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THE ROLE OF EU INSTITUTIONS IN COMMON TRADE POLICY: AN ASSESSMENT ON EU-CANADA COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT

Year 2019, Volume: 7 Issue: 2, 83 - 104, 10.01.2020
https://doi.org/10.18825/iremjournal.615846

Abstract

What are the roles of the European Union (EU)’s
main institutions in common trade policy? To address this question, this study
uses a political-economic approach. The positions of the European Commission,
Council of the European Union and European Parliament on EU-Canada
Comprehensive Economic and Trade Agreement (CETA) are examined. The study uses
content analysis as a research methodology, based on a categorization of values
and economic interests projected by the EU’s contemporary trade strategy “Trade
for All”. Differently from previous studies which use a political-economic
approach to analyze the EU’s external relations with developing countries, this
article makes a contribution to EU trade policy literature by combining a
political-economy perspective with an institutional one to examine a EU trade
agreement signed with a highly industrialized country. Within this context, the
findings reveal that the Parliament and Council are more value-oriented, than
economic interest-oriented. The Commission is instead found slightly more
economic interest-oriented than value-oriented. However, the priorities of
three institutions do not diverge significantly in terms of political economy.
Each institution manages to impose its own priorities on both the
(value-related) normative and (interest-related) material parts of CETA and
agrees on producing a neoliberal economic outcome.

Thanks

Esra Uyar Okcu gratefully acknowledges the support by Jean Monnet Scholarship Programme for this research.

