**   [[Laos]{.underline}](#ASEAN)              [[Lesotho]{.u    |   |
| nderline}](#ACP)                [[Liechtenstein]{.underline}](#EFTA) |   |
|           [[Lebanon]{.underli                                        |   |
| ne}](#lebanon)         [[Liberia]{.underline}](#ACP)                 |   |
|                                                                      |   |
|   **M**   [[Macedonia]{.underline}](#FYROM)         [[               |   |
| Mauritania]{.underline}](#ACP)             [Montenegro](#Montenegro) |   |
|           [[Malawi]{.underline}](#ACP)                               |   |
|     [[Mauritius]{.underline}](#ACP)              [Morocco](#morocco) |   |
|           [[Malaysia]{.underline}](#ASEAN)          [[Mexico]        |   |
| {.underline}](#mexico)              [[Mozambique]{.underline}](#ACP) |   |
|           [[Mali]{.underline}](#ACP) [[Marshall     [[Micron         |   |
| esia]{.underline}](#ACP)             [[Myanmar]{.underline}](#ASEAN) |   |
|           Islands]{.underline                                        |   |
| }](#ACP)               [Monaco](#monaco)                             |   |
|                                                                      |   |
|   **N**   [[Namibia]{.underline}](#ACP)             [[N              |   |
| icaragua]{.underline}](#centralamerica)   [[Niue]{.underline}](#ACP) |   |
|           [[Nauru]{.underline}](#ACP)               [[Nige           |   |
| r]{.underline}](#ACP)                  [[Nigeria]{.underline}](#ACP) |   |
|                                                                      |   |
|                                        [[Norway]{.underline}](#EFTA) |   |
|                                                                      |   |
|   **O**   [[Oman]{.underline}                                        |   |
| ](#GCC)                                                              |   |
|                                                                      |   |
|   **P**   [[Palau]{.underline}](#ACP) [[Palestinian [[Panama]{.u     |   |
| nderline}](#centralamerica)      [[Philippines]{.underline}](#ASEAN) |   |
|           State**\***]{.under                                        |   |
| line}](#palestine)     [[Papua New Guinea]{.underline}](#ACP)        |   |
|                                                                      |   |
|                        [[Paraguay]{.underline}](#mercosur)           |   |
|                                                                      |   |
|                        [[Peru]{.underline}](#andean)                 |   |
|                                                                      |   |
|   **Q**   [[Qatar]{.underline                                        |   |
| }](#GCC)                                                             |   |
|                                                                      |   |
|   **R**   [[Russia]{.underlin                                        |   |
| e}](#russia)           [[Rwanda]{.underline}](#ACP)                  |   |
|                                                                      |   |
|   **S**   [[St. Kitts & Nevis]{.unde                                 |   |
| rline}](#ACP)   [[Senegal]{.underline}](#ACP)                [[South |   |
|           [[St. Lucia]{.underline}](#ACP) [[St.     [Serbia](#s      |   |
| erbia)                            Africa]{.underline}](#southafrica) |   |
|                                                                      |   |
|          Vincent & The                             [[Seychelles]{.un |   |
| derline}](#ACP) [[Sierra    [[South Korea]{.underline}](#SouthKorea) |   |
|           Grenadines]{.underline}](#ACP)            Leon             |   |
| e]{.underline}](#ACP)                    [[Sudan]{.underline}](#ACP) |   |
|           [[Samoa]{.underline}](#ACP) [San          [[Singa          |   |
| pore]{.underline}](#ASEAN) [[Solomon  [[Suriname]{.underline}](#ACP) |   |
|           Marino](#sanmarino) [[São Tomé &          Islands]         |   |
| {.underline}](#ACP)                  [[Swaziland]{.underline}](#ACP) |   |
|           Príncipe]{.underline}](#ACP) [[Saudi      [[Somalia]{.     |   |
| underline}](#ACP)                [[Switzerland]{.underline}](#swiss) |   |
|           Arabia]{.underline}](#GCC)                                 |   |
|                                        [[Syria]{.underline}](#syria) |   |
|                                                                      |   |
|   **T**   [[Tanzania]{.underline}](#ACP)            [[Trinid         |   |
| ad & Tobago]{.underline}](#ACP)      [[Turkey]{.underline}](#turkey) |   |
|           [[Thailand]{.underline}](#ASEAN)          [[Tun            |   |
| isia]{.underline}](#tunisia)            [[Tuvalu]{.underline}](#ACP) |   |
|           [[Togo]{.underline}                                        |   |
| ](#ACP)                                                              |   |
|           [[Tonga]{.underline                                        |   |
| }](#ACP)                                                             |   |
|                                                                      |   |
|   **U**   [[Uganda]{.underlin                                        |   |
| e}](#ACP)              [[Uruguay]{.underline}](#mercosur)            |   |
|           [[Ukraine]{.underli                                        |   |
| ne}](#Ukraine)                                                       |   |
|           [[United Arab                                              |   |
|                                                                      |   |
|           Emirates]{.underlin                                        |   |
| e}](#GCC)                                                            |   |
|                                                                      |   |
|   **V**   [[Vanuatu]{.underline}](#ACP)             [[Venezu         |   |
| ela]{.underline}](#andean)           [[Vietnam]{.underline}](#ASEAN) |   |
|                                                                      |   |
|   **Z**   [[Zambia]{.underlin                                        |   |
| e}](#ACP)              [[Zimbabwe]{.underline}](#ACP)                |   |
|                                                                      |   |
| ------- ----------------------------------------- ------------------ |   |
| -------------------------- ----------------------------------------- |   |
+----------------------------------------------------------------------+---+

**Candidate and Potential Candidate Countries for Accession into the
EU**

> []{#Albania .anchor}**Albania**

> Albania participates in the [Stabilization and Association Process
> (SAP)](http://ec.europa.eu/enlargement/enlargement_process/accession_process/how_does_a_country_join_the_eu/sap/index_en.htm),
> which is the EU\'s overall policy framework for Western Balkan
> countries. The SAP is based on a partnership, in which Albania
> receives regional and financial assistance under the
> [CARDS](http://ec.europa.eu/enlargement/financial_assistance/cards/index_en.htm)
> program and the [new Instrument for Pre-Accession Assistance
> (IPA)](http://www.google.com/search?hl=en&rls=com.microsoft%3Aen-us%3AIE-SearchBox&rlz=1I7ADBS&q=IPA+Accession+EU),
> and a relationship with the EU, including trade preferences, through
> the [Stabilization and Association
> Agreement](http://ec.europa.eu/enlargement/pdf/albania/st08164.06_en.pdf)
> (the SAA was signed on June 12, 2006). Albania has adopted a national
> action plan to implement the European Partnership recommendations. The
> European Commission continues to monitor and report progress in an
> [annual
> report](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/albania_progress_reports_en.pdf).
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/albania/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#Bosnia .anchor}**Bosnia and Herzegovina**

