RESTRICTED  
  
WT/TPR/G/ 357 
17 May 2017 
(17-2617) Page: 1/24 
Trade  Policy Review Body  Original: English  
 
TRADE POLICY REVIEW  
REPORT BY  
THE EUROPEAN UNION 
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by 
European Union  is attached.  
 
 
Note: This report is subject to restricted circulation and press embargo until the end of the first 
session of the meeting of the Trade Policy Review Body on European Union . WT/TPR/G/ 357 • European Union  
 
- 2 - 
 
  Contents  
 
 
1   THE EUROPEAN UNION IN THE GLOBAL TRADING SYSTEM  ................................ .........  3 
2   TRADE AND THE ECONOM IC ENVIRONMENT  ................................ ................................  4 
2.1   The EU economic environment and its macroeconomic policy  ................................ ............  4 
2.2   Trends in Foreign  trade and in FDIs  ................................ ................................ ...............  4 
3   DEVELOPMENTS IN THE INTERNAL MARKET: THE  SINGLE MARKET STRATE GY ............  5 
4   TRADE AND INVESTMENT  POLICY DEVELOPMENTS SINCE 2015  ...............................  13 
4.1   Trade for All Communication and its implementation  ................................ ....................... 13 
4.1.1    Transparency in policy making  ................................ ................................ .................. 14 
4.1.2    An effective EU trade policy that tackles new economic realities  ................................ ....14 
4.1.3    A trade and investment policy based on values  ................................ ............................ 16 
4.1.4    The EU negotiating agenda  ................................ ................................ ....................... 20 
5   LOOKING AHEAD  ................................ ................................ ................................ ....... 23 
 
 WT/TPR/G/ 357 • European Union  
 
- 3 - 
 
  1  THE EUROPEAN UNION I N THE GLOBAL TRADING  SYSTEM  
1.1.  Trade makes a vital contribution to the EU’s economic and external policy and we must make 
sure that it continues to deliver real benefits for citizens. For this to happen, the multilateral 
trading system – the very basis of global trade – must be maintained a nd strengthened"  European 
Commissioner for Trade Cecilia Malmström.  
1.2.  The EU continues to actively advance its ambitious trade and investment agenda with 
partners around the world, at multilateral, plurilateral and bilateral level. The EU's objective is to 
open markets in order to create conditions for sustainable and mutually beneficial economic 
growth, and to create economic opportunities for European consumers, workers and 
entrepreneurs, while remaining vigilant and ensuring a level playing field between d omestic and 
foreign producers and services providers based on genuine competitive advantages.  
1.3.  The EU trade policy is grounded in broader European values – like promoting ambitious 
climate change mitigation, protecting the environment and guaranteeing food safety and security  
as well as the protection and promotion of labour rights . In line with the EU's Global Strategy, the 
EU trade policy is consistent with its wider foreign policy objectives - that are to pursue a policy 
that benefits society as a whole - and promotes European and universal standards and values 
alongside core economic interests, putting a greater emphasis on sustainable development, human 
rights, consumer protection, responsible and fair trade and well as fair taxation.  
1.4.  The EU believes th at the multilateral trading system has to be at the centre of the global 
governance framework that WTO Members should collectively nurture and develop. It is only the 
multilateral trading system that can guarantee inclusive growth and can ensure the expans ion of 
real development opportunities for the poorest and most -vulnerable WTO Members. And it is only 
the WTO which has the tools and geographic scope to create a level playing field for traders. For 
this reason, the EU is working with other WTO Members to  preserve the integrity of the WTO; and 
it is for this reason that the EU is helping to lead efforts to prepare outcomes for the 11th WTO 
Ministerial Conference and beyond. The EU is seeking new progress in the WTO on a broad set of 
issues that matter in t oday's global economy such as e -commerce and digital trade, domestic 
support in agriculture, fisheries subsidies, and issues of interest to SMEs that focus on 
transparency of regulatory measures for trade in goods. Following the entry into force of the Tra de 
Facilitation Agreement, the EU will now concentrate on providing the necessary technical 
assistance to Developing Countries for its swift implementation.  
1.5.  Negotiations for plurilateral agreements also deserve recognition as contributors to global 
trade and economic growth. The EU played a leading role in the successful negotiations to update 
the Information Technology Agreement (ITA -2) that, besides promoting economic growth, also 
contributes to enhancing innovation and digitali zation. The EU is furtherm ore committed to 
concluding the Environmental Goods Agreement (EGA) considering that such an agreement would 
support efforts to address urgent climate and environmental challenges. Equally, the EU is 
committed to advance the Trade in Services Agreement (Ti SA) negotiations, aiming to enhance 
services trade by tackling existing market barriers.  
1.6.  The EU is pursuing a progressive trade and investment agenda, where, besides increased 
transparency and better understanding and communication of the gains of trade, t he following 
elements are crucial: (1) making sure that benefits from trade are shared more equally; and (2) 
establishing a comprehensive, fair and effective regulatory interface between trade and investment 
and issues such as labour or environment.  
1.7.  The EU  is undergoing an economic recovery, although its pace has not yet achieved its full 
potential, especially when it comes to creating jobs for the young and reducing inequality. During 
the period under review, the EU has faced several broader challenges, in cluding heightened 
migration flows and the 2016 U .K. referendum.  WT/TPR/G/ 357 • European Union  
 
- 4 - 
 
  2  TRADE AND THE ECONOM IC ENVIRONMENT  
2.1  The EU economic environment and its macroeconomic policy  
2.1.  Since the last review, the economy of the European Union has maintained its course of 
moderate reco very benefiting from a number of factors, including low oil prices, past depreciation 
of the euro and accommodative monetary policy. The European economy has proved resilient to 
numerous challenges, despite rising geopolitical uncertainty.  
2.2.  In 2016, GDP gro wth was around 1.8% compared to 2.2% in 2015. Looking forward and on 
the basis of the 2017 winter forecast1, the European Commission expects growth to continue at 
about the same pace in 2017 and 2018 as in 2016. Private consumption is expected to continue 
being the backbone of the EU expansion driven by employment growth and a stronger rise in 
wages.  
2.3.  The labour market continues to recover, demonstrated by the falling unemployment rate in 
the EU which declined from 9.4% in 2015 to 8.5% in 2016 and is expecte d to decline further to 
8.1% in 2017 and 7.8% in 2018, yet still above pre -crisis level.  
2.4.  Risks to the economic outlook include policy and political uncertainties both within and 
outside the EU.  
2.5.  Since the start of the global economic and financial crisis, t he European Commission, 
together with the European Investment Bank, launched the Investment Plan for Europe to boost 
growth, employment and investment.  
2.6.  At the heart of the Investment Plan, a European Fund for Strategic Investments was created 
in 2015, with  an initial €21 billion backed by the EU (an EU budget guarantee of €16 billion and a 
contribution from the European Investment Bank of €5 billion). Thanks to a multiplier effect 
achieved by attracting private and public investors, this should trigger inve stments of more than 
€315 billion over three years. Already after one year and a half, the Plan is expected to mobili ze 
over €154 billion of new investments across the EU, from large infrastructure projects to local 
small and medium -sized companies in need  of capital to expand their ideas. Given the success of 
the Plan so far, in September 2016 the European Commission announced  its ambition to double 
the duration and financi al capacity of the EFSI. Specifically, the Commission submitted a legal 
proposal2 to increase the EFSI investment target from €315 billion to at least half a trillion euro in 
investments and extend the initial three -year period (mid -2015 to mid -2018) to the end of 2020 
(the so called EFSI 2.0 proposal).  
2.2  Trends in Foreign trade and in FDIs  
2.7.  The EU is the world's largest trading bl ock and the world’s largest trader of manufactured 
goods and services.  
2.8.  In 2015, the EU recorded a surplus with the rest of the world amounting to €60 billion in 
trade in goods and of €151 billion in trade in services.  
2.9.  The EU exported 20.7% of its goods to the United States, its main commercial partner, while 
9.5% went to China and 8.4% to Switzerland. In services, EU28 exports are directed primarily to 
the United States (25.8%) and Switzerland (14.3%). The EU imported 20.3% of its goods from 
China, 14.4% fr om the United States and 7.9% from the Russian Federation. In services, the 
United States is the EU’s leading supplier (31.6%), followed by Switzer land (10.6%) and China 
(3.8%).  
2.10.   As a share of GDP, in 2015, the trade surplus did not change significantly com pared to the 
previous couple of years, remaining in the range of 34%, although very large differences were 
registered among the EU Member States.  
                                                
1 https://ec.europa.eu/info/publications/european -winter -economic -forecast -2016_en . 
2 COM(2016)597 final.  WT/TPR/G/ 357 • European Union  
 