References

  • Aggarwal, V., & Fogarty, E. 2004. EU trade strategies: between regionalism and globalism. Basingstoke: Palgrave Macmillan.
  • Bartels, L. 2017. Human rights, labour standards and environmental standards in CETA. University of Cambridge Faculty of Law Legal Studies Research Paper Series, no. 13.
  • Billiet, S. 2009. Principal–agent analysis and the study of the EU: what about the EC’s external relations? Comparative European Politics, 7(4): 435–454.
  • Council of the European Union. 2015. Council conclusions on the EU's trade and investment policy.
  • Council of the European Union. 2016a. Council conclusions on the EU and responsible global value chains.
  • Council of the European Union. 2016b. Joint interpretative instrument on the comprehensive economic and trade agreement (CETA) between Canada and the European Union and its member states. http://data.consilium.europa.eu/doc/document/ST-13541-2016-INIT/en/pdf , June 8, 2019.
  • Council of the European Union. 2018. The European council and the council - the house of the member states. https://www.consilium.europa.eu/media/33114/2016-8008_en_web.pdf, June 17, 2019.
  • Damro, C. 2007. EU delegation and agency in international trade negotiations: a cautionary comparison. Journal of Common Market Studies, 45(4): 883–903.
  • Damro, C. 2012. Market power Europe. Journal of European Public Policy, 19(5): 682–699.
  • De Biévre, D., & Dür, A. 2005. Constituency interests and delegation in European and American trade policy. Comparative Political Studies, 38(10): 1271–1296.
  • Delreux, T., & Kerremans, B. 2010. How agents weaken their principals’ incentives to control: the case of EU negotiators and EU member states in multilateral negotiations. Journal of European Integration, 32(4): 357-374.
  • De Ville, F., & Orbie, J. 2014. The European Commission’s neoliberal trade discourse since the crisis: legitimizing continuity through subtle discursive change. The British Journal of Politics and International Relations, 16(1): 149–167.
  • Directorate-General for External Policies of the Union. 2014a. Negotiations on the EU-Canada comprehensive economic and trade agreement (CETA) concluded. http://www.europarl.europa.eu/RegData/etudes/IDAN/2014/536410/EXPO_IDA(2014)536410_EN.pdf, July 21, 2019.
  • Directorate-General for External Policies of the Union. 2014b. The role of the EP in shaping the EU’s trade policy after the entry into force of the treaty of Lisbon. http://www.europarl.europa.eu/RegData/etudes/briefing_note/join/2014/522336/EXPO-JOIN_SP(2014)522336_EN.pdf, July 21, 2019.
  • Dür, A. 2008. Bringing economic interests back into the study of EU trade policy-making. British Journal of Politics and International Relations, 10(1): 27–45.
  • Elsig, M. 2007. The EU’s choice of regulatory venues for trade negotiations: a tale of agency power? Journal of Common Market Studies, 45(4): 927–948.
  • European Commission. 2015a. Trade for all - towards a more responsible trade and investment policy. http://trade.ec.europa.eu/doclib/docs/2015/october/tradoc_153846.pdf, May 12, 2019.
  • European Commission. 2016a. European commission proposes signature and conclusion of EU-Canada trade deal. http://trade.ec.europa.eu/doclib/press/index.cfm?id=1524, May 24, 2019.
  • European Commission. 2016b. CETA – summary of the final negotiating results. http://trade.ec.europa.eu/doclib/docs/2014/december/tradoc_152982.pdf, June 12, 2019.
  • European Commission. 2016c. Proposal for a council decision on the conclusion of the comprehensive economic and trade agreement between Canada of the one part, and the European Union and its member states, of the other part. COM(2016) 443 final.
  • European Commission. 2017a. CETA factsheet - standards and values in CETA. http://trade.ec.europa.eu/doclib/docs/2017/september/tradoc_156061.pdf, July 14, 2019.
  • European Commission. 2017b. Guide to the comprehensive economic and trade agreement (CETA) http://trade.ec.europa.eu/doclib/docs/2017/september/tradoc_156062.pdf, July 14, 2019.
  • European Parliament. 2010. Human rights, social and environmental standards in international trade agreements. http://www.europarl.europa.eu/sides/getDoc.do?type=TA&reference=P7-TA-2010-0434&language=EN, May 25, 2109.
  • European Parliament. 2015. Intellectual property rights: an EU action plan. http://www.europarl.europa.eu/RegData/seance_pleniere/textes_adoptes/provisoire/2015/06-09/0220/P8_TA-PROV(2015)0220_EN.pdf, April 5, 2019.
  • European Parliament. 2017. Impact of international trade and EU’s trade policies on global value chains. http://www.europarl.europa.eu/doceo/document/TA-8-2017-0330_EN.html, May 17, 2019.
  • European Parliament. 2018. Report on harnessing globalisation: trade aspects. http://www.europarl.europa.eu/doceo/document/A-8-2018-0319_EN.pdf, April 5, 2019.
  • Farrell, M. 2005. A triumph of realism over idealism? cooperation between the European Union and Africa. Journal of European Integration, 27(3): 263–283.
  • Franchino, F. 2007. The powers of the union: delegation in the EU. Cambridge: Cambridge University Press.
  • Garcia-Duran Huet, P., & Eliasson, L. J. 2017. Supporters’ responses to contested trade negotiations: the European Commission’s rhetoric on the Transatlantic Trade and Investment Partnership. Cambridge Review of International Affairs, 30(5-6): 489-506.
  • Gastinger, M., & Adriaensen, J. 2019. Of principal(s’) interest? a disaggregated, multiple principals’ approach to commission discretion. Journal of Common Market Studies, 57(2): 353–370.
  • Grugel, J. B. 2004. New regionalism and modes of governance - comparing US and EU strategies in Latin America. European Journal of International Relations, 10(4): 603–626.
  • Gstöhl, S., & De Bièvre, D. 2018. The Trade Policy of the European Union. London: Palgrave Education.
  • Holden, P. 2017. Neo-liberalism by default? The European Union’s trade and development policy in an era of crisis. Journal of International Relations and Development, 20: 381–407.
  • Hurt, S. 2003. Co-operation and coercion? the Cotonou agreement between the European Union and ACP states and the end of the Lomé convention. Third World Quarterly, 24(1): 161–176.
  • Hübner, K., Deman, A.-S. & Balik, T. 2017. EU and trade policymaking: the contentious case of CETA. Journal of European Integration, 39(7): 843-857.
  • Langan, M. 2009. ACP–EU normative concessions from stabex to private sector development: why the European Union's moralised pursuit of a ‘deep’ trade agenda is nothing ‘new’ in ACP–EU Relations. Perspectives on European Politics and Society, 10(3): 416-440.
  • Letter to Commissioner Cecilia Malmström. 2016. http://www.efddm5seuropa.com/Letter%20Member%20States%20to%20Malmstrom.pdf, May 15, 2019.
  • Malmström, C. 2015. Speech. CETA: Europe’s next trade step. http://trade.ec.europa.eu/doclib/docs/2015/december/tradoc_154022.pdf, May 21, 2019.
  • Malmström, C. 2016. Speech. An effective, progressive deal for Europe. http://trade.ec.europa.eu/doclib/docs/2016/september/tradoc_154955.pdf, May 21, 2019.
  • Malmström, C. 2017. Speech. The opportunities of EU-Canada trade. http://trade.ec.europa.eu/doclib/docs/2017/march/tradoc_155446.pdf, May 21, 2019.
  • Meunier, S. 2000. What single voice? European institutions and EU-US trade negotiations. International Organization, 54(1): 103–135.
  • Official Journal of the European Union. 2019. Notices from European Union institutions, bodies, offices and agencies - council conclusions on the EU customs action plan to combat IPR infringements for the years 2018 to 2022. January 21. C 24/3.
  • Orbie, J., and S. Khorana. 2015. Normative versus market power Europe? The EU-India trade agreement. Asia Europe Journal, 13(3): 253–264.
  • Poletti, A., & De Bièvre, D. 2013. The political science of EU trade policy: a literature review with a research outlook. Comparative European Politics, 12(1): 101–119.
  • Pollack, M. 2003. The engines of European integration: delegation, agency, and agenda setting in the EU. Oxford: Oxford University Press.
  • Reichert, M. S., & Jungblut, M. E. B. 2007. European Union external trade policy: multilevel principal–agent relationships. The Policy Studies Journal, 35(3): 395-418.
  • Roederer-Rynning, C., & Kallestrup, M. 2017. National parliaments and the new contentiousness of trade. Journal of European Integration, 39(7): 811-825. Siles-Brügge, G. 2011. Resisting protectionism after the crisis: strategic economic discourse and the EU–Korea free trade agreement. New Political Economy, 16(5): 627–653.
  • Storey, A. 2006. Normative power Europe? economic partnership agreements and Africa. Journal of Contemporary African Studies, 24(3): 331-346.
  • Woll, C. 2009. Trade policy lobbying in the European Union. Who Captures whom? In Coen, D., & Richardson, J. (Eds.), Lobbying the European Union: institutions, actors, and issues: 268–288. Oxford: Oxford University Press.
  • Zimmermann, H. 2007. Realist power Europe? The EU in the negotiations about China’s and Russia’s WTO accession. Journal of Common Market Studies, 45(4): 813–832.