> As a part of the Stabilization and Association Process (SAP), Bosnia
> and Herzegovina is a potential candidate country for EU accession.
> Since 1998, the EU/Bosnia and Herzegovina Consultative Task Force has
> been the main vehicle for political dialogue and technical
> discussions. In January 2006, the Consultative Task Force was re-named
> \"Reform Process Monitoring (RPM)\" to mark the start of a new phase.
> This led to initialing a [Stabilization and Associations Agreement
> (SAA)](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/bosnia_herzegovina_accession_partnership_en.pdf)
> on December 4, 2007.
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/bosnia_and_herzegovina/index_en.htm>
>
> <http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/bosnia_herzegovina_progress_reports_en.pdf>
>
> [***Back to Index***](#index)
>
> []{#Croatia .anchor}**Croatia**
>
> Croatia presented its application for EU membership on February 21,
> 2003. In April of the following year, the Commission published its
> [Opinion on Croatia\'s
> Application](http://eur-lex.europa.eu/LexUriServ/site/en/com/2004/com2004_0257en01.pdf)
> deciding that accession negotiations would be opened on March 17, 2005
> provided that there was full cooperation with the UN International
> Criminal Tribunal for the former Yugoslavia in The Hague (ICTY). In
> the absence of confirmation of full cooperation, the European Council
> decided on March 16, 2005 to postpone the opening of accession
> negotiations. However, as a positive signal to Croatia, the EU adopted
> a [negotiating
> framework](http://ec.europa.eu/enlargement/pdf/croatia/st20004_05_hr_framedoc_en.pdf)
> so that once the outstanding condition was met, negotiations could
> begin. In November 2007, the European Commission issued a [country
> progress
> report](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/croatia_progress_reports_en.pdf)
> and an updated proposal for [Accession
> Partnership](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/croatia_accession_partnership_en.pdf).
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/croatia/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#FYROM .anchor}**FYROM -- the former Yugoslav Republic of
> Macedonia**
>
> The former Yugoslav Republic of Macedonia has had contractual
> relations with the EU since 1996 when it signed an agreement for
> assistance from the
> [PHARE](http://ec.europa.eu/enlargement/financial_assistance/phare/index_en.htm)
> program. In 1997, it signed a Cooperation Agreement, in force until
> 2004, as well as Textile Agreements which were in force from 1998 till
> 2003. Following the conclusion of the negotiations at the Zagreb
> Summit of November 2000, a [Stabilization and Association Agreement
> (SAA)](http://eur-lex.europa.eu/JOHtml.do?uri=OJ:L:2004:084:SOM:EN:HTML)
> was signed in Luxembourg in April 2001 and entered into force in April
> 2004. FYROM submitted an application for EU membership on 22 March
> 2004, and in 2005 the Commission delivered its
> [Opinion](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2005:0562:FIN:EN:PDF).
> A [country progress
> report](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/fyrom_progress_reports_en.pdf)
> was issued in November 2007 together with an updated proposal for
> [Accession
> Partnership](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/fyrom_accession_partnership_en.pdf).
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/the_former_yugoslav_republic_of_macedonia/index_en.htm>
>
> [Analysis of Commission
> opinion](http://ec.europa.eu/enlargement/archives/pdf/key_documents/2005/package/sec_1425_final_analytical_report_mk_en.pdf)
>
> [***Back to Index***](#index)
>
> []{#Kosovo .anchor}**Kosovo**
>
> As confirmed by the [Thessaloniki
> Summit](http://ec.europa.eu/enlargement/enlargement_process/accession_process/how_does_a_country_join_the_eu/sap/thessaloniki_summit_en.htm)
> in June 2003, Kosovo is part of the framework of the Stabilization and
> Association Process, the EU policy which applies to the Western
> Balkans. On April 20, 2005 the European Commission adopted a
> Communication on '[A European Future for
> Kosovo](http://eur-lex.europa.eu/LexUriServ/site/en/com/2005/com2005_0156en01.pdf)',
> which reinforces the Commission's commitment to Kosovo. Subsequently,
> on January 20 2006, the Council adopted [a European
> Partnership](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/serbia_incl_kosovo_accession_partnership_en.pdf)
> for Serbia and Montenegro, which included Kosovo as defined by
> [UNSCR1244](http://daccessdds.un.org/doc/UNDOC/GEN/N99/172/89/PDF/N9917289.pdf?OpenElement).
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/serbia/kosovo/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#Montenegro .anchor}**Montenegro**
>
> After about nearly a year of negotiations with the Commission
> Montenegro signed a [Stabilization and Association Agreement
> (SAA)](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/amending_rg533_en.pdf)
> on 15 October 2007. An Interim Agreement enters into force on 1
> January 2008 allowing for the early implementation of trade and
> trade-related provisions of the SAA.
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/montenegro/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#serbia .anchor}**Serbia**
>
> On the basis of decisions taken at the [Thessaloniki
> Summit](http://ec.europa.eu/enlargement/enlargement_process/accession_process/how_does_a_country_join_the_eu/sap/thessaloniki_summit_en.htm)
> in June 2003, and confirmed on several occasions by the EU, Serbia is
> a potential candidate country for the EU accession. [A Stabilization
> and Association
> Agreement](http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/serbia_incl_kosovo_accession_partnership_en.pdf)
> between the EU and Serbia was initialed in Brussels on 7 November
> 2007.
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/serbia/index_en.htm>
>
> <http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/serbia_progress_reports_en.pdf>
>
> [***Back to Index***](#index)
>
> []{#turkey .anchor}**Turkey**
>
> Turkey first applied to join the European Economic Community (EEC) in
> July 1959. This led to the Ankara Association Agreement of 1963, which
> envisaged the progressive establishment of a customs union which would
> bring the two sides closer together in economic and trade matters. The
> Association Agreement established a Joint Parliamentary Committee -
> with representatives of the Turkish Grand National Assembly and the
> European Parliament -- and an Association Council composed of EU and
> Member State representatives and Turkish authorities. The Ankara
> Association was supplemented by an Additional Protocol signed in
> November 1970, which sets out a timetable for the abolition of tariffs
> and quotas on goods circulating between Turkey and the EEC. There was
> a freeze in Turkish- EEC relations as a result of the military
> intervention in 1980. Following the multiparty elections of 1983,
> relations were re-established and Turkey applied for full membership
> in 1987. In 1990, the European Council confirmed Turkey's eligibility
> for membership, but deferred an in-depth analysis of its application.
> A Customs Union came into force on 31 December 1995, and in 1998 an
> Association Council decision established a trade regime for
> [agricultural
> products](http://eur-lex.europa.eu/JOHtml.do?uri=OJ:L:1998:086:SOM:EN:HTML).
> In October 2005, accession negotiations with Turkey started with the
> analytical examination of the harmonizing legislation (the so-called
> screening process). Since then one negotiating chapter on Science and
> Research has been opened and was provisionally closed in June 2006.
> Negotiations have opened under three other chapters: Enterprise and
> Industry (March 2007) and Financial Control and Statistics (June
> 2007).
>
> Additional documentation:
>
> <http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/turkey_progress_reports_en.pdf>
>
> <http://ec.europa.eu/enlargement/pdf/key_documents/2007/nov/turkey_accession_partnership_en.pdf>
>
> <http://eur-lex.europa.eu/LexUriServ/site/en/com/2004/com2004_0656en01.pdf>
>
> <http://ec.europa.eu/enlargement/archives/pdf/key_documents/2004/issues_paper_en.pdf>
>
> [***Back to Index***](#index)