- 5 - 
 
  Table 1. EU28 trade in good s and services, 2014 and 2015  
(€ billion)  
 Exports  Imports  Trade balance  
  2014  2015  2014  2015  2014  2015  
Trade in goods  1,703  1,789  1,692  1,729  11 60 
Trade in services  765 811 602 660 163 151 
Source:  EUROSTAT (Trade in goods based on merchandise trade ; trade in services on Ba lance of 
 Payment methodology).  
2.11.   Table 2 summari zes the EU FDI inward and outward stocks and flows with Extra -EU28. It 
shows that in 2015 Extra -EU28 inward FDI stocks increased by more than 20% compared to 
inward stocks in 2014 and inward flows amounted to almost €470 billion, significantly higher 
compared to 2014. The outward FDI stocks reached almost €6,900 billion, compared to €6,000 
billion in 2014. The m ain three leading sources of FDI are the United States, Switzerland and 
Japan , while the l eading destination s of EU FDI are the United States, Brazil and Switzerland.  
Table 2. EU28 FDI inward and outward stocks and flows with the world  
(€ billion)  
  Stocks  Flows  
  2014  2015  2014  2015  
Inward  4,758  5,842  99 467 
Outward  6,000  6,894  58 529 
Source:  EUROSTAT.  
3  DEVELOPMENTS IN THE INTERNAL MARKET: THE  SINGLE MARKET STRATE GY 
3.1.  The EU is a very open market as demonstrated by a Trade -to-GDP ratio of 34.1%3 in 2015 
and an overall simple tariff applied level of 5.1%4. Nevertheless, the EU is constant ly working on 
adopting and/or enforcing initiatives integrating its internal market more deeply, and in so doing, 
for further opening its market . 
3.2.  For further strengthening the EU’s capacity to take advantage of open markets the EU 
internal market needs to work better, accompanied by s tructural reforms, less red tape, better 
access to finance and more investment in infrastructure, skills and research and development.  
3.3.  On 28 October 2015, the European Commission presented a new Single Market Strategy5 
which ai ms at unlocking the full potential of the Single Market.  
3.4.  The Strategy aims at reviving and moderni zing the Single Market in a way that improves the 
functioning of the markets for products and services, and guarantees appropriate protection for 
citizens. It  is made up of targeted actions in three key areas:  
 creating opportunities for consumers, professionals and businesses;  
 encouraging and enabling the moderni zation and innovation that Europe needs;  
 ensuring practical delivery that benefits consumers and bu sinesses in their daily lives.  
The EU’s better regulation policy  
3.5.  On 19 May 2015, the European Commission adopted the comprehensive Better Regulation 
Package aiming at reducing the unnecessary costs of regulation. Better regulation is about 
designing EU pol icies and laws so that they achieve their objectives at minimum cost. It is a way of 
working to ensure that policy is prepared, implemented and reviewed in an open, transparent 
                                                
3 This ratio does not inc lude intra EU trade. 
http://trade.ec.europa.eu/doclib/docs/2013/may/tradoc_151348.pdf . 
4 Most recent WTO data: https://www.wto.org/english/res_e/booksp_e/tariff_profiles16_e.pdf . 
5 http://ec.europa.eu/growth/single -market/strategy_en . WT/TPR/G/ 357 • European Union  
 
- 6 - 
 
  manner, informed by the best available evidence and backed up by the comprehens ive 
involvement of stakeholders.  
3.6.  To ensure that the EU action is effective, the European Commission assesses the expected 
and actual impacts of policies, legislation, and other important measures at every stage of the 
policy cycle – from planning to implem entation to review and subsequent revision. For example, 
each time that the EU takes action, the European Commission publishes a roadmap and an 
inception impact assessment describing the planned initiative and the evaluation of the existing 
legislation. La ter, once they have been implemented for a sufficient period of time, the initiatives 
are evaluated to check their performance against standard criteria. Stakeholders are able to 
express their views over the  entire life -cycle of a policy.  
Reforms towards a  more integrated Single Market for Goods  
3.7.  The EU Single Market accounts for more than 500 million consumers and 22 million small and 
medium -sized enterprises (SMEs). The European Commission’s main goal is to ensure the free 
movement of goods  within the single market, and to set high safety and health standards for 
citizens and the protection of the environment. In this respect, in 2016, eleven directives6, setting 
essent ial requirements for products, entered into application. Furthermore, three Regulations  
which will become applicable in 2018 have been adopted .7 Finally, c omprehensive guidance on the 
implementation of EU product rules, the so -called Blue Guide was updated  and published in July 
2016.8 
Moderni zation of the European standardi zation system  
3.8.  As one concrete achievement of the Single Market Strategy, on 1 June 2016 the European 
Commission adopted a Communication9 setting out the basis for a single and coherent Eu ropean 
Standardisation System that adapts to the changing environment, supports multiple policies and 
brings benefits and predictability to consumers and businesses. This was followed by a Joint 
Initiative on Standardisation10, signed on 13 June 2016, setti ng out a shared vision for European 
standardi zation with the aim to speed up and better prioriti ze standard setting across the board. 
The initiative is driven by stakeholders (EU and EFTA Member States, standardi zation 
organi zations and bodies, European in dustry and industry associations, SMEs, and societal 
stakeholders), with the European Commission playing a mainly coordinating role and building 
consensus, bringing together the experti ze of all parties involved.  
Moderni zation of the EU Intellectual Proper ty (IP) framework, including measures to 
support the use of IP by SMEs  
3.9.  As a concrete action for the implementation of the Single Market Strategy, on 22 November 
2016 the European Commission adopted the "Start -up and Scale -up Initiative"11 that aims at 
impro ving the conditions for start -ups and SMEs to grow, creating more jobs and enhancing 
Europe's competitiveness . 
3.10.   On IPR the Communication mentions that in 2017 -18 the Commission intends to adopt a set 
of measures to support the use of IPR by SMEs namely:  
                                                
6 Low Voltage Directive, Electromagnetic Com patibility Directive, ATEX Directive, Lifts Directive, Simple 
Pressure Vessels Directive, Measuring Instruments Directive, Non -automatic Weighing Instruments Directive, 
Civil Explosives Directive, O. J. L 96, 29.03.2014; Radio Equipment Directive OJ L 153,  22.5.2014, Pressure 
Equipment Directive OJ L 189, 27.6.2014 and Marine Equipment Directive OJ L 257, 28.8.2014.  
7 On cableway installations (Regulation (EU) No . 2016/424, OJ L 81, 31.3.2016, p.1), personal 
protective equipment (Regulation (EU) 2016/425, O J L 81, 31.3.2016, p.51) and appliances burning gaseous 
fuels (Regulation (EU) 2016/426, OJ L 81, 31.3.2016, p.99).  
8 http://eur -lex.europa.eu/legal -content/EN/TXT/?uri=uriserv:OJ.C_.2016.272.01.0001.01.ENG&toc 
=OJ:C:2016:272:TOC  
9 Communication from the Commission to the European Parliament, the Council, the European and 
Social committee and the committee of the Regions "European standards for the 21st century". 
http://ec.europa.eu/DocsRoom/documents/16980 . 
10 http://ec.europa.eu/growth/tools -databases/newsroom/cf/itemdetail.cfm?item_id=8839&lang= 
en&tpa_id=0&title=Commission -takes -steps -to-modernise -EU%27s -standardisation -policy . 
11 http://eur -lex.europa.eu/legal -content/EN/TXT/?uri=COM:2016:733:FIN . WT/TPR/G/ 357 • European Union  
 
- 7 - 
 
   streamlining awareness on existi ng IP Support schemes for SMEs;  
 developing an EU IP mediation an d arbitration network for SMEs;  
 encouraging the creation of European -level insurance schem es for litigation and IP theft;  
 improving coordination of IP support fund ing schemes, possibly by including guidance to 
Member States.  
Reforms towards a more integrated Single Market in services  
3.11.   Services are crucial to the Single Market. They account for over 70% of all economic activity 
in the EU and a similar proportion of jo bs. EU companies have the freedom to establish themselves 
in other EU countries and the freedom to provide services in countries other than the one  in which 
they are established.  
3.12.   The main EU legal basis is the 2006 Services Directive .12 It covers services a ctivities 
accounting for 46% of EU GDP, including in sectors like retail, tourism, construction and business 
services. It is not limited to services provided between EU countries, however, and also covers 
services provided within countries.  
3.13.   Full implementa tion of the Services Directive means:  
 removing red tape and simplifying the establishment of service providers in  their home 
country and abroad;  
 simplifying the cross -border provision of se rvices into other EU countries;  
 strengthening of the rights of ser vice recip ients, in particular consumers;  
 easing access to a wider range of services.  
3.14.   In addition to the Directive, a number of sector specific laws provide the rules for financial 
services , transport , telecommunications , postal services , broadcasting  and patient rights . In 
particular, in 2016 the EU adopted the fourth railway package which aims to improve  the 
competitiveness  of the rail sector  and quality  of rail services  by removing  administrative  costs,  
introducing  more competition  in domestic  passenger  services  and ensuring  a level playing  field for 
operators.  
Supporting a balanced develo pment of the collaborative economy  
3.15.   As announced in the Single Market Strategy and with a view to provide legal clarity and 
avoid market fragmentation, in June 2016 the European Commission adopted the Communication 
on the European agenda for the collaborati ve economy .13 The Communication provides legal 
guidance underlying how existing EU legislation like the Services Directive, the e -Commerce 
directive and the Unfair Commercial Practices Directive apply to the collaborative economy. It 
issues policy recommend ations to Member States and market participants to ensure its balanced 
development across the EU. It also sets forward -looking actions at EU level e.g. to continue 
monitoring the regulatory and economic developments, promote the exchange of Member States' 
best practices, deepen the stakeholders' dialogue, etc.  
Mutual recognition of professional qualifications  
3.16.   A policy of mutual recognition of professional qualifications between EU Member States has 
been one of the core policies of the EU since its creation.  Professionals and their activities are 
regulated by Member States at national, reg ional or sometimes local level.  
                                                
12 http://eur -lex.europa .eu/legal -content/EN/TXT/?uri=celex%3A32006L0123 . 
13 COM(2016)356 final.  WT/TPR/G/ 357 • European Union  
 