THE ROLE OF EU INSTITUTIONS IN COMMON TRADE POLICY: AN ASSESSMENT ON EU-CANADA COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT

Year 2019, Volume: 7 Issue: 2, 83 - 104, 10.01.2020
https://doi.org/10.18825/iremjournal.615846

Abstract

What are the roles of the European Union (EU)’s
main institutions in common trade policy? To address this question, this study
uses a political-economic approach. The positions of the European Commission,
Council of the European Union and European Parliament on EU-Canada
Comprehensive Economic and Trade Agreement (CETA) are examined. The study uses
content analysis as a research methodology, based on a categorization of values
and economic interests projected by the EU’s contemporary trade strategy “Trade
for All”. Differently from previous studies which use a political-economic
approach to analyze the EU’s external relations with developing countries, this
article makes a contribution to EU trade policy literature by combining a
political-economy perspective with an institutional one to examine a EU trade
agreement signed with a highly industrialized country. Within this context, the
findings reveal that the Parliament and Council are more value-oriented, than
economic interest-oriented. The Commission is instead found slightly more
economic interest-oriented than value-oriented. However, the priorities of
three institutions do not diverge significantly in terms of political economy.
Each institution manages to impose its own priorities on both the
(value-related) normative and (interest-related) material parts of CETA and
agrees on producing a neoliberal economic outcome. 

