State of the Union 2017 - Trade Package: Commission unveils initiatives for a balanced and progressive trade policy

14 September 2017

The proposals include the creation of a European screening framework to ensure that foreign direct investment does not compromise the EU's strategic interests when it comes to security and public order, as well as draft mandates to open trade negotiations with Australia and New Zealand.

In a move to make the EU's trade policy the most transparent and inclusive in the world, the Commission has decided to set up an Advisory Group on EU trade agreements and to publish as of today any new proposal for negotiating mandates. Finally, today's proposals include a draft mandate to start negotiations towards the creation of a multilateral investment court. [...]

The key elements of the package are:

• A proposal for a European framework to screen foreign direct investment. It will ensure that foreign investment remains a major source of growth in the EU while protecting the EU's essential interests. The legislative proposal is accompanied by a set of further measures that take immediate effect. These are detailed in a dedicated Communication outlining the strategic need for such a screening.
• Recommendations to the Council to open negotiations for trade agreements with Australia and New Zealand. These agreements would build on the recent successful agreements with Canada, Vietnam, Singapore as well as Japan among others, expanding the alliance of partners committed to progressive rules for global trade.
• A recommendation to the Council to open negotiations to establish a multilateral court for the settlement of investment disputes. This major innovation in global governance would be yet another step towards a more transparent, coherent and fair approach to deal with company complaints under investment protection agreements.
• Unprecedented transparency: With the publication of the draft mandates for bilateral trade agreements with Australia and New Zealand, and for a multilateral agreement on investment dispute settlement, the Commission has decided to publish as of now all its recommendations for negotiating directives for trade agreements (known as negotiating mandates). When they are submitted to the European Parliament and the Council, those documents will in parallel be sent automatically to all national Parliaments and will be made available to the general public. This should allow for a wide and inclusive debate on the planned agreements from the start. The Commission asks Member States to ensure the involvement of the relevant national and regional stakeholders in trade talks at the earliest possible stage.
• The creation of an Advisory Group on EU trade agreements. The group will allow the Commission to engage with civil society and gather more easily different perspectives and insights from a wide and balanced group of stakeholders, ranging from trade unions, employers' organisations, consumer groups and other non-governmental organisations. The creation of this Group is a continuation of the Commissions' efforts to make trade policy even more transparent and inclusive.

Communication: A balanced and progressive trade policy to harness globalisation

"Trade for all" implementation report

Press release on investment screening

Factsheet on investment screening

Draft mandate for negotiations with Australia

Draft mandate for negotiations with New Zealand

Factsheet on future negotiations with Australia and New Zealand

Draft mandate for negotiations to create a multilateral investment court

Factsheet on future negotiations for a multilateral investment court

© European Commission