**Other Customs Unions**

> []{#Andorra .anchor}**Andorra**
>
> Contractual relations with Andorra are based on an Agreement between
> the European Economic Community and the Principality of Andorra in the
> form of an exchange of letters, which was signed on 28 June 1990 and
> entered into force on 1 July 1991.
>
> The Agreement establishes a customs union applying to products falling
> within Chapters 25 to 97 of the Harmonized System (HS). The Agreement
> also includes provisions applicable to products falling within
> Chapters 1 to 24 of the HS (which are not covered by the customs
> union). The Agreement was notified to WTO under Article XXIV of GATT
> 1994 in February 1998.
>
> Andorra is treated as an EU member for trade in manufactured goods and
> as a Non-EU member for trade in agricultural products. In addition, a
> Cooperation Agreement, covering a wide range of issues: environment,
> communications, information, culture, transport, regional and
> cross-border cooperation, and social issues, and an Agreement on the
> Taxation of Savings were signed on 15 November 2004 and entered into
> force on 1 July 2005.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/andorra/intro/index.htm>
>
> [***Back to Index***](#index)
>
> []{#monaco .anchor}**Monaco**
>
> Through its special relation with France, Monaco participates directly
> in some Community policies. Monaco is an integral part of the
> Community customs territory (Article 3 (2) (b) Customs Code) and
> applies directly most measures related to Value Added Tax (VAT) and
> excise duties, in particular those related to the free movement of
> goods within the Community. The participation in the Community customs
> territory does not extend to the area of external trade. Preferential
> trade agreements concluded by the Community apply only to goods
> originating on the territory of the Community. Goods produced in
> Monaco may not claim Community origin and are generally not included
> in an extended application of the protocol of origin with the trade
> partners of the Community. Through France, Monaco is also integrated
> into the [Schengen](http://europa.eu/scadplus/leg/en/lvb/l33020.htm)
> area. Monegasque resident documents and the harbor and helicopter-port
> of Monaco were added to the list of French titles and border-crossings
> (Decision of the Executive Committee of 23 June 1998, SCH/Com-ex
> (98)19). In December 2001, Monaco concluded with France, acting on
> behalf of the Community, a Monetary Agreement which entitles Monaco to
> use the euro as its official currency. The agreement obliges Monaco to
> apply relevant Community legislation and to take measures against
> counterfeiting of euro banknotes and coins. The Community concluded
> with Monaco an agreement regarding the application of Community
> legislation to pharmaceuticals, cosmetic products and medical devices.
> This agreement entered into force on 1 May 2004. It provides for the
> application of the relevant Community legislation in Monaco. However,
> the goods produced in Monaco are not assimilated to products of
> Community origin.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/monaco/intro/index.htm>
>
> [***Back to Index***](#index)
>
> []{#sanmarino .anchor}**San Marino**
>
> The establishment of official relations between the Republic of San
> Marino and the European Community dates back to February 1983. In 1991
> a Co-operation and Customs Union Agreement between the Community and
> San Marino was negotiated. After the introduction of the euro, an
> agreement on monetary relations between the European Community and San
> Marino was signed whereby San Marino, inter alia is entitled to use
> the euro as its official currency.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/sanmarino/intro/index.htm>
>
> [***Back to Index***](#index)