References

  • Aggarwal, V., & Fogarty, E. 2004. EU trade strategies: between regionalism and globalism. Basingstoke: Palgrave Macmillan.
  • Bartels, L. 2017. Human rights, labour standards and environmental standards in CETA. University of Cambridge Faculty of Law Legal Studies Research Paper Series, no. 13.
  • Billiet, S. 2009. Principal–agent analysis and the study of the EU: what about the EC’s external relations? Comparative European Politics, 7(4): 435–454.
  • Council of the European Union. 2015. Council conclusions on the EU's trade and investment policy.
  • Council of the European Union. 2016a. Council conclusions on the EU and responsible global value chains.
  • Council of the European Union. 2016b. Joint interpretative instrument on the comprehensive economic and trade agreement (CETA) between Canada and the European Union and its member states. http://data.consilium.europa.eu/doc/document/ST-13541-2016-INIT/en/pdf , June 8, 2019.
  • Council of the European Union. 2018. The European council and the council - the house of the member states. https://www.consilium.europa.eu/media/33114/2016-8008_en_web.pdf, June 17, 2019.
  • Damro, C. 2007. EU delegation and agency in international trade negotiations: a cautionary comparison. Journal of Common Market Studies, 45(4): 883–903.
  • Damro, C. 2012. Market power Europe. Journal of European Public Policy, 19(5): 682–699.
  • De Biévre, D., & Dür, A. 2005. Constituency interests and delegation in European and American trade policy. Comparative Political Studies, 38(10): 1271–1296.
  • Delreux, T., & Kerremans, B. 2010. How agents weaken their principals’ incentives to control: the case of EU negotiators and EU member states in multilateral negotiations. Journal of European Integration, 32(4): 357-374.
  • De Ville, F., & Orbie, J. 2014. The European Commission’s neoliberal trade discourse since the crisis: legitimizing continuity through subtle discursive change. The British Journal of Politics and International Relations, 16(1): 149–167.
  • Directorate-General for External Policies of the Union. 2014a. Negotiations on the EU-Canada comprehensive economic and trade agreement (CETA) concluded. http://www.europarl.europa.eu/RegData/etudes/IDAN/2014/536410/EXPO_IDA(2014)536410_EN.pdf, July 21, 2019.
  • Directorate-General for External Policies of the Union. 2014b. The role of the EP in shaping the EU’s trade policy after the entry into force of the treaty of Lisbon. http://www.europarl.europa.eu/RegData/etudes/briefing_note/join/2014/522336/EXPO-JOIN_SP(2014)522336_EN.pdf, July 21, 2019.
  • Dür, A. 2008. Bringing economic interests back into the study of EU trade policy-making. British Journal of Politics and International Relations, 10(1): 27–45.
  • Elsig, M. 2007. The EU’s choice of regulatory venues for trade negotiations: a tale of agency power? Journal of Common Market Studies, 45(4): 927–948.
  • European Commission. 2015a. Trade for all - towards a more responsible trade and investment policy. http://trade.ec.europa.eu/doclib/docs/2015/october/tradoc_153846.pdf, May 12, 2019.
  • European Commission. 2016a. European commission proposes signature and conclusion of EU-Canada trade deal. http://trade.ec.europa.eu/doclib/press/index.cfm?id=1524, May 24, 2019.
  • European Commission. 2016b. CETA – summary of the final negotiating results. http://trade.ec.europa.eu/doclib/docs/2014/december/tradoc_152982.pdf, June 12, 2019.
  • European Commission. 2016c. Proposal for a council decision on the conclusion of the comprehensive economic and trade agreement between Canada of the one part, and the European Union and its member states, of the other part. COM(2016) 443 final.
  • European Commission. 2017a. CETA factsheet - standards and values in CETA. http://trade.ec.europa.eu/doclib/docs/2017/september/tradoc_156061.pdf, July 14, 2019.
  • European Commission. 2017b. Guide to the comprehensive economic and trade agreement (CETA) http://trade.ec.europa.eu/doclib/docs/2017/september/tradoc_156062.pdf, July 14, 2019.
  • European Parliament. 2010. Human rights, social and environmental standards in international trade agreements. http://www.europarl.europa.eu/sides/getDoc.do?type=TA&reference=P7-TA-2010-0434&language=EN, May 25, 2109.
  • European Parliament. 2015. Intellectual property rights: an EU action plan. http://www.europarl.europa.eu/RegData/seance_pleniere/textes_adoptes/provisoire/2015/06-09/0220/P8_TA-PROV(2015)0220_EN.pdf, April 5, 2019.
  • European Parliament. 2017. Impact of international trade and EU’s trade policies on global value chains. http://www.europarl.europa.eu/doceo/document/TA-8-2017-0330_EN.html, May 17, 2019.
  • European Parliament. 2018. Report on harnessing globalisation: trade aspects. http://www.europarl.europa.eu/doceo/document/A-8-2018-0319_EN.pdf, April 5, 2019.