- 8 - 
 
  3.17.   During the period under review, certain amendments to the 2005 Professional Qualifications 
directive14 (the EU legal basis for the movement of  professionals between Member States) entered 
into force:  
a. Firstly, modifications sought to enhance the recognition processes through better use of 
electronic networks (e.g. the European Professional Card, initially a pplicable to five 
professions).  
b. Secondly , the Directive put in place a system for secure information exchanges between 
authorities on any suspension decisions affecting professionals exercising activities with 
patient safety implications or activities linked to the education and care of mino rs (the 
alert mechanism).  
3.18.   At same time, the Directive initiated a process of evaluation of all national professional 
regulation in the EU Member States. National authorities were invited to review their regulations 
and subsequently to propose action plans with  a view to ensuring that, on the basis of those public 
interests that the regulations sought to protect, only rules which were justified, proportionate and 
non-discriminatory should be maintained. This process is on -going since periodic reviews of 
national  regulations are now part of the amending legislation.  
Reforms in the EU public procurement market  
3.19.    Following the adoption of the new rules on public procurement15 which came into force on 
18 April 2014 and were presented in the previous government report, the EU Members States had 
to put in place national legislation conforming to these rules by 18 April 2016. The European 
Commission has helped the Member States with this and continues to do so.  
Inter national Procurement Instrument  
3.20.   On 29 January 2016, the E uropean Commission adopted a revised proposal for an 
International Procurement Instrument16, a tool aiming at promoting open access to public 
procurement markets around the world. This proposal is curren tly in the legislative process.  
Capital Markets  Union  
3.21.   The Capital Markets Union (CMU) is a core component of the Commission's Investment Plan 
for Europe and encompasses the reforms of the EU financial system needed to enable the flow of 
private capital to fund the EU's pressing investment challenges – in the domains of infrastructure, 
energy transition, and particularly in financing growing businesses. CMU seeks to better connect 
savings to investment and to strengthen the EU financial system by enhancing private risk -
sharing, providing alternative sources of financing, and increasing options for retail and 
institutional investors. Removing obstacles to the free flow of capital across borders will strengthen 
the Economic and Monetary Union by supporting economic convergence and helping to cushion 
economic shock s in the euro area and beyond, making the EU economy more resilient. The CMU 
package consists of both legislative proposals and non -legislative initiatives.  
3.22.   On 30 September 2015 the Commission adopted an Action Plan on Building a CMU. The 
action plan sets out a programme of 33 actions and related measures, which aim to establish the 
building blocks of an integrated capital market in the European Union by 2019.  
3.23.   As a first result, in April 2016, an amendment to the Solvency II Delegated Act entered into 
force, lowering the risk charges for insurers' equity and debt investments in infrastructure 
projects .17 In December 2016, the European Parliament, the Council and the Commission agreed 
                                                
14 O.J. L 255 of 30.09.2005. http://eur -lex.europa.eu/legal -content/EN/TXT/?uri=celex%3A32005L0036  
15 A directive on public procurement (2014/24/EC replacing directive 2004/18/EC); (ii) a directive on 
procurement by entities operating in the utilities sectors: water, energy, transport and postal services 
(2014/25/EC replacing directive 2004/17/EC); (iii) a directive 2014/23/EC on the award of concession 
contracts . 
16 http://trade.ec.europa.eu/doclib/docs/2016/january/tradoc_154187.pdf . 
17 http://europa.eu/rapid/press -release_IP -16-1161_en.htm . WT/TPR/G/ 357 • European Union  
 
- 9 - 
 
  on revamped prospectus regulation. Several additional legislative acts are expected , including on 
securitiz ation, on venture capi tal and on business insolvency.  
3.24.   Considering the crucial importance of this plan, the Commission is continuously monitoring 
its developments with a view to identifying the actions that may be further nee ded. 
3.25.   On 14 September 2016, the European Commission published a Communication containing 
the latest state of the play of this package .18 
3.26.   On 20 January 2017 the European Commission launched an online public consultation 
offering an opportunity for stakeholder s to provide targeted input to complement and advance the 
activities put forward in the CMU action plan, ahead of the 2017 mid -term review of the action 
plan. The mid -term review of the CMU action plan is scheduled for June 2017, as announced in the 
Europe an Commission's Work Programme.  
Digital Single Market strategy (DSM)  
3.27.   The Digital Single Market (DSM) initiative provides a major step forward in improving the 
functioning of the Single Market. For this reason, the European Commission has identified 
complet ing the DSM as one of its 10 political priorities. The DSM can create opportunities for new 
start-ups and existing companies in a market of over 500 million people. Completing the Digital 
Single Market could contribute €415 billion per year to Europe's eco nomy, create jobs and improve 
provisions of services. An inclusive DSM also offers opportunities for citizens, provided they are 
equipped with the right digital skills. Enhanced use of digital technologies can improve citizens' 
access to information, and i mprove their job opportunities. It can promote modern open 
government.  
3.28.   The DSM strategy , adopted on the 6 May 201519, is built on thre e pillars and altogether 
comprises sixteen legislative and non -legislative actions:  
a. Access : better access for consumers and businesses to digital goods and services acr oss 
Europe;  
b. Environment : creating the right conditions and a level playing field for digital networks 
and innovative services to flourish;  
c. Economy & Society : maximiz ing the growth potential of the digital economy.  
3.29.   The EU is making progress towards a DSM .20 The legislative actions are currently 
undergoing the EU’s decision -making process involving Member States and the European 
Parliament. The main developments during the period under review chronologically include:  
a. In December 2015, the European Commission clarified contractual rights to simplify and 
promote access to digi tal content and online sales across the EU .21 
b. In April 2016, the Digitizing European Industry (DEI) package was launched, designed to 
help European stakeholders make the most of new technologies and linking up national 
and regional initiatives22. As part of this, the European Commission introduced a Digital 
Economy and Society Index (DESI) as a composite index that summari zes relevant 
indicators on Europe’s digital performance and tracks the evolution of EU Member States 
in digital competitiveness. The most r ecent DESI progress results were published in 
March 2017 .23 
c. In May 2016, within the DSM's e -Commerce package24, the European Commission took 
steps to prevent unjustified geo -blocking so that consumers can access online services 
                                                
18 http://ec.europa.eu/finance/capital -markets -union/do cs/20160913 -cmu-accelerating -reform_en.pdf . 
19 https://ec.europa.eu/digital -single -market/en/digital -single -market . 
20 https://ec.europa.eu/priorities/digital -single -market_en . 
21 COM(2015) 627 . 
22 COM(2016) 180 . 
23 http://europa.eu/rapid/press -release_MEMO -17-352_en.htm . 
24 COM(2016) 32 0. WT/TPR/G/ 357 • European Union  
 
- 10 - 
 
  and products in other EU count ries without additional burden for traders25, introduced a 
proposal aimed at bringing more transparency in pricing of parcel delivery and requiring 
regulators to assess affordability26 and proposed a revision of its Consumer Protection 
Cooperation Regulation .27 In the same month, the European Commission also issued a 
Communication on online platforms and set out its position on their innovation 
opportunities and regulatory challenges .28 
d. In July 2016, the European Commission launched a public consultation to dev elop a 
Single Digital Gateway29 that will improve access to online information, procedures and 
assistance services in order for citizens and professionals to exercise their rights and 
obligations in Europe more easily.  
e. In September 2016, the European Commis sion adopted a legislative proposal to adapt 
EU copyright rules to the realities of the DSM30 and presented an ambitious overhaul of 
EU telecoms rules putting connectivity and access to the Internet for all EU citizens at 
the heart of EU telecoms policy .31 
f. In January 2017, the European Commission proposed to update its ePrivacy policy 
rules32, enabling better online protection and new business opportunities. As a further 
DSM cornerstone, it also adopted a Communication on building a European data 
economy33, whi ch tackles rules and regulations impeding the free flow of data and 
unjustified data location restrictions, as well as outlining legal issues regarding access to 
and transfer of data.  
3.30.   Furthermore, the EU continues to work to reduce the surcharges that tele coms operators 
impose on customers who use their mobile devices in the EU outside their home country (roaming 
charges). Since 2007, roaming prices have decreased by more than 90%, and based on legislation 
currently in the final stages of approval, roaming charges should end for the EU citizens who travel 
periodically in the EU as from mid -2017. Given the fast -growing share of online activity using 
mobile devices, these measures will effectively remove a barrier to the use of digital services 
within the EU a nd represent an important step towards the consolidation of the digital single 
market.  
Common agricultural  policy  
3.31.   The agriculture sector is fundamental to European identity and European prosperity, as 
President Juncker highlighted in his State of the Union  address in September 2016 .34 Farmers are 
economic actors; they are also caretakers of the rural environment and defenders of the EU's food 
security. That is why the EU policy on agriculture, mirroring the way the EU approaches its trade 
policy, has always been about more than just economics.  
3.32.   In this framework and as announced in the previous government report, the EU has 
reformed its Common Agricultural Policy (CAP) for the period 2014 -2020. This is a continuation of 
the reform process started 25 years ago.  It promotes the use of less trade -distorting policy 
instruments, decreases both the administered prices and completely eliminates  the system for 
some products. Most support to farmers is now granted in the form of decoupled direct payments 
with no obligat ion to produce. This trend is reflected in the changes in the structure of the CAP 
budget whereby the share of market support measures (including export refunds) declined from 
100% of total CAP expenditure in 1980 to below 5% in 2015. As presented in parag raph 4.21.  the 
EU is no longer granting export subsidies and since July 2013 all export refund rates have 
remained at zero.  
                                                