**Free Trade Agreements**

> []{#ACP .anchor}**ACP Countries**
>
> ACP or \"Africa, Caribbean, and Pacific\" countries consist of 79
> Member-States. All of them, except Cuba, South Africa and East Timor,
> are signatories to the [Cotonou
> Agreement](http://ec.europa.eu/development/icenter/repository/agr01_en.pdf)
> which establishes the relationship with European Union. Given the
> historical ties between EU Member States and the ACP Group, the
> trading relationship predates Cotonou and the earlier Lomé
> Conventions. The four [Lomé
> Conventions](http://ec.europa.eu/development/geographical/cotonou/lomegen/lomeitoiv_en.cfm),
> beginning in 1975, established a system of tariff preferences to give
> ACP countries access to the European market, and special funds to
> maintain price stability. This arrangement also served to guarantee
> regular supplies of raw materials for the EU market.
>
> ACP access to the EU has been generally described as "preferential"
> because non-ACP states, both developed and developing, do not enjoy
> the same degree of access. In this sense it is discriminatory. After
> signing the Lomé IV Convention in 1989, as multilateral negotiations
> were taking place, the EU and ACP countries agreed that there should
> be no trade discrimination. The obligation to uphold the WTO principle
> of non-discrimination forced EU and ACP countries to seek a [special
> exemption
> waiver](http://www.wto.org/English/thewto_e/minist_e/min01_e/mindecl_acp_ec_agre_e.pdf)
> from the WTO. This waiver expired on December 31, 2007.
>
> On September 27, 2002, in anticipation of the expired waiver, the EU
> launched negotiations leading to [Economic Partnership Agreements
> (EPAs)](http://ec.europa.eu/trade/issues/bilateral/regions/acp/pr270902_en.htm)
> to be conducted in two phases. The first phase addresses broader
> ACP-EU issues: development, agriculture and fisheries, services,
> market access and other trade-related matters. The second phase,
> conducted at ACP national and [regional
> level](http://ec.europa.eu/trade/issues/bilateral/regions/acp/regneg_en.htm),
> highlights more specific commitments.
> [Progress](http://www.acp.int/en/com/86/ACP2501307_declaration_e.pdf)
> in the negotiations has been slower than expected. In October 2007,
> when it became apparent that most EPAs would not be concluded by the
> target date of December 31, 2007, the Commission issued a
> [Communication](http://trade.ec.europa.eu/doclib/docs/2007/october/tradoc_136541.pdf)
> to outline a pragmatic approach to avoid potential trade disruptions.
>
> On December 20, 2007, the Council of the EU adopted a
> [regulation](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2007:348:0001:0154:EN:PDF)
> to grant duty and quota free access to the EU market to ACP countries
> starting January 1, 2008, with special transition periods for sugar
> and rice. The regulation applies to ACP countries that have concluded
> negotiations on either a full EPA or an interim agreement (countries
> are listed in Annex I of the regulation). The regulation provides for
> the possibility of amending Annex I as other negotiations are
> concluded.
>
> As of December 31, 2007, the Caribbean
> ([CARIFORUM](http://www.caricom.org/) - the 15 countries of the
> Caribbean) is the only region to have initialed a full EPA with the
> EU. For trade in goods, CARIFORUM countries are committed to
> liberalize 86.9 percent of imports from the EU over a period of 25
> years. 82.7 percent will be liberalized over a period of 15 years and
> 61.1 percent of imports will be liberalized after 10 years. Most
> African non-LDCs have concluded or are likely to conclude an interim
> agreement. Countries that have neither initialed an agreement nor have
> access to the [Everything-But-Arms
> regime](http://ec.europa.eu/trade/issues/global/gsp/eba/eba/index_en.htm)
> are expected to export to the EU under the [Generalized System of
> Preference
> regime](http://ec.europa.eu/trade/issues/global/gsp/index_en.htm). As
> of 20 December 2007, these countries are Nigeria, Republic of the
> Congo, Gabon, as well as the Pacific countries Cook Islands, Federated
> States of Micronesia, Nauru, Niue, Palau, Marshall Islands and Tonga
> (see
> [link](http://trade.ec.europa.eu/doclib/docs/2007/december/tradoc_137335.pdf)
> for the DG Trade update).
>
> Additional documentation:
>
> <http://www.acpsec.org/index.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/regions/acp/index_en.htm>
>
> <http://ec.europa.eu/development/index_en.cfm>
>
> <http://www.crnm.org/>
>
> <http://www.acp-eu-trade.org/>
>
> <http://trade.ec.europa.eu/doclib/docs/2008/january/tradoc_137484.pdf>
>
> <http://trade.ec.europa.eu/doclib/docs/2008/january/tradoc_137483.pdf>
>
> [***Back to Index***](#index)
>
> []{#southafrica .anchor}**South Africa**
>
> Although part of the ACP Group, South Africa\'s trade relations and
> development co-operation with the EU are governed by the [Trade,
> Development and Co-operation Agreement
> (TDCA)](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:1999:311:SOM:EN:HTML),
> which was signed in Pretoria on October 11, 1999. The TDCA entered
> into force on May 1, 2004 with the objective of creating a free-trade
> area over a transitional period of 12 years. The TDCA includes
> provisions for political dialogue, financial assistance and
> cooperation on development, economic, trade, social and cultural. From
> the outset, both sides agreed that several provisions of the Agreement
> would need to be updated, especially in the area of trade
> liberalization. South Africa has tied the review of the TDCA to the
> ongoing EPA negotiations.
>
> A
> [Wine](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2002:028:0004:0105:EN:PDF)
> and
> [Spirits](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2002:028:0113:0125:EN:PDF)
> Agreement was signed on January 28, 2002. Negotiations on the
> Fisheries Agreement have been suspended by mutual agreement.
>
> Additional documentation:
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/southafrica/index_en.htm>
>
> [http://ec.europa.eu/development/Geographical/RegionsCountries/Countries/South%20Africa.htm](http://ec.europa.eu/development/Geographical/RegionsCountries/Countries/South Africa.htm)
>
> <http://www.eusa.org.za/en/index.htm>
>
> [http://www.eusa.org.za/en/PDFdownload/Country%20Strategy%20Papers/CSP_2007-2013.pdf](http://www.eusa.org.za/en/PDFdownload/Country Strategy Papers/CSP_2007-2013.pdf)
>
> [***Back to Index***](#index)
>
> []{#andean .anchor}**Andean Community**
>
> EU cooperation with the Andean Community is within the context of the
> [Framework Co-operation
> Agreement](http://europa.eu/eur-lex/pri/en/oj/dat/1998/l_127/l_12719980429en00110024.pdf)
> signed in 1993. The EU-Andean trade relationship falls within the
> framework of the [General System of Preferences
> (GSP)](http://ec.europa.eu/trade/issues/global/gsp/index_en.htm). In
> addition to the general arrangements of the GSP, Andean countries also
> benefit from the "drug regime," a special arrangement for countries
> engaged in combating drug production and trafficking. The drug regime
> provides duty free market access for all industrial products included
> in the general GSP arrangements, including those classified as
> sensitive. It also provides duty free access for some agricultural
> products.
>
> Additional documentation:
>
> <http://ec.europa.eu/trade/issues/bilateral/regions/andean/index_en.htm>
>
> <http://ec.europa.eu/external_relations/andean/intro/index.htm>
>
> [***Back to Index***](#index)
>
> []{#ASEAN .anchor}**ASEAN**
>
> EU relations with the [Association of South East Asian Nations
> (ASEAN)](http://www.aseansec.org/) are founded on the 1980 Cooperation
> Agreement, which establishes the EU-ASEAN Joint Co-operation Committee
> (JCC) in 1980. Since 2000, trade and investment issues are discussed
> at Ministerial (EC-ASEAN Economic Ministers) and other meetings
> between the European Commission and ASEAN. One of the main objectives
> of these discussions has been to address the challenges of non-tariff
> barriers and regulatory co-operation. The current framework for these
> discussions is the [Trans-Regional EU-ASEAN Trade Initiative
> (TREATI)](http://trade.ec.europa.eu/doclib/docs/2007/december/tradoc_137414.pdf),
> which is designed to lay the foundation for an FTA. On April 23, 2007
> the Council authorized the Commission to start negotiating an FTA with
> ASEAN. EU and ASEAN Economic Ministers met in Brunei Darussalam on May
> 4, 2007 to launch the FTA negotiations. Four negotiating rounds are
> planned in 2008.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/asean/intro/index.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/regions/asem/index_en.htm>
>
> <http://trade.ec.europa.eu/doclib/docs/2007/may/tradoc_134706.pdf>
>
> <http://www.aseminfoboard.org/About/>
>
> [***Back to Index***](#index)
>
> []{#Chile .anchor}**Chile**
>
> After completing two Framework Co-operation Agreements, in 1990 and
> 1996, the EU and Chile negotiated an [Association
> Agreement](http://ec.europa.eu/trade/issues/bilateral/countries/chile/euchlagr_en.htm)
> which came into force on February 1, 2003. The EU-Chile FTA covers
> trade in goods, services and government procurement, liberalization of
> investment and capital flows, the protection of intellectual property
> rights, co-operation for competition and a binding dispute settlement
> mechanism. The Agreement includes provisions to facilitate trade in
> wines and spirits, and addresses sanitary and phytosanitary measures.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/chile/intro/index.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/chile/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#faroeislands .anchor}**Denmark (Faroe Islands)**
>
> Although Denmark has been a member of the European Community since
> 1973, the membership does not include the Faroe Islands. In 1974, the
> Faroese Parliament voted unanimously against applying for membership.
> Instead of membership, the Faroe Islands signed a [trade
> agreement](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:21997A0222(01):EN:HTML)
> with the EU in 1992. In principle, this agreement is similar to the
> one between the EU and the EFTA countries. On 28 November 2003, the
> Faroe Islands and the EU entered into an
> [agreement](http://register.consilium.europa.eu/pdf/en/05/st09/st09634.en05.pdf)
> on Faroese membership in the [Pan-European System of Cumulation of
> Origin](http://ec.europa.eu/taxation_customs/customs/customs_duties/rules_origin/preferential/article_783_en.htm),
> which entered into force on December 1, 2005. For the main Faroese
> export article, fish products, there are several restrictions on the
> quantities, which may enter the EU duty-free. In international
> fisheries organizations embracing the North Atlantic, where the EU
> represents metropolitan Denmark, the Kingdom of Denmark maintains a
> separate membership in respect of Faroe Islands.
>
> Additional documentation:
>
> <http://www.hfs.fo/>
>
> [***Back to Index***](#index)
>
> []{#EFTA .anchor}**European Free Trade Association (EFTA)**
>
> EFTA is a European trade bloc which was established on May 3, 1960 by
> seven European states who were either were unable to, or chose not to,
> join the then-European Economic Community. Today only Iceland, Norway,
> Switzerland, and Liechtenstein remain members of EFTA. Three of the
> EFTA countries are part of the European Union Internal Market through
> the Agreement on a European Economic Area (EEA), which took effect on
> January 1, 1994; the fourth, Switzerland, opted to conclude its own
> bilateral agreement with the EU.
>
> Additional documentation:
>
> <http://secretariat.efta.int/>
>
> [***Back to Index***](#index)
>
> **European Economic Area**
>
> The EEA Agreement is concerned principally with the four fundamental
> pillars of the Internal Market, "the four freedoms\", i.e. freedom of
