The European Union calls for reciprocity in international trade relations

The decision to bring trade relations with global partners at EU level further to the establishment of the common market, has facilitated Europe to become the largest trading bloc in the world. This position which implies that the European Union must keep an open approach in its trade relations, also provides that it can stand firm in demanding openness and reciprocity from other trading partners.

On the occasion of his participation in the conferences of the summer university of the Mouvement des Entreprises de France (MEDEF), EU Trade Commissioner Karel De Gucht expressed the firm position of the European Union to request reciprocity and balance in its relationships with trading partners worldwide. As Commissioner De Gucht pointed out, this call for reciprocity should lead to a vision of trade as an driver for growth and not a threat to prosperity.

In his speech to French enterprises, De Gutch reminded that it is precisely the question of reciprocity in trade which has stalled the Doha Round negotiations within the World Trade Organization (WTO). Moreover, the changing role of countries like China, India and Brazil as emerging countries in the international trade scope makes it increasingly important for them to assume their new responsibilities in the relationships with their partners.

The European Union applies the same flexibility or differential treatment in its bilateral negotiations. As highlighted by EU Trade Commissioner, tariff concessions have been granted in trade relations such as those included in the free trade agreement signed with South Korea which entered in force July 2011. However, these same levels are not expected to be achieved regarding concession with other trade partner like India and MERCOSUR, or the countries in Central America or Sub-Saharan Africa.

Public procurement and reciprocity in trade relations

Finally, Commissioner De Gutch recalled that the European Union is also one of the most open commercial spaces worldwide in relation to public procurement. In order to benefit the quality and effectiveness of the services provided by public administrations, Member States are free to apply and extend the necessary competitive procedures to the public contracts published in the European Union. However, it has been found that European companies are experiencing difficulties in accessing procurement markets in third countries.

In order to implement openness and reciprocity in this area, the European Commission launched in June 2011 a public consultation on an initiative on access of third countries to the EU's public procurement market. The results from this consultation will inform a legislative proposal to be presented by the end of 2011 with the ultimate goal to achieve greater symmetry in public procurement markets at international level.