25 Proposal for a Regulation of the European Parliament and of the Council on addressing geo -blocking 
and other forms of discrimination based on customers' nationality, place of residence or place of establishment 
within the internal market and amending Regulation (EC) No 2006/2004 and Directive 2009/22/EC . 
26 COM(2016) 285 . 
27 http://ec.europa.eu/consumers/enforcement/cross -border_enforcement_cooperat ion/index_en.htm . 
28 COM(2016) 288.  
29 http://ec.europa.eu/growth/tools -databases/newsroom/cf/itemdetail.cfm?item_id=8896 . 
30 COM(2016) 593 , COM(2016) 594 . 
31 COM(2016) 590 . 
32 COM(2017) 10 . 
33 COM(2017) 9 . 
34 https://ec.europa.eu/priorities/state -union -2016_en . WT/TPR/G/ 357 • European Union  
 
- 11 - 
 
  3.33.   Market intervention measures are maintained in the current CAP but only as a safety net 
mechanism, whi ch means that they will only be used in the event of a serious crisis in the market. 
At the same time, long -term price developments on global markets also contributed to the reduced 
role of the EU's market intervention measures. For instance, the EU has ab olished the last quota 
systems in the CAP. After having ended the dairy quotas in March 2015, the EU will end the  sugar 
quota by September 2017.  
3.34.   This policy trend is reflected in the EU's notified domestic support to the WTO where the 
current total Aggrega te measurement of support (AMS) has decreased dramatically and most CAP 
support is notified as Green Box -compliant decoupled income support.  
New customs procedures  
3.35.   As anticipated in the previous government report, on 1 May 2016, the Union Customs Code 
(UCC) started to be applied. It represents a key element of the moderni zation of customs and 
serves as the new framework regulation of rules and procedures for customs throughout the EU. 
While its substantive provisions have applied since 1 May 2016, a transit ional period will apply 
until the end of 2020 because its full implementation requires the develop ment of several new IT 
systems.  
3.36.   The UCC will have an impact on trade, enhancing the competitiveness of European 
businesses. It will create a paperless environ ment for customs and trade, ensuring trade 
facilitation and reducing costs for business simplifying customs rules and procedures, further 
harmoni ze decision -making procedures to facilitate more efficient customs transactions. At the 
same time it will prote ct the flow of goods transiting or moving in and out of the Union. The UCC 
upgraded the concept of “authori zed economic operators” (AEO). As a key concept it provides the 
significant advantage of widespread use of simplifications and allows AEOs to benefit  from reduced 
levels of customs controls and also advantages beyond the simplified procedures already in place. 
Also the so -called special procedures like inward/outward processing and storage have been 
streamlined and improved to generate growth and jobs.  
New measures for fair taxation  
3.37.   In January 2016, the European Commission adopted the Anti -Tax Avoidance Package 
defining new rules to coordinate an EU wide response to corporate tax avoidance, following global 
standards developed by the OECD in autumn 2016 .35 
3.38.   While taxation remains under the competence of each EU Member State, the Package called 
on Member States to take a more coordinated stance against companies that seek to avoid paying 
their fair share of tax and to implement the international standards a gainst ba se erosion and profit 
shifting. The key features of the new proposals include:  
 legally -binding measures to block the most common methods used by companies to avoid 
paying tax (adopted by Member States in June 2016);  
 a recommendation to the EU Memb er States on how to prevent tax treaty abuse;  
 a proposal for the EU Member States to share tax -related information on multinationals 
operating in the EU (adopted by Member States in March 2016);  
 actions to promote tax good governance internationally;  
 a new  EU process for listing third countries that refuse to play fair. The first EU list will b e 
published by the end of 2017.  
3.39.   In July 2016, the European Commission presented further measures to counteract tax 
abuse in the wake of the Panama Papers revelations.  These included a proposal to strengthen EU 
anti-money laundering provisions and a proposal to grant tax authorities access to key anti -money 
laundering information. The European Commission also set out the next priority areas for action in 
the fair taxati on agenda, including more oversight of advisors and intermediaries, which will be 
proposed in 2017.  
                                                
35 http://www.oecd.org/ctp/beps/ . WT/TPR/G/ 357 • European Union  
 
- 12 - 
 
  3.40.   In October 2016, the European Commission proposed another Package of corporate tax 
reforms. This included the re -launch of the Common Consolidated Corporate  Tax Base and a single 
EU system for companies to calculate their taxable profits. The European Commission also 
proposed improved mechanisms for resolving double taxation disputes in the Single Market, as 
well as measures to tackle hybrid mismatch arrangem ents in relation to non -EU countries.  
3.41.   Collectively, these measures will hamper aggressive tax planning, boost transparency 
between the EU Member States and ensure fairer competition for all businesses in the Single 
Market.  
The implementation of the EU  environmental action programme  
3.42.   Over the past decades the EU has put in place a broad range of environmental legislation. 
As a result, air, water and soil pollution has significantly been reduced. Chemica ls legislation has 
been moderniz ed and the use of many to xic or hazardous substances has been restricted. Today, 
EU citizens enjoy some of the best water quality in the world and over 18% of EU's territory has 
been designated as protected areas for nature. However, significant challenges remain for which 
the EU is taking action including at the international level.  
3.43.   The 7th Environment Action Programme, presented in the previous government report, will 
guide European environment policy until 2020.  
3.44.   On 2 December 2015, the European Commission adopted an ambitious ne w Circular 
Economy Package. It is aimed at using resources in a more sustainable manner for the benefit of 
both the economy and the environment, and to contributing to the sustainable development Goals 
under the 2030 Agenda for sustainable development, not ably on responsible consumption and 
production. The Package is now being implemented with a range of concrete actions. In this 
context, the EU is in the process of adopting new rules on waste, while a strategy on plastics use, 
reuse and recycling (includin g the issue of marine litter) is expected in the course of 2017.  
3.45.   An Action Plan against wildlife trafficking was presented in February 2016 focusing on 
greater enforcement, better cooperation and more effective prevention, and including measures to 
strengt hen the EU's contribution to global efforts.  
3.46.   The most prominent examples of EU instruments with environmental objectives are the 
Timber Regulation and related Forest Law Enforcement Governance and Trade (FLEGT) Voluntary 
Partnership Agreements addressing t rade in illegal timber, and the EU Regulation addressing 
illegal, unreported and unregulated (IUU) fishing. With reference to the EU FLEGT Action Plan, in 
May 2016 the European Commission published the results of an independent evaluation of its 
implementa tion during the period 2003 -2014. The evaluation showed that it has been an 
innovative response to the challenge of illegal logging and has improved forest governance in all 
targeted countries. A number of Voluntary Partnership Agreements (VPAs) with selec ted timber 
exporting countries that commit themselves to trade only in verified legal timber covered by FLEGT 
licenses are concluded or under negotiation .36 As of end of February 2017, the EU has signed VPAs 
with the following six countries: Cameroon, Centr al African Republic, Ghana, Liberia, Republic of 
Congo and Indonesia. Negotiations are ongoing with the following nine  countries: Cô te d'Ivoire, 
Democratic Republic of Congo, Gabon, Guyana, Honduras, Laos, Malaysia, Viet  Nam and Thailand. 
The FLEGT VPA wit h Indonesia has been operational since 15 November 2016.  
The EU's actions on climate change  
3.47.   The Paris Agreement on Climate Change (COP21) sketches out the road towards a transition 
to a low greenhouse gas emission, resource efficient, and climate resilien t global economy. This 
transition demands a fundamental shift in technologies, energy systems, business and investment 
behaviour, and ultimately, in society as a whole. To date, 190 countries have submitted their 
national plans (indicative nationally deter mined contributions).  
3.48.   The EU's leadership ahead of and during COP21, including through its collective diplomatic 
outreach under the framework of the 2015 climate diplomacy action plan, contributed to the 
                                                
36 http://www.euflegt.efi.int/home/ . WT/TPR/G/ 357 • European Union  
 
- 13 - 
 
  positive outcome. In particular, the EU and its Memb er States played a critical role in shifting 
negotiations dynamics at the crucial stage of COP21 and, as a result, the Paris Agreement entered 
into force on 4 November 2016, after the EU had ratified it. In November 2016, at the meeting 
held in Marrakech ( COP22), the EU committed itself to defend and implement the Paris Agreement, 
continuing to lead the way towards a more sustainable and competitive economy.  
3.49.   Climate change has been central to the EU's actions for several years. In this respect, as an 
integr al policy of the European Energy Union, the EU has developed the "EU Climate action - 
decarboni zing the economy"37 for implementing at EU level the measures aimed at reaching the 
goals set in COP21,  as well as in the Agenda 2030.  
3.50.   The EU’s objective38 is to r educe greenhouse gas emissions by 80 -95% by 2050 compared 
to 1990. The EU Climate and Energy framework includes a greenhouse gas emissions reduction 
target of at least 40% below 1990 levels for the year 2030. The EU has also committed itself to 
dedicating at least 20% of its entire budget from 2014 -2020 to climate -related actions.  
3.51.   The EU was also instrumental in achieving another important milestone, notably the 
agreement reached in October 2016 by the International Civil Aviation Organisation (ICAO). The 
agreement aims at implementing a market -based measure which is based on the offsetting of 
CO2-greenhouse gas emissions in order to achieve carbon -neutral growth of international civil 
aviation as of 2020. The technical details of this new scheme will be fin alized over the coming 
years.  
An EU agenda for international ocean governance  
3.52.   On 10 November 201639, the European Commission and the EU's High Representative, 
Federica Mogherini, set out a joint agenda for the future of our oceans, proposing 50 actions for 
safe, secure, clean and sustainably managed oceans in Europe and around the world.  
3.53.   The Joint Communication is an integral part of the EU's response to the 2030 Agenda for 
Sustainable Development, in particular to the UN's Sustainable Development Goal 14 't o conserve 
and sustainably use the oceans, seas and marine resources'. It builds on a widely shared 
understanding that the framework for ocean governance needs to be strengthened, that pressures 
on the oceans need to be reduced and that the world's oceans must be used sustainably.  
3.54.   The Joint Communication proposes ways the EU can step up and play a stronger role at 
global and regional level in shaping the way oceans are managed and used. It sets out detailed 
actions to shape international gove rnance in three  priority areas:  
 improving the international framework for ocean governance;  
 reducing human pressures on the oceans and creating the conditions for a sustainable blue 
economy;  
 strengthening international ocean research and data.  
4  TRADE AND INVESTMENT  POLICY  DEVELOPMENTS SINCE 2 015 
4.1  Trade for All Communication and its implementation  
4.1.  On 14 October 2015, the European Commission adopted the "Trade for All Communication" .40 
The Communication sets out the EU's overall trade strategy and represents the most ambitious  
negotiating agenda ever pursued by the EU.  
4.2.  The trade policy agenda contained in the Communication is a response to the new economic 
and political realities and sets the basis for the EU 's actions in the coming years.  
                                                