> movement of goods (excluding agriculture and fisheries, which are
> included in the Agreement only to a very limited extent), persons,
> services and capital. Horizontal provisions relevant to these four
> freedoms in the areas of social policy, consumer protection,
> environment, company law and statistics complete the extended internal
> market.
>
> Additional documentation:
>
> <http://secretariat.efta.int/Web/EuropeanEconomicArea/EEAAgreement/EEAAgreement/EEA_Agreement.pdf>
>
> []{#swiss .anchor}**Switzerland**
>
> In 1992, a Swiss public referendum rejected the Agreement on the
> European Economic Area. Since then, Switzerland has worked to obtain
> similar access to the EU internal market through the negotiation of
> bilateral sector agreements, while at the same time retaining
> independence in areas such as bank secrecy, judicial cooperation,
> export controls, tax and competition law. Seven bilateral agreements
> (on free movement of people, public procurement, land and air
> transport,
> [agriculture](http://eur-lex.europa.eu/LexUriServ/site/en/oj/2002/l_114/l_11420020430en01320349.pdf),
> research, and mutual recognition of conformity assessment) were
> concluded in 1999 and entered into force on 1 June 2002. A further set
> of agreements, including [processed agricultural
> products](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2005:023:0019:0048:EN:PDF),
> were concluded in 2004 and entered into force on Together with the
> [EC-Switzerland Agreement of
> 1972](http://trade.ec.europa.eu/doclib/docs/2007/january/tradoc_133045.pdf),
> which established free trade in goods and competition rules, they form
> the basis for EU-Swiss bilateral relations.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/switzerland/intro/index.htm>
>
> [***Back to Index***](#index)
>
> **Euro-Mediterranean Partnership Agreements**
>
> Trade relations between the EU and the neighboring countries of the
> Mediterranean (Morocco, Algeria, Tunisia, Egypt, Jordan, the
> Palestinian Authority, Israel, Lebanon and Syria) are governed by the
> Euro-Mediterranean Partnership, or '[Barcelona
> Process](http://ec.europa.eu/external_relations/euromed/bd.htm)',
> which was launched in November 1995. In trade terms, the key goal of
> the [Barcelona
> Process](http://trade.ec.europa.eu/doclib/docs/2007/october/tradoc_136486.pdf)
> is to establish a Euro-Mediterranean Free Trade Area by 2010. The
> results, in terms of full agricultural trade liberalization, are still
> far from being achieved. In 2005, on the 10th anniversary of the
> Barcelona Process, both parties agreed -- as part of the [Luxemburg
> Roadmap](http://www.fco.gov.uk/Files/kfile/Euromed_5Year.pdf) - to
> embark on a more ambitious process of further trade liberalization
> covering agriculture, fishery and processed agricultural products. The
> purely trade liberalization process is now combined with
> \"accompanying\" measures within the framework of the [European
> Neighborhood Policy](http://ec.europa.eu/world/enp/index_en.htm).
> These measures primarily concern rural development and the promotion
> and enhancement of Mediterranean products.
>
> Additional documentation:
>
> <http://ec.europa.eu/trade/issues/bilateral/regions/euromed/index_en.htm>
>
> <http://ec.europa.eu/external_relations/euromed/med_ass_agreemnts.htm>
>
> <http://ec.europa.eu/world/enp/documents_en.htm>
>
> []{#algeria .anchor}**Algeria**
>
> The [EU-Algeria Association
> Agreement](http://eur-lex.europa.eu/LexUriServ/site/en/oj/2005/l_265/l_26520051010en00020228.pdf)
> was signed in 2002 and entered into force on September 1, 2005. It
> replaces the 1976 Cooperation Agreements. The Agreement establishes a
> Free Trade Area over a transitional period lasting a maximum of 12
> years.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/algeria/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/algeria/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#egypt .anchor}**Egypt**
>
> The [EU-Egypt Association
> Agreement](http://trade.ec.europa.eu/doclib/docs/2004/june/tradoc_117680.pdf)
> was signed in 2001 and entered into force on June 1, 2004. It replaces
> the 1977 Cooperation Agreement. Under the Agreement\'s tariff
> dismantling provisions (which started on January 1, 2004), half of the
> EU industrial exports to Egypt has already been liberalized).
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/egypt/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/egypt/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#Israel .anchor}**Israel**
>
> In 1995, the EU and Israel signed the [Euro-Mediterranean Association
> Agreement](http://www.delisr.ec.europa.eu/english/content/eu_and_country/asso_agree_en.pdf),
> which entered into force on June 1, 2000. It replaced the former 1975
> EC-Israel Cooperation Agreement. The Agreement provides for reciprocal
> tariff-free exports in industrial goods, and reciprocal tariff
> concessions in agricultural goods. Negotiations aimed at deepening
> further the liberalization of trade in agriculture and fisheries were
> launched in June 2006 within the framework of the [Rabat
> roadmap](http://register.consilium.eu.int/pdf/en/05/st00/st00002.en05.pdf)
> for agriculture. The Association Agreement also includes provisions on
> cooperation in customs and trade facilitation. Work is under way on
> the approximation of legislation in selected Israeli export sectors.
> With respect to products originating in the Israeli settlements in the
> West-Bank, Gaza Strip, East Jerusalem and the Golan Heights, the
> Commission has
> [notified](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:C:2005:020:0002:0002:EN:PDF)
> that these products are not entitled to benefit from preferential
> tariff treatment under the EU-Israel Association Agreement. As of
> February 1, 2005, products made in Israel must clearly state the name
> of the city, village or industrial zone where production has taken
> place.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/israel/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/israel/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#Jordan .anchor}**Jordan**
>
> The [Euro-Mediterranean Association
> Agreement](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2002:129:0003:0165:EN:PDF)
> with Jordan was signed on November 24, 1997, and entered into force on
> May 1, 2002. It replaced the 1977 Co-operation Agreement. The
> agreement establishes a free trade area between the EU and Jordan over
> phased 12- year period. Industrial products originating in Jordan are
> imported duty-free into the EU. Jordan abolished customs duties on a
> large number of EU products, and is gradually liberalizing on
> sensitive products. Negotiations on further trade liberalization in
> agriculture, including processed agricultural and fisheries products,
> were completed in 2005 and entered into force in January 2006. The
> agreement completely opens the EU market for all Jordanian
> agricultural products with some exceptions (fresh cut flowers, new
> potatoes, garlic, cucumbers, citrus fruit, strawberries and virgin
> olive oil). EU tariff quotas are scheduled to be mostly removed by
> 2010. Jordan will gradually liberalize its starting in 2007 through
> 2013.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/jordan/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/jordan/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#lebanon .anchor}**Lebanon**
>
> The [EU-Lebanon Association
> Agreement](http://trade.ec.europa.eu/doclib/docs/2007/october/tradoc_136434.pdf)
> was adopted in 2002, and its trade and trade-related provisions
> entered in force on an interim basis in March 2003. The Agreement was
> fully ratified in April 2006. Since March 1, 2003, Lebanese industrial
> and most agricultural products (within the limits of tariff quotas)
> enjoy free access to the EU market. A progressive elimination of
> tariffs on imports into Lebanon will take place between 2008 and 2014.
> Negotiations on further liberalization of agricultural, processed
> foods and fishery products will start in due course in the context of
> the Euromed [Rabat
> roadmap](http://register.consilium.eu.int/pdf/en/05/st00/st00002.en05.pdf).
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/lebanon/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/lebanon/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#morocco .anchor}**Morocco**
>
> The [EU-Morocco Association
> Agreement](http://trade.ec.europa.eu/doclib/docs/2006/march/tradoc_127906.pdf)
> was signed in Brussels on February 26, 1996, and entered into force on
> March 1, 2000. It replaced the 1976 Cooperation Agreement. The
> Association grants duty free access to all industrial products on the
> EU market. Negotiations to deepen liberalization of trade in
> agriculture, including processed foods and fisheries products, started
> early 2006, and are still ongoing.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/morocco/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/morocco/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#palestine .anchor}**Palestinian Authority**
>
> The [Association Agreement with the Palestinian
> Authority](http://trade.ec.europa.eu/doclib/docs/2004/june/tradoc_117751.pdf)
> was signed in February 1997, and its trade provisions came into force
> on an interim basis on July 1, 1997. The agreement provides for
> duty-free access to EU markets for Palestinian industrial goods, and a
> phase-out of tariffs on EU exports to Palestine over five years. The
> Agreement also foresees a gradual liberalization in agricultural and
> fisheries trade. Based on to the revision clause contained in the
> Association Agreement, the agricultural protocol has been adapted to
> further improve Palestinian preferential access to the EU market.
> Further bilateral discussions are envisaged within the framework of
> the [Rabat
> roadmap](http://register.consilium.eu.int/pdf/en/05/st00/st00002.en05.pdf).
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/occupied_palestinian_territory/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/palestine/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#syria .anchor}**Syria**
>
> The [Cooperation
> Agreement](http://eur-lex.europa.eu/Notice.do?val=64322:cs&lang=en&list=64322:cs,66076:cs,70902:cs,&pos=1&page=1&nbl=3&pgs=10&hwords=)
> in force between Syria and the EU dates from 1978. Negotiations on the
> new-generation Euro-Mediterranean Association Agreement were
> concluded, and an agreement was initialed in October 2004. However, it
> has not yet been ratified. Once it enters into force the EU-Syria
> Association Agreement will complement the current provisions for
> duty-free access to the EU market for manufactured goods. Syria will
> gradually open up its market gradually over a period of 12 years.
> Further discussion regarding liberalization of agriculture and
> services is planned for a subsequent phase.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/syria/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/syria/index_en.htm>
>
> [***Back to Index***](#index)
>
> []{#tunisia .anchor}**Tunisia**
>
> Tunisia was the first Mediterranean country to sign an [Association
> Agreement](http://trade.ec.europa.eu/doclib/docs/2006/march/tradoc_127986.pdf)
> with the EU. The Agreement was signed in July 1995, and entered into
> force on March 1, 1998. The Agreement provides for tariff-free exports
> in industrial goods to the EU. It also aims to improve the conditions
> for carrying out this trade by exploring new areas of cooperation in
> investment, trade facilitation and the approximation of legislation.
> Trade liberalization for agriculture, including processed foods and
> fishery products remains to be negotiated.
>
> Additional documentation:
>
> <http://ec.europa.eu/external_relations/tunisia/index_en.htm>
>
> <http://ec.europa.eu/trade/issues/bilateral/countries/tunisia/index_en.htm>