  • Farrell, M. 2005. A triumph of realism over idealism? cooperation between the European Union and Africa. Journal of European Integration, 27(3): 263–283.
  • Franchino, F. 2007. The powers of the union: delegation in the EU. Cambridge: Cambridge University Press.
  • Garcia-Duran Huet, P., & Eliasson, L. J. 2017. Supporters’ responses to contested trade negotiations: the European Commission’s rhetoric on the Transatlantic Trade and Investment Partnership. Cambridge Review of International Affairs, 30(5-6): 489-506.
  • Gastinger, M., & Adriaensen, J. 2019. Of principal(s’) interest? a disaggregated, multiple principals’ approach to commission discretion. Journal of Common Market Studies, 57(2): 353–370.
  • Grugel, J. B. 2004. New regionalism and modes of governance - comparing US and EU strategies in Latin America. European Journal of International Relations, 10(4): 603–626.
  • Gstöhl, S., & De Bièvre, D. 2018. The Trade Policy of the European Union. London: Palgrave Education.
  • Holden, P. 2017. Neo-liberalism by default? The European Union’s trade and development policy in an era of crisis. Journal of International Relations and Development, 20: 381–407.
  • Hurt, S. 2003. Co-operation and coercion? the Cotonou agreement between the European Union and ACP states and the end of the Lomé convention. Third World Quarterly, 24(1): 161–176.
  • Hübner, K., Deman, A.-S. & Balik, T. 2017. EU and trade policymaking: the contentious case of CETA. Journal of European Integration, 39(7): 843-857.
  • Langan, M. 2009. ACP–EU normative concessions from stabex to private sector development: why the European Union's moralised pursuit of a ‘deep’ trade agenda is nothing ‘new’ in ACP–EU Relations. Perspectives on European Politics and Society, 10(3): 416-440.
  • Letter to Commissioner Cecilia Malmström. 2016. http://www.efddm5seuropa.com/Letter%20Member%20States%20to%20Malmstrom.pdf, May 15, 2019.
  • Malmström, C. 2015. Speech. CETA: Europe’s next trade step. http://trade.ec.europa.eu/doclib/docs/2015/december/tradoc_154022.pdf, May 21, 2019.
  • Malmström, C. 2016. Speech. An effective, progressive deal for Europe. http://trade.ec.europa.eu/doclib/docs/2016/september/tradoc_154955.pdf, May 21, 2019.
  • Malmström, C. 2017. Speech. The opportunities of EU-Canada trade. http://trade.ec.europa.eu/doclib/docs/2017/march/tradoc_155446.pdf, May 21, 2019.
  • Meunier, S. 2000. What single voice? European institutions and EU-US trade negotiations. International Organization, 54(1): 103–135.
  • Official Journal of the European Union. 2019. Notices from European Union institutions, bodies, offices and agencies - council conclusions on the EU customs action plan to combat IPR infringements for the years 2018 to 2022. January 21. C 24/3.
  • Orbie, J., and S. Khorana. 2015. Normative versus market power Europe? The EU-India trade agreement. Asia Europe Journal, 13(3): 253–264.
  • Poletti, A., & De Bièvre, D. 2013. The political science of EU trade policy: a literature review with a research outlook. Comparative European Politics, 12(1): 101–119.
  • Pollack, M. 2003. The engines of European integration: delegation, agency, and agenda setting in the EU. Oxford: Oxford University Press.
  • Reichert, M. S., & Jungblut, M. E. B. 2007. European Union external trade policy: multilevel principal–agent relationships. The Policy Studies Journal, 35(3): 395-418.
  • Roederer-Rynning, C., & Kallestrup, M. 2017. National parliaments and the new contentiousness of trade. Journal of European Integration, 39(7): 811-825. Siles-Brügge, G. 2011. Resisting protectionism after the crisis: strategic economic discourse and the EU–Korea free trade agreement. New Political Economy, 16(5): 627–653.
  • Storey, A. 2006. Normative power Europe? economic partnership agreements and Africa. Journal of Contemporary African Studies, 24(3): 331-346.
  • Woll, C. 2009. Trade policy lobbying in the European Union. Who Captures whom? In Coen, D., & Richardson, J. (Eds.), Lobbying the European Union: institutions, actors, and issues: 268–288. Oxford: Oxford University Press.
  • Zimmermann, H. 2007. Realist power Europe? The EU in the negotiations about China’s and Russia’s WTO accession. Journal of Common Market Studies, 45(4): 813–832.
There are 50 citations in total.

Details

Primary Language English
Journal Section ARTICLES
Authors

Esra Uyar Okcu 0000-0002-5965-9104

Fabio Franchino This is me 0000-0001-8774-6494

İbrahim Alper Arısoy 0000-0001-9140-6599

Publication Date January 10, 2020
Submission Date September 5, 2019
Acceptance Date December 9, 2019
Published in Issue Year 2019 Volume: 7 Issue: 2

Cite

APA Uyar Okcu, E., Franchino, F., & Arısoy, İ. A. (2020). THE ROLE OF EU INSTITUTIONS IN COMMON TRADE POLICY: AN ASSESSMENT ON EU-CANADA COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT. International Review of Economics and Management, 7(2), 83-104. https://doi.org/10.18825/iremjournal.615846