37 https://ec.europa.eu/commission/priorities/energy -union -and-climate/climate -action -decarbonising -
economy_en . 
38 in the context of the necessary reductions according to the IPPC by developed countries as a group . 
39 http://ec.europa.eu/maritimeaffairs/policy/ocean -governance_en . 
40 Trade for All Communication http://trade.ec.europa.eu/ doclib/docs/2015/october/tradoc_ 
153846.pdf . WT/TPR/G/ 357 • European Union  
 
- 14 - 
 
  4.3.  The political commitments undertaken i n the Communication can be grouped into four major 
blocks: (i) transparency, (ii) work on effectiveness of trade policy, (iii) the values agenda, and 
(iv) the negotiating agenda at multilateral and bilateral level.  
4.1.1   Transparency in policy making  
4.4.  Transparenc y is important to the EU. Policymaking needs to be transparent and the debates 
surrounding various policies need to be based on facts. Furthermore, policymaking must respond 
to people’s concerns. For these reasons, the EU wants to be as open as it can and to make its 
positions as transparent as possible without nevertheless putting at risk ongoing negotiations.  
4.5.  To improve transparency, the EU has carried out concrete actions both within its institutions 
and towards  external stakeholders.  
4.6.  Inside the EU insti tutions, the EU has adopted specific actions for the implementation of the 
Better Regulation package. This included the new Regulatory Scrutiny Board, the new REFIT 
platform41 – aimed at supporting the process of simplifying EU law and reducing regulatory 
burdens, for the benefit of civil society, business and public authorities – and new consultation and 
feedback mechanisms. In March 2016, a new Interinstitutional Agreement on Better Law -Making 
was adopted by the European Parliament, the Council and the Eur opean Commission. Under this 
new Agreement, the three EU institutions agree to promote simplicity, clarity and consistency in 
the legislation of the EU as well as to enhance transpare ncy in the legislative process.  
4.7.  With reference to trade policy, the Bette r Regulation agenda entails systematic on -line public 
consultations on all significant trade initiatives; the consultation of stakeholders in the 
Sustainability Impact Assessments (SIAs); and a commitment to carry out more systematic ex 
post evaluations af ter the agreements have been implemented.  
4.8.  The EU has taken important steps to ensure greater transparency during the different stages 
of its negotiations for free trade agreements. The Directorate General for Trade of the European 
Commission has a dedicate d webpage "Transparency in action"42 where detailed inf ormation can 
be found on the on going negotiations (explanatory factsheets, reports of negotiating rounds, final 
texts, etc.).  
4.9.  The European Commission has also advanced on its commitment for more transpa rency in 
Trade Defence Instruments (TDIs). As of January 2016, parties to the newly launched trade 
defence investigations have had direct instant access to the full non -confidential file via "TRON" 
(from "TRrade ONline"). Since the end of 2016, TRON includ es two additional features: it allows 
interested parties to send their submissions to the Commission and the Commission to send 
communications – for example preliminary investigation findin gs – to the interested parties.  
4.10.   As of May 2016, the European Commis sion also started providing more information on the 
executive summaries of complaints and requests for reviews of existing measures to the  public at 
large.  
4.1.2   An effective EU trade policy that tackles new economic realities  
4.11.   The EU is committed to ensuring tha t its trade policy is synchroniz ed with the latest global 
economic and technological developments, as also reflected in other EU policies, and brings about 
a real positive change for stakeholders. This approach, set out in the Communication, ensures that 
EU trade policy will:  
a. effectively address issues that affect today’s value chain -based economy, like services, 
digital trade and the temporary movement of service providers;  
b. make sure that consumers, workers and small companies can take full advantage of – 
and adapt to – more open markets. This would help ensure consumers have confidence 
                                                
41 https://ec.europa.eu/info/law/law -making -process/overview -law-making -process/evaluating -and-
improving -existing -laws/reducing -3_en. 
42 http://trade.ec.europa.eu/doclib/press/index.cfm?id=1395 . WT/TPR/G/ 357 • European Union  
 
- 15 - 
 
  in the products they buy and that small and medium -sized enterprises’ needs are 
specifically addressed in all trade agreements.  
4.12.   The EU is putting more emphasis and resources  on the implementation of the EU's bilateral 
and plurilateral trade agreements.  
4.13.   With reference to bilateral agreements, the EU is currently implementing six new generation 
free trade agreements (Korea, Central America, Columbia -Peru and Ecuador, Georgia, M oldova 
and Ukraine) and seven Economic Partnership Agreements (CARIFORUM, Cameroon, ESA, Ghana, 
Ivory Coast, Pacific and SADC EPA G roup).  
4.14.   The EU has already developed some effective ways to share the actual implementation of 
those agreements with other int erested parties, including large and small businesses and EU 
Member States. These include the multi -pronged Market Access Partnership (MAP), established in 
its current form in 2007. The MAP has three main parts (the Market Access Advisory Committee 
and Mar ket Access Working Groups covering specific sectors; and local Market Access Teams in 
third countries, established as diplomatic t rade tools).  
4.15.   Since November 2015, businesses can use a new tool in the Export Helpdesk and in the 
Market Access Database to id entify the specific rules of origin applied to their products.  
4.16.   Further efforts are being undertaken as part of the Enhanced Partnership for 
Implementation of trade agreements with other EU institutions, Member States and stakeholders. 
It includes jointly r eviewing how to best use the existing structures (reinforced MAP but also 
European Parliament monitoring groups, civil society monitoring mechanisms, economic diplomacy 
channels in third countries, etc.) to implement trade agreements more effectively. It a lso looks 
again at how implementation issues are prioriti zed and at awareness -raising with stakeholders. In 
particular, to ensure the Trade and Sustainable Development chapters of its trade agreements are 
properly implemented, the EU is giving civil societ y an important role.  For each trade agreement 
the EU is setting up Domestic Advisory Groups (DAG) composed by representatives of workers, 
employ ers and non -governmental organiz ations.  
4.17.   In December 2016, the European Council reached a compromise regarding th e European 
Commission’s 2013 proposal to moderni ze its trade defence instruments (‘TDI’). This enables the 
Commission, Council and Parliament to start discussions with a view to finding a compromise on 
the Commission's 2013 proposal. On 9 November 2016, th e European Commission presented a 
proposal introducing changes to the EU's anti -dumping and anti -subsidy legislation, and which 
would allow the EU to adapt its trade defence instruments (TDIs) to deal with current realities of 
unfair trade practices in par ticular due to state induced market distortions in the international 
trading environment, while fully respecting the EU's international obligations in the legal 
framework of the WTO.  
4.18.   With reference to multilateral and plurilateral agreements, the EU has al ready implemented 
or is in the process of implementing several recent agreements, notably the revised Information 
and Technology Agreement (ITA -2), the Trade Facilitation Agreement and the Nairobi Decision on 
export competition.  
4.19.   The EU was among the first participants to implement the tariff elimination agreed in the 
expansion of the ITA -2. The expansion provided for eliminating tariffs on 577 tariff lines  over a 
period of seven years. However, as of 1 July 2016 the EU has already voluntarily eliminated tar iffs 
on 451 lines and expects that all WTO Partners will implement as soon as possible.  
4.20.   The EU ratified the Trade Facilitation Agreement in October 2015 and has established its 
National Trade Facilitation Committee. Furthermore, the EU started delivering o n its promise to 
provide technical assistance to developing countries by donating to international organi zations 
involved in mapping A -B-C commitments, like the World Bank, and performing needs assessments 
and donor -recipient match making, like the W TO Tra de Facilitation Facility.  
4.21.   The EU has fully complied with the Nairobi Ministerial Decision on Export Competition since 
the date of adoption of the Decision. No export subsidies have been granted during the period in 
question – all export refund rates have r emained at zero since July 2013. There are no agricultural WT/TPR/G/ 357 • European Union  
 