[]{#Azerbaijan .anchor}**Azerbaijan**

The [European Neighborhood
Policy](http://ec.europa.eu/world/enp/policy_en.htm) (ENP) [Action Plan
for
Azerbaijan](http://trade.ec.europa.eu/doclib/docs/2007/august/tradoc_135745.pdf)
was formally adopted and immediately implemented in mid-November 2006.
In the area of trade and economic cooperation, the Action Plan aims
to 1) encourage market economy reforms, and (2) approximate Azerbaijan's
legislation and practices to the EU.

Additional documentation:

<http://ec.europa.eu/external_relations/azerbaijan/index_en.htm>

<http://ec.europa.eu/trade/issues/bilateral/regions/caucasus/index_en.htm>

[***Back to Index***](#index)

[]{#Armenia .anchor}**Armenia**

The [European Neighborhood
Policy](http://ec.europa.eu/world/enp/policy_en.htm) (ENP) [Action Plan
for
Armenia](http://trade.ec.europa.eu/doclib/docs/2007/august/tradoc_135744.pdf)
was formally adopted and immediately implemented in mid-November 2006.
In the area of trade and economic cooperation, the Action Plan aims
to 1) encourage market economy reforms, and (2) approximate Armenia's
legislation and practices to the EU.

Additional documentation:

<http://ec.europa.eu/external_relations/armenia/index_en.htm>

<http://ec.europa.eu/trade/issues/bilateral/regions/caucasus/index_en.htm>

[***Back to Index***](#index)

[]{#bangladesh .anchor}**Bangladesh**

EU relations with Bangladesh date back to 1973. The first formal
agreement was the EC-Bangladesh \"Commercial Cooperation Agreement,\"
signed in 1976. This relationship was broadened to include trade and
economic development under the [Cooperation
Agreement](http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2001:118:0048:0055:EN:PDF)
of 2001.

