EU-US trade pact face uphill climb
Negotiations between the US and the European Union for the creation of the largest free trade deal in the world had taken a tuen for the worse even before the cancellation of talks amidst the partial US shutdown.
The French concession to remove European movies and entertainment out of the deal, a move seen to protect itself against Hollywood and Silicon Valley intrusion, had raised concerns in Washington. In return, Washington may seek exemptions in the shipping industry based on security grounds. Another issue was the allegations of espionage divulged by former NSA Edward Snowden conducted by the US against its EU counterparts.
All these were complicated by the US shutdown, placing all these discussions in limbo as the scheduled talks were scrapped with no schedule arranged as to the resumption of discussions. Still to be discussed is one of the major areas between Europe and the United States, finance and trade.
The EU-US pace is to be known as the Transatlantic Trade and Investment Partnership. The said deal could increase economic output to nearly USD100 billion per year on each side of the deal. This creates a market for about 800 million individuals. This is the way to reinvigorate the economies on either side of the Atlantic.
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