- 16 - 
 
  exporting state -trading enterprises or e xport financing schemes benefit ing agricultural products in 
the EU apart from a few horizontal export financing programmes run by certain EU Member States, 
where the share of agricultural exports is marginal.  
4.22.   The EU is consistently pursuing services trade liberali zation in the on going bilateral 
negotiations, covering a number of services sectors such as telecommunications, transport, 
financial services and the  movement of service providers abroad to temporarily provide services 
(the so -called Mode 4). The EU has also been actively engaged in the negotiations of the 
plurilateral Trade in Services Agreement (TiSA) - see later under paragraph 4.84.    
4.23.   Since 2015, the EU has been updating its approach on digital trade by covering new areas 
such as electronic procurement, electronic contracts and online consumer protection.  
4.24.   With respect to public procurement, the EU has included in all its  FTAs an ambitious chapter 
on public procurement, building on the WTO Government Procurement Agreement (GPA) and with 
an aim to increase the opportunities for EU and third parties businesses to get further access to 
each other's procurement markets and als o to promote transparency and good governance.  
4.25.   The EU will propose dedicated SME provisions in all its ongoing and future negotiations for 
free trade agreements.  
4.1.3   A trade and investment policy based on values  
4.26.   The "Trade for All" Communication has broadened and deepened the agenda in areas like 
trade and sustainable development, human rights, anti -corruption, while establishing a reformed 
approach  towards investment protection.  
4.1.3.1   A more responsive approach to the public ’s expectations on regulation and 
investme nt 
4.27.   Today Europeans have access to products and services from all continents thanks to easier 
travel and digital networks. New trade agreements can further expand choice and lower prices but, 
at the same time, the EU must remain vigilant and respect consume r demands to ensure that 
traded products and services are safe and have been produced respecting human rights, labour 
rights and the environment.  
4.28.   The EU, in line with its established trade policy, ensures that no EU trade agreement will 
lead to lower level s of consumer, environmental or social and labour protection than offered today 
in the European Union, nor that they will constrain the ability of the EU and Member States to take 
measures in the future to achieve legitimate public policy objectives on the  basis of the level of 
protection they deem appropriate.  
4.29.   The EU has also enhanced the analysis of the impact of trade policy on consumers both in 
impact asses sments and ex -post evaluations.  
4.1.3.2   A reformed approach to investment protection policy  
4.30.   The EU is mode rnizing its traditional approach to investment protection and the associated 
investment dispute resolution system, introducing changes to ensure that the right of governments 
to regulate is guaranteed in its bilateral trade and investment agreements and th at it replaces the 
current private investor -state dispute settlement system by an investment court system, thereby 
improving transparency, accountabili ty, consistency and legitimacy.  
4.31.   This reformed approach to investment dispute resolution and to investment  protection rules 
provides a stronger focus on the state's right to regulate, and is embedded in the CETA and the 
EU-Vietnam agreements. It is the intention of the EU to include these reforms in all fut ure trade 
and investment deals.  
4.32.   The new approach aims to increase citizens' confidence in the system by establishing an 
investment court system built on similar principles to domestic and international courts, and 
subject to democratic principles and public scrutiny. In parallel, together with other intereste d WT/TPR/G/ 357 • European Union  
 
- 17 - 
 
  partners, the EU is pursuing the concept of setting up a multilateral investment court. The idea is 
that, over time, such a multilateral investment court could replace the bilateral investment court 
systems included in EU agreements and the investment di spute settlement mechanisms included 
in EU Member States' investment treaties, as well as those included in investment treaties 
concluded between third countries.  
4.1.3.3   The EU's trade policy and sustainable development, human rights and good 
governance  
4.33.   The EU Tr eaties require that the EU promotes its principles and values, including the 
development of poorer countries, social and environmental protection, and respect for human 
rights, in its external action.  
4.34.   The EU is in the lead on using trade policy to promote the social and environmental pillars of 
sustainable development. This is done in a positive, incentive -based way and moving on a range of 
projects and at different levels.  
4.35.   At a multilateral level and as a WTO Member, the EU is actively involved in the work  of the 
WTO Committee on Trade and Environment  and promotes WTO efforts aiming at liberali zing trade 
in goods and services which can deliver environmental benefits. In particular, the EU, together 
with 17 other WTO Members, is participating in plurilateral negotiations for an Environmental 
Goods Agreement (EGA). The EU actively supports WTO negotiations on fisheries subsidies, with 
the objectiv e of contributing to Sustainable Development Goal (SDG) 14.6. (see later under 
section 4.1.4.1). The EU is also actively involved in the work of the WTO Committee on Trade and 
Development, making a considerable effort to ensure the proper f unctioning of th is Committee.  
4.36.   At a bilateral level, the EU integrates labour and environmental considerations when 
negotiating its trade agreements, through a dedicated chapter on trade and sustainable 
development. Recent bilateral agreements with such chapters include th ose with Canada, South 
Korea , Central America , Colombia, Peru  and Ecuador, Singapore , Ukraine, Georgia and Moldova. 
Trade and Sustain able Development chapters include commitments to ratify and effectively 
implement fundamental International Labour Organization  conventions and Multilateral 
Environmental Agreements, as well as commitments to provisions on the conservation and 
sustainable management of natural resources (e.g. timber, fish and wildlife), and the promotion of 
practices favouring sustainable development and responsible business prac tices. They also aim to 
prevent the risk of a race to the bottom, by prohibiting derogations from or lack of enforcement of 
domestic environmental or labour laws in order to encourage trade and investment.  
4.37.   At a unilateral level, the special incentive arran gement for sustainable development and 
good governance of the EU Generalised System of Preference (GSP+) provides increased market 
access to eligible countries, without asking the trading partner to do the same and conditional on 
their ratification and eff ective implementation of a number of labour conventions, environmental 
agreements, human rights and good gov ernance instruments.  
Supporting inclusive growth in developing countries  
4.38.   The EU is the most open market for developing countries' exports and is at the forefront of 
using trade policy to promote inclusive growth and sustainable develo pment in the poorest 
countries.  For example the Everything But Arms (EBA) initiative, opens the EU market in full to 
Least Developed Countries, without tariffs or quotas,  has been effective. Studies43 have shown the 
EBA scheme has increased the exports of products granted duty -free access to the EU to Least 
Developed Countries by up to 10%.  
4.39.    The EU Generalised System of Preferences (GSP) also represents a flagship of the EU  trade 
policy instrument to support sustainable development and good governance in developing 
countries, granting special tariff rate cuts to developing countries. The EU has relaxed its rules of 
origin in the GSP, making them simpler, easier to comply wit h and offering greater possibilities for 
sourcing based on regional and trans -regional cumulation between countries.  
                                                
43 http://trade.ec.europa.eu/doclib/html/153595.htm . WT/TPR/G/ 357 • European Union  
 
- 18 - 
 
  4.40.   On 28 January 2016, the European Commission presented its first report on the 
implementation of the GSP. The Report presents the three arra ngements of the GSP, their current 
beneficiaries and some basic trade statistics. It is accompanied by a detailed progress report on 
the EU Special Incentive Arrangement for Sustainable Development, Human Rights and Good 
Governance (GSP+) with regard to th e 14 beneficiaries. The next biennial report on the impact of 
GSP is due in December 2017.  
4.41.   The EU and its Member States collectively drive global ‘Aid for trade’ efforts as the world's 
largest donor accounting for more than a third of global supp ort, to th e current tune of € 12 billion 
per year. As a component of Official Development Assistance, EU Aid for Trade is programmed 
according to beneficiary needs, but with clear priorities, including support for implementing the 
Trade Facilitation Agreement and an ongoing commitment to prioriti ze the Least Developed 
Countries. Moreover, in its recent Communication on a New European Consensus on 
Development44 the EU committed itself to further coordinate development cooperation 
programmes (such as Aid for Trade) with trade policy tools to support sustainable development, 
including inclusive growth.  
4.42.   Trade Related Assistance as part of the larger Aid for Trade support is another key tool to 
support the economic integration role of regional organi zations. The EU helps to improve public 
institutions capacity and to foster reform of trade policies in third countries according to the 
beneficiaries’ priorities. Support for trade facilitation measures, now delivered at the regional level 
for example, not only helps countries me et their commitments under the WTO Trade Facilitation 
Agreement, but also contributes to regional integration allowing businesses in the beneficiary 
countries to integrate into regional value chains as a first step to participating in global chains. The 
EU’s and its Member States' commitments for Trade  Related Assistance reached € 3 billion in 2014 
(latest figures), significantly ex ceeding the annual target of € 2 billion by 2010 established by the 
EU at the 2005 Ministerial Conference in Hong Kong and formal ized in the EU Aid for Trade 
Strategy of 2007 .45 
4.43.   On the multilateral level, on 18 November 2015, the EU notified the WTO of its preferential 
treatment of services exports from the Least Developed Countries, in the framework of the LDC 
services waiver decisi on. The preferences granted by the EU include both elements of the services 
offer made in the context of the Doha Round and elements from the recent development oriented 
FTAs.  
Ensuring responsible management of supply chains  
4.44.   In the EU's view, the responsib le management of global supply chains is essential to align 
trade policy with European values.  
4.45.   The EU has already taken steps with specific partners and on specific issues and will 
continue develo ping its efforts in the future.  
4.46.   For example the EU works clo sely with the International Labour Organization  and the 
Organiz ation for Economic Development and Cooperation (OECD) to promot e responsible business 
conduct.  
4.47.   The EU will also continue stimulating and facilitating Corporate Social Responsibility and is 
willing to use its trade instruments, from bilateral agreements to export control and its trade and 
development program, pro -actively in this regard.  
4.48.   The EU continu ed its engagement in the Bangladesh Sustainability Compact46, launched in 
July 2013 to improve labour rights and occupational safety and health in the ready -made garment 
sector in res ponse to the Rana Plaza tragedy, as well as in the Myanmar Labour Rights Initiative.  
                                                