Additional documentation:

<http://ec.europa.eu/external_relations/bangladesh/intro/index.htm>

[***Back to Index***](#index)

[]{#Belarus .anchor}**Belarus**

On 21 November 2006, the European Commissioner for External Relations,
Benita Ferrero-Waldner unveiled a
[document](http://ec.europa.eu/external_relations/belarus/intro/non_paper_1106.pdf),
which sets out goals for EU-Belarus relations within the context of the
[European Neighborhood
Policy](http://ec.europa.eu/world/enp/policy_en.htm). However, due to
the current political

conditions, the ENP has not yet been extended to Belarus.

Additional documentation:

<http://ec.europa.eu/external_relations/belarus/index_en.htm>

[***Back to Index***](#index)

[]{#centralamerica .anchor}**Central America**

EU trade relations with Central America are within the framework of the
EU's [General System of Preferences
(GSP)](http://ec.europa.eu/trade/issues/global/gsp/index_en.htm). In
addition, Central American countries also benefit from special
arrangements to combat drug production and trafficking (under the
so-called 'drug regime').

The drug regime provides duty free market access for all industrial
products included in the general arrangements. It also provides duty
free access for some agricultural products. Central American countries
are also eligible for the new
"[GSP+](http://ec.europa.eu/trade/issues/global/gsp/pr211205_en.htm)"
which is designed to encourage sustainable development. On December 15,
2003, the EU and the six Central American countries signed a new
[Political Dialogue and Co-operation
Agreement](http://trade.ec.europa.eu/doclib/docs/2004/december/tradoc_120620.pdf).
The Agreement replaces the 1993 Framework Cooperation agreement, and
sets the objective of achieving a Free trade Agreement.

Additional documentation:

<http://ec.europa.eu/external_relations/ca/index.htm>

<http://ec.europa.eu/trade/issues/bilateral/regions/central_america/index_en.htm>

<http://www.aacue.go.cr/>

[]{#Georgia .anchor}**Georgia**

The [European Neighborhood
Policy](http://ec.europa.eu/world/enp/policy_en.htm) (ENP) [Action Plan
for
Georgia](http://trade.ec.europa.eu/doclib/docs/2007/august/tradoc_135746.pdf)
was formally adopted and immediately implemented in mid-November 2006.
In the area of trade and economic cooperation, the Action Plan aims
to 1) encourage market economy reforms, and (2) approximate Georgia's
legislation and practices to the EU.

Additional documentation:

<http://ec.europa.eu/external_relations/georgia/index_en.htm>

<http://ec.europa.eu/trade/issues/bilateral/regions/caucasus/index_en.htm>

[***Back to Index***](#index)

[]{#GCC .anchor}**Gulf Cooperation Council (GCC)**

In 1989, the EU signed a [Cooperation
Agreement](http://ec.europa.eu/trade/issues/bilateral/regions/gcc/eu_gcc_agr_en.htm)
with the six countries of the [GCC](http://gcc-sg.org/index_e.html).
Under the Agreement, EU and GCC Foreign ministers meet once a year in a
Joint Council/Ministerial Meeting, with the objective of facilitating
trade relations. The Joint Council has established working groups to
promote dialogue on industrial cooperation, energy, environment and
education. Both sides have committed to enter into negotiations on a
Free Trade Agreement (FTA). Negotiations began in 1990, but stalled
after GCC decided to move towards a Customs Union. Discussions resumed
in March 2002.

Additional documentation:

<http://ec.europa.eu/external_relations/gulf_cooperation/intro/index.htm>

<http://ec.europa.eu/trade/issues/bilateral/regions/gcc/index_en.htm>

[***Back to Index***](#index)

[]{#India .anchor}**India**

The EU and India have signed a number of bilateral agreements. These
include:

[Agreement on Sugar
Cane](http://trade.ec.europa.eu/doclib/docs/2003/november/tradoc_114177.pdf)
(in force since July 18, 1975)

[1994 Co-operation
Agreement](http://trade.ec.europa.eu/doclib/docs/2007/june/tradoc_135123.pdf)
(signed on December 20, 1993)

[Science and Technology
Agreement](http://trade.ec.europa.eu/doclib/docs/2003/july/tradoc_113341.pdf)
(signed on November 23, 2001)

[Customs Co-operation
Agreement](http://ec.europa.eu/external_relations/library/publications/11_eu-india-2003.pdf)
(signed on April 28, 2004)

On September 7, 2005, the EU and India adopted a [Joint Action
Plan](http://trade.ec.europa.eu/doclib/docs/2005/september/tradoc_124785.pdf),
agreeing to find ways to increase bilateral trade and economic
cooperation, tackling barriers to trade and investment. A High Level
Trade Group was established to make recommendations towards negotiating
a Free Trade Agreement. On June 28-29, 2007, formal FTA negotiations
began. An EU-India Maritime Agreement is also being negotiated.

Additional documentation:

<http://ec.europa.eu/external_relations/india/intro/index.htm>

<http://ec.europa.eu/trade/issues/bilateral/countries/india/index_en.htm>

<http://trade.ec.europa.eu/doclib/docs/2007/june/tradoc_135112.pdf>

<http://trade.ec.europa.eu/doclib/docs/2007/june/tradoc_135101.pdf>

<http://trade.ec.europa.eu/doclib/docs/2007/may/tradoc_134682.pdf>

[***Back to Index***](#index)

[]{#Iran .anchor}**Iran**

The EU does have contractual relations with Iran. In June 2002, the
Council of the European Union agreed to open negotiations with Iran;
these discussions however have been suspended.

Additional documentation:

<http://ec.europa.eu/external_relations/iran/intro/index.htm>

<http://ec.europa.eu/trade/issues/bilateral/countries/iran/index_en.htm>

[***Back to Index***](#index)

[]{#Iraq .anchor}**Iraq**

In March 2006, the Council of the European Union agreed to open
negotiations with Iraq, covering political aspects as well as a trade
and co-operation agreement. The negotiations were launched in Brussels
in November 2006. Subsequent negotiations took place in June and
November 2007.

Additional documentation:

<http://ec.europa.eu/external_relations/iraq/intro/index.htm>

<http://ec.europa.eu/trade/issues/bilateral/countries/iraq/index_en.htm>

[***Back to Index***](#index)

[]{#Kazakhstan .anchor}**Kazakhstan**

In 1995, the EU and Kazakhstan signed a [Partnership and Cooperation
Agreement](http://www.delkaz.cec.eu.int/upload/download_files/PCA Kazakhstan.pdf).
The Agreement, in force since July 1999, establishes political dialogue,
and a roadmap for trade liberalization. Economic relations will likely
accelerate after Kazakhstan becomes a [full member of the
WTO](http://www.wto.org/English/thewto_e/acc_e/a1_kazakhstan_e.htm).