44 http://eur -lex.europa.eu/legal -content/EN/TXT/?qid=1479423270893&uri=COM:2016:740:FIN . 
45 http://trade.ec.europa.eu/doclib/html/141470.htm . 
46 http://trade.ec.europa.eu/doclib/docs/2013/july/tradoc_151 601.pdf . WT/TPR/G/ 357 • European Union  
 
- 19 - 
 
  Promoting fair and ethical trade schemes  
4.49.   The EU considers that private sustainability schemes can be beneficial for sustainable 
development, providing information to consu mers who can alter their buying habits according to 
their principles. For this reason, the EU is working to better promote fair and ethical trade schemes 
with a view to raising awareness on both the supply and the demand side and developing, by this 
means,  more sustainable trade opportunities for small producers in third countries.  
4.50.   Fair and ethical trade schemes are promoted by implementing recently concluded free trade 
agreements and through the network of EU delegations. The EU has also launched a new pro ject 
with the International Trade Centre on fair and ethical trade47, involving a study of the demand for 
certified products in the EU and the design of an ’EU City for Fair and Ethical Trade’ award. This 
project will complement past work done with the Inte rnational Trade Centre to promote small 
businesses’ participation in private su stainability assurance schemes.  
4.51.   In order to stop human rights abuses and armed conflict financed by trade in minerals, the 
EU Institutions, in November 2016, reached an agreemen t on the final shape of an EU regulation 
on conflict minerals, which aims to stop the financing of armed groups in developing countries 
through the trade of tin, tantalum, tungsten and gold. The regulation will ensure that the vast 
majority of these minera ls and metals imported into the EU are sourced responsibly. The 
Regulation is expected to enter into force in June 2017.  
Promoting and defending human rights  
4.52.   Human rights considerations have increasingly been incorporated into the EU’s bilateral free 
trade  agreements, into unilateral preferences and into EU export controls policy. For example, in 
cases of serious and systematic violations of human rights, beneficiary countries have lost their 
preferences under the GSP scheme (e.g. Sri Lanka, Belarus, Myanma r/Burma) until th e situation 
improves.  
4.53.   The European Commission has also developed guidelines to help examine the impact of 
trade policy initiatives on human rights in both the EU and partner countries.  
4.54.   By way of implementing the EU Action Plan on Human rig hts48, respective impacts are 
regularly assessed in all Impact Assessments, Sustainability Impact Assessment  (SIA) and ex post 
evaluations.  
4.55.   The EU further strengthened the trade rules applicable to goods that could be used for 
capital punishment or torture,  adopting on 23 November 2016 Regulation (EU) No 2134/2016 of 
the European Parliament and of the Council. The 2016 Regulation is an important amendment to 
the Council Regulation No 1236/2005 .49 The strengthened text comprises a specific set of rules for 
the export controls applied to prevent listed medicinal products from being used for capital 
punishment in a third country, including an EU general export authori zation. It also imposes new 
restrictions on supplying brokering services related to any listed go ods located in a third country, 
on supplying certain other services to third countries and on promoting certain goods in trade fairs 
in the EU.  
4.56.   Moreover, on 28 September 2016, the European Commission has proposed an ambitious 
moderni zation of the EU’s poli cy on export controls of dual use goods50, including, in pursuance of 
its values agenda, the prevention of the misuse of digital surveillance and intrusion systems that 
result in human rights violations.  
                                                
47 http://eur -lex.europa.eu/LexUriServ/LexUriServ.do?uri=COM:2009:0215:FIN:EN:PDF . 
48 https://ec.europa.eu/anti -trafficking/eu -policy/action -plan-human -rights -and-democracy -2015-
2019_en . 
49 O.J. L 338, 13.12.2016 - http://eur -lex.europa.eu/legal -content/EN/TXT/?qid=1482153375409&uri= 
CELEX:32016R2134 . 
50 http://trade.ec.europa.eu/doclib/events/index.cfm?id=1562 . WT/TPR/G/ 357 • European Union  
 
- 20 - 
 
  Gender equality and economic empowerment of women  
4.57.   The EU has an ambitious agenda on gender equality and the economic empowerment of 
women. Trade policy contributes to achieving the goals of this agenda through specific as well as 
horizontal means, such as the increased focus on facilitating SMEs' participati on in international 
trade and on the importance of digital trade.  
4.58.   Since 2013, the EU has been systematically looking at the impact of trade policy initiatives 
on gender equality and women’s rights in its evaluations (impact assessments, sustainability 
impact assessments and ex post evaluations).  
4.59.   Commitments with regard to gender equality are an integral part of the Trade and 
Sustainable Development chapters of the EU’s recently negotiated free trade agreements. 
Adherence to the relevant International Labour Organization  norms as well as the Convention on 
the Elimination of All Forms of Discrimination against Women (CEDAW) are a requirement built 
into the GSP+.  
Fighting against corruption and promoting good governance  
4.60.   Corruption is a plague on economies and societies. It holds countries back from 
development, distorting public procurement, wasting scarce public funds, discouraging investment, 
hampering trade, and cr eating unfair competition. It undermines the rule of law and the trust of 
citizens.  
4.61.   EU trade policy contributes to the fight against corruption, for example by increasing the 
transparency of regulations and procurement processes and by simplifying customs procedures.  
4.62.    Under the GSP+ the EU offers trade preferences to countries that ratify and implement 
international conventions relating to good governance, including the UN Convention Against 
Corruption. Trade agreements could be used further to tackle corru ption and ensure international 
conventions and principles are implemented in practice.  
4.63.   The EU is in the process of developing further its approach on how to combat corruption 
relating to trade and investment.  
4.1.4   The EU negotiating agenda  
4.1.4.1   Reinvigorating the mu ltilateral trading system  
4.64.   The EU seeks to promote economic growth and job creation by pursuing a progressive trade 
and investment agenda as well as advocating sustainable development in the multilateral context.  
4.65.   The EU is actively engaged in advancing mult ilateral post -Nairobi negotiations with a view to 
preparing outcomes for the 11th WTO Ministerial Conference (MC11). In this regard, the EU is 
contributing and often leading discussions on numerous topics including fisheries subsidies, e -
commerce, domestic  support in agriculture, domestic regulation in services and issues of interest 
to SMEs such as an initiative on facilitating SME trade focusing on transparency of regulatory 
measures for trade in goods. The EU firmly believes in the importance of advancin g on these 
issues in the WTO, which would provide important development benefits and would hel p boost 
international trade.  
4.66.   Building on the agreements reached in Nairobi, the EU is supporting efforts to reinvigorate 
the WTO's negotiating function with the o bjective of safeguarding the centrality of the WTO and 
the multilateral trading system.  
4.67.   The EU seeks to reinvigorate the WTO on  the basis of three principles.  
4.68.   First, the EU sees the WTO as playing a central role in developing and enforcing the rules of 
global trade - from intellectual property to customs, from digital trade to good reg ulatory practices 
– that will also reinforce the princi ple of sustainable development.  WT/TPR/G/ 357 • European Union  
 
- 21 - 
 
  4.69.   Second, the EU sees a need to pursue results through a more focused approach. In 
particu lar, after Nairobi, issues -based negotiations seem a more promising way to advance the 
WTO agenda than another broad and complex round. The EU is using such an approach to break 
new ground at the WTO, and to spark WTO debates regarding existing Doha issues , as well as in 
areas which are part of the global trade reality, and where commitments have been taken in the 
context of free trade agreements.  
4.70.   Third, the EU believes that when multilateral progress is not possible, subsets of WTO 
members should be able t o advance on given issues, while keeping the door open for interested 
WTO members to join at a later stage. This would allow for new plurilateral agreements under the 
WTO umbrella and would make it easier to anchor in the WTO those plurilateral agreements that 
are currently negotiated outside the organi zation.  
4.71.   In more detail, the EU is playing a leading role in the following on -going initiatives.  
Fisheries subsidies negotiations  
4.72.   The EU is dedicated to making progress on disciplining fisheries subsidies in t he WTO. The 
EU believes that fisheries subsidies, like other types of subsidies, can only effectively be addressed 
through a multilateral agreement covering all WTO Members. The fact that the sustainability of 
global fisheries is at stake further reinforce s the need for multilateral action.  
4.73.   The 2030 Agenda for Sustainable Development agreed by the global community and notably 
the UN Sustainable Development Goal (SDG) 14.6 sets out the objective to prohibit by 2020 
certain forms of fisheries subsidies which contribute to overcapacity and overfishing, to eliminate 
subsidies that contribute to illegal, unreported and unregulated (IUU) fishing and to refrain from 
introducing new such subsidies. SDG 14.6 further recogni zes that appropriate and effective special 
and differential treatment for developing and least developed countries should be an integral part 
of the WTO f isheries subsidies negotiation.  
4.74.   Thus, there is a clear call for a multilateral process on fisheries subsidies to deliver on SDG 
14.6. For this rea son in October 2016 the EU tabled a concrete textual proposal to ban certain 
capacity -enhancing subsidies and subsidies linked to IUU fishing. The proposal also provides for 
enhanced transparency and notification requirements and foresees special and diffe rential 
treatment that would allow developing and least developed countries to derogate from such a ban 
under certain conditions linked to a sustainable management of the relevant fisheries.  
Horizontal subsidies negotiations  
4.75.   The EU also believes that the W TO needs to play a central role in addressing other types of 
subsidies.  
4.76.   The importance of the issue was showcased by G20 leaders in their Hangzhou statement, 
where the question of overcapacity was raised, including regarding links with subsidies. The EU 
together with other interested WTO members has sparked a debate in the WTO Committee on 
Subsidies and Countervailing Measures (SCM) in order to deepen the analysis regarding the impact 
of subsidies on overcapacity, with a view to identifying possible new dis ciplines to improve the 
SCM agreement.  
Domestic support for agriculture  
4.77.   Building on the success at the Nairobi Ministerial the EU is constructively participating in the 
preparations for MC11, including on Domestic Support with the aim of preparing way forw ard 
regarding limiting trade distorting support across all WTO Members.  
Advancing the E -commerce discussions in the WTO  
4.78.   The EU believes in the benefits that e -commerce and digital trade can bring for global 
economic development and that, in this context, t he WTO should function as a central forum for 
preparing new regulato ry disciplines affecting trade.  WT/TPR/G/ 357 • European Union  
 
- 22 - 
 
  4.79.   The EU considers that a set of multilateral rules would benefit the entire WTO membership, 
also enhancing access of traders from developing countries to glo bal markets and, therefore, 
would like to see progress in the WTO in this area. The expansion of the digital economy could 
clearly offer new opportunities to promote inclusive economic growth, connecting rural and urban 
economies, opening new channels for trade for landlocked countries, and facilitating the 
participation of women and micro enterprises in the formal economy.  
Helping SMEs reap the benefits of trade  
4.80.   The EU recognizes the importance of having clear principles included in trade negotiations, 
both at multilateral and at bilateral level, related to domestic regulation with the aim to lower 
barriers to trade. For example, the EU monitors that certain market access obligations in services 
sectors which imply licensing and qualification requirements a nd procedures, and technical 
standards, are not applied in a discriminatory basis, giving rise to hidden protectionism, and thus, 
constituting a n unjustified barrier to trade.  
4.81.   The EU is also playing a leading role in the WTO in promoting good regulatory pr actices and 
transparency in trade in goods, with the objective of making markets more open and friendly to 
small businesses. In this regard, the EU is spearheading efforts to develop appropriate measures 
and to establish a web portal which would make infor mation regarding regulatory requirements in 
export markets more easily accessible to SMEs.  
4.1.4.2   Advancing in plurilateral initiatives  
EGA negotiations  
4.82.   The EU has played a leading role in the negotiations for an Environmental Goods Agreement 
(EGA). The aim of an  EGA is to (i) eliminate tariffs on a broad range of environmental goods used, 
among other things, for renewable energy generation, waste management, water treatment and 
air pollution control, and (ii) address non -tariff issues in the sector and services l inked to 
environmental goods th ough a future work programme.  
4.83.   The EU will continue working with all WTO members involved to bridge the gaps in the 
negotiations and reach an agreement as soon as possible, considering the importance of an EGA to 
contribute to  address climate ch ange and environmental changes.  
TiSA negotiations  
4.84.   During the period under review, the EU – together with 22 other WTO members – was 
actively engaged in the negotiations for a Trade in Services Agreement (TiSA), aiming to enhance 
market a ccess and establish strong, transparent and effective horizontal and sectoral disciplines 
facilitating global trade in services. The EU is ready to advance negotiations further in 2017.  
4.1.4.3   The bilateral negotiating agenda  
4.85.   In recent years, the EU has developed  an ambitious bilateral agenda, which complements 
and reinforces its efforts within the multilateral trading system. Throughout the process, the EU is 
paying particular attention to the scope and depth of its trade agreements, to ensure they take 
into acco unt the needs of today's economy, as well as of the economic realities of its partners and 
paying attention to full compliance with WTO rules, while supporting and promoting EU values and 
standards: the promotion of human rights, health and consumer protec tion and sustainable 
development, including labour rights and environmental protection.  
4.86.   In the reviewed period, impo rtant milestones were achieved.  
4.87.   As an integral part of its development policy towards the African, Caribbean and Pacific 
(ACP) countries, th e EU concluded a series of Economic Partnership Agreements (EPAs) with 
Parties in the African, Caribbean and Pacific regions. By March 2017, seven EPAs have been signed 
and are being applied. During the period under review the foll owing EPAs began to be ap plied:  WT/TPR/G/ 357 • European Union  
 
- 23 - 
 
   In September 2016, the EU -Ivory Coast EPA;  
 In October 2016, the Southern Africa Development Community (SADC) EPA;  
 In December 2016, the EU -The Ghana EPA.  
4.88.   The following EPAs are currently in the process of being signed: (i) the EU -West Africa EPA, 
initialled by the EU and ECOWAS/WAEMU on behalf of 16 West African countries; (ii) The EU -East 
African Community (EAC) EPA between the EU and Burundi, Kenya, Rwanda, Tanzania and 
Uganda.  
4.89.   The Protocol of Accession of Ecuador to the agreement between the EU and Peru and 
Colombia was signed on 11 November 2016 and is applied between Ecuador a nd the EU as of 
1 January 2017.  
4.90.   On 30 October 2016, the EU and Canada signed the Comprehensive Economic and Trade 
Agreement (CETA) and on 15 February 2017 the European Par liament gave its consent, allowing 
for its provisional applicat ion to start soon.  
4.91.   The negotiations for a comprehensive free trade agreement with Singapore were completed 
in October 2014. The European Commission is currently waiting for an opinion of the Eu ropean 
Court of Justice on the EU’s competence to sign and ratify the agreement before the approval 
procedur e of the agreement is launched.  
4.92.   Negotiations for the EU -Viet Nam free trade agreement were concluded at the end of 2015; 
it is expected to start bei ng applied in the course of 2018.  
4.93.   Negotiations for an EU -Japan free trade ag reement were launched in 2013. Seventeen 
rounds of talks have already taken place and the negotiations are well advanced. The EU's 
objective is to conclude an agreement as soon as possible.  
4.94.   Negotiations between the EU and the U .S. for a Transatlantic Trade and Investment 
Partnership (TTIP), launched in 2013, continued during the years under review. Fifteen rounds of 
talks had taken place by October 2016. The negotiations were launch ed in order to contribute to 
addressing the challenges of today's global trading environment, to deliver growth, including in 
third countries' markets and to reinforce the transatlantic partnership  
4.95.   During the period under review, the EU launched negotiatio ns with the Philippines and 
Indonesia. The EU also continued negotiations on an agreement on GI protection and on an 
investment agreement with China and on an investment protection agreement with Myanmar.  
4.96.   Negotiations for two new Deep and Comprehensive Fre e Trade Agreements – deepening and 
expanding the existing Agreements – were launche d in October 2015 with Tunisia.  
4.97.   Negotiations for an Association Agreement – deepening and expanding the existing 
Agreement – were launched in June 2016 with Mexico. In 2016,  the EU also reactivated its 
negotiations with Mercosur.  
5  LOOKING AHEAD  
5.1.  In these uncertain times, with risk of protectionism on the rise, the EU remains committed to 
preserving the integrity of the WTO rules -based system and expects the same from the other WTO 
Memb ers. 
5.2.  The EU will continue to ensure clear governance and full coherence between its internal 
economic policies, intended to promote competitiveness and innovation, and its external dimension 
aimed at enhancing opportunities internationally.  
5.3.  The EU is fully committed to reinvigorating the multilateral system . First, it will work on a 
daily basis to ensure respect of the WTO’s core functions, particularly to promote transparency and 
knowledge -sharing, openness of markets, the establishment of trade di sciplines, and the delivery 
of technical assistance and capacity building . Secondly, it will work towards preparing meaningful WT/TPR/G/ 357 • European Union  
 
- 24 - 
 
  deliverables for MC11. Now more than ever, the WTO needs to be able to reassert its role and 
deliver on issues of importance to i ts members as well as to set the rules to shape globali zation.  
5.4.  The EU will continue playing an active role in implementing Agenda 2030 for Sustainable 
Development and the SDGs within the EU and in development cooperation with partner countries. 
In particul ar, the EU will continue its efforts to implement the Trade and Sustainable Development 
chapters of its trade agreements more effectively, including th rough civil society mechanisms.  
5.5.  The EU and its Member States have begun a review of their 2007 joint Aid for Trade strategy, 
with a view to increasing the mutual supportiveness between development co -operation and trade 
agenda. The review is expected to be completed in the second half of 2017 . The revised strategy 
would remain linked to the Aid -for-Trade Init iative and respond to the new 2030 Agenda, with the 
aim of further fostering EU values of social protection and environmental sustainability together 
with inclusive economic growth. The revised strategy might also seek to introduce differentiation in 
addre ssing in a more strategic manner the specific trade -related needs of various partne r 
countries, notably the LDCs.  
5.6.  The EU and its Member States will continue to adopt proper actions for the implementation of 
COP21 and for turning commitments into actions on  the ground.  
5.7.  The European Commission’s Directorate General for Trade has set up an annual 
implementation report on FTAs which, as of 2017, is intended to report annually on the 
implementation of the EU’s most significant bilateral trade agreements and give  more in -depth 
analysis ex -post of their effectiveness. This annual reporting system will give greater visibility and 
coherence to the on -going work under each individual agreement implemented by the EU and a 
given third -country or region.  
5.8.  For the next few  years , the EU's list of on going and planned bilateral negotiations is one of 
the most ambitious in the world, covering partners such as Japan, Mexico, Mercosur, India, several 
South East Asian (ASEAN) countries, Tunisia, Morocco, Turkey, Australia, New Ze aland and Chile.  
__________