Additional documentation:

<http://ec.europa.eu/external_relations/kazakhstan/intro/index.htm>

<http://ec.europa.eu/external_relations/kazakhstan/intro/index.htm>

[]{#mercosur .anchor}**MERCOSUR**

In 1992, the EU signed an Inter-institutional Agreement with
[Mercosur](http://www.mercosur.int/msweb) to provide technical and
institutional support. Since April 2000, the EU and Mercosur have been
negotiating an inter-regional Association Agreement. These negotiations
encompass Argentina, Brazil, Paraguay and Uruguay. Venezuela, accepted
as a full member in 2006, is still in the process of integration with
Mercosur. From April 2000 to May 2004, there were [13 rounds of
discussions](http://ec.europa.eu/external_relations/mercosur/ass_neg_text/bnc1-8.htm),
focusing primarily on trade and economic issues. Since then, a series of
annual ministerial meetings have not yet managed to advance the effort
toward an FTA. Agriculture, as demonstrated in a [recent
report](http://www.sia-trade.org/mercosur/phase1/MTR_AGRI_FINAL_EN.pdf)
prepared for the European Commission, remains a very difficult component
of the negotiations.

Additional documentation:

<http://ec.europa.eu/trade/issues/bilateral/regions/mercosur/index_en.htm>

<http://ec.europa.eu/external_relations/mercosur/rsp/07_13_en.pdf>

<http://www.sice.oas.org/TPD/MER_EU/Studies/Regionalpaper_e.pdf>

[***Back to Index***](#index)

[]{#mexico .anchor}**Mexico**

Bilateral relations between the EU and Mexico are governed by the
[Economic Partnership, Political Co-operation and Co-operation
Agreement](http://www.sice.oas.org/Trade/mex_eu/english/Decisions_Council/2_2000_e.pdf)
signed in Brussels on December 8, 1997. The Agreement entered into force
on October 1, 2000. The Agreement involves substantially all trade to be
liberalized at the end of the transition periods. For industrial goods,
100 percent is liberalized starting January 1, 2003 for the EU, and
January 1, 2007 for Mexico.

Agricultural products are to be liberalized, 80 percent of EU imports
and 42 percent of Mexican imports by 2010. Trade liberalization for fish
products will cover 100 percent of EU imports and 89 percent of
Mexico\'s imports. The Agreement also contains tariff quotas for certain
agricultural products that are not subject to full liberalization, with
special provisions also covering co-operation in the field of customs,
standards, technical regulations, Sanitary and Phytosanitary (SPS)
measures, and for the opening of public procurement markets.

Additional documentation:

<http://ec.europa.eu/trade/issues/bilateral/countries/mexico/index_en.htm>

<http://ec.europa.eu/external_relations/mexico/intro/index.htm>

[***Back to Index***](#index)

[]{#russia .anchor}**Russia**

The [Partnership and Co-operation Agreement
(PCA)](http://trade.ec.europa.eu/doclib/docs/2003/november/tradoc_114138.pdf)
provides the framework for the EU-Russia relationship. It was signed in
1994, and entered into force on December 1, 1997. The Agreement
regulates political, economic and cultural relations between the EU and
Russia, and serves as a legal basis for the EU\'s bilateral trade with
Russia. One of the main objectives of the Agreement is trade and
investment, encouraging economic relations between the EU and Russia.
The current PCA expired on December 31, 2006. However, it remains in
force until a new agreement is negotiated to replace it. The EU and the
Russian Federation have discussed beginning negotiations on a new
agreement. A comprehensive framework was submitted to the EU Council on
November 26, 2006, but an EU negotiating mandate has not yet been
approved. Certain Russian goods can enter the EU market under the EU\'s
General System of Preferences (GSP).

Additional documentation:

<http://ec.europa.eu/trade/issues/bilateral/countries/russia/index_en.htm>

<http://ec.europa.eu/external_relations/russia/intro/index.htm>

[***Back to Index***](#index)

[]{#SouthKorea .anchor}**South Korea**

In 1995, the EU and South Korea negotiated a [Framework Agreement on
Trade &
Co-operation](http://trade.ec.europa.eu/doclib/docs/2005/february/tradoc_111835.pdf).
This served to also establish agreements on [customs
cooperation](http://ec.europa.eu/trade/issues/bilateral/countries/korea/coop_maac.htm)
and [telecommunications
procurement](http://ec.europa.eu/trade/issues/bilateral/countries/korea/telecom_agr.htm).
On April 23, 2007, the European Council authorized the Commission to
start negotiating an FTA with South Korea. Two weeks later, EU Trade
Commissioner Peter Mandelson and Korean Trade Minister Kim Hyun Chong
launched formal negotiations in Seoul. The EU has identified South Korea
as a priority FTA partner, and negotiations are ongoing. The EU has
commissioned
[several](http://trade.ec.europa.eu/doclib/docs/2007/may/tradoc_134707.pdf)
[impact
assessments](http://trade.ec.europa.eu/doclib/docs/2007/december/tradoc_136964.pdf)
to support the negotiation process.

Additional documentation:

<http://ec.europa.eu/trade/issues/bilateral/countries/korea/index_en.htm>

<http://ec.europa.eu/external_relations/south_korea/intro/index.htm>

<http://trade.ec.europa.eu/doclib/docs/2007/december/tradoc_137279.pdf>

[***Back to Index***](#index)

[]{#Ukraine .anchor}**Ukraine**

EU relations with the Ukraine are largely based on a [Partnership and
Co-operation Agreement
(PCA)](http://ec.europa.eu/external_relations/ceeca/pca/pca_ukraine.pdf),
which entered into force in 1998. The agreement regulates political,
economic and cultural relations, providing the legal basis for bilateral
trade with Ukraine. In addition, the EU and the Ukraine have agreements
governing trade in steel and
[textile](http://trade.ec.europa.eu/doclib/docs/2004/january/tradoc_115541.pdf)
products. In March 2007, as the PCA neared its 10-year expiration, the
EU and Ukraine launched bilateral negotiations for a new Enhanced
Agreement, with the aim of reaching a comprehensive FTA. Under the
[European Neighborhood
Policy](http://ec.europa.eu/world/enp/index_en.htm), the EU has
developed an [Action
Plan](http://ec.europa.eu/world/enp/pdf/action_plans/ukraine_enp_ap_final_en.pdf)
and a [Trade Sustainability Impact Assessment
study](http://trade.ec.europa.eu/doclib/docs/2007/october/tradoc_136296.pdf),
which set the path toward an FTA once the Ukraine's [membership in the
WTO](http://www.wto.org/English/thewto_e/acc_e/a1_ukraine_e.htm) is
finalized.

Additional documentation:

<http://ec.europa.eu/external_relations/ukraine/index_en.htm>

<http://ec.europa.eu/trade/issues/bilateral/countries/ukraine/index_en.htm>

[***Back to Index***](#index)