The 25th EU-Japan Summit took place on 17 July in Tokyo. At the summit, leaders signed two landmark agreements, the Strategic Partnership Agreement and the Economic Partnership Agreement, which will significantly boost bilateral relations.
Jean-Claude Juncker, President of the European Commission and Donald Tusk, President of the European Council, represented the European Union at the Summit. Japan was represented by its Prime Minister, Shinzo Abe. The European Commission Vice-President for Jobs, Growth, Investment and Competitiveness, Jyrki Katainen also participated. EU Leaders offered their condolences to the people of Japan following the floods and landslides in Western Japan, and offered their support to Prime Minister to help in any way.
“Today is a historic moment in our enduring partnership”, said President Jean-Claude Juncker. “Today’s signature of the EU-Japan Economic Partnership Agreement is a landmark moment for global trade, and I am also delighted that we have signed the first ever Strategic Partnership Agreement, which takes our cooperation to the next level. The impact of the Economic Partnership Agreement goes far beyond our shores. Together, we are making a statement about the future of free and fair trade. We are showing that we are stronger and better off when we work together and we are leading by example, showing that trade is about more than tariffs and barriers. It is about values, principles and finding win-win solutions for all. As far as we are concerned, there is no protection in protectionism – and there cannot be unity where there is unilateralism.”
For open, fair and win-win trade
The Economic Partnership Agreement between the EU and Japan is the biggest ever negotiated by the European Union. It creates an open trade zone covering over 600 million people and nearly a third of global GDP. It will remove the vast majority of the €1 billion of duties paid annually by EU companies exporting to Japan, and has led to the removal of a number of long-standing regulatory barriers, for example on cars. It will also open up the Japanese market of 127 million consumers to key EU agricultural exports and will increase EU export opportunities in a range of other sectors. The Agreement follows the highest standards of labour, environmental and consumer protection and has a dedicated chapter on sustainable development. It is the first trade agreement negotiated by the European Union to include a specific commitment to the Paris climate agreement.
Commissioner for Trade Cecilia Malmström said: “We are sending a strong signal to the world that two of its biggest economies still believe in open trade, opposing both unilateralism and protectionism. The economic benefits of this agreement are clear. By removing billions of euros of duties, simplifying customs procedures and tackling behind-the-border barriers to trade, it will offer opportunities for companies on both sides to boost their exports and expand their business.”
Concerning data protection, the EU and Japan concluded the negotiations on reciprocal adequacy on 17 July, which will complement the Economic Partnership Agreement. They agreed to recognise each other’s data protection systems as ‘equivalent’, which will allow data to flow safely between the EU and Japan, creating the world’s largest area of safe data flows.
Věra Jourová, Commissioner for Justice, Consumers and Gender Equality said: “Japan and EU are already strategic partners. Data is the fuel of global economy and this agreement will allow for data to travel safely between us to the benefit of both our citizens and our economies. At the same time we reaffirm our commitment to shared values concerning the protection of personal data. This is why I am fully confident that by working together, we can shape the global standards for data protection and show common leadership in this important area.”
A Strategic Partnership Agreement fit for truly Strategic Partners
The European Union and Japan are like-minded partners, working together both bilaterally as well as in multilateral fora, such as the United Nations and the G7. The Strategic Partnership Agreement, signed today by President Juncker, President Tusk and Prime Minister Abe, will deepen and strengthen EU-Japan relations by providing an overarching and binding framework for enhanced cooperation.
“In today’s world, no country can think of tackling the global challenges that we are faced with on its own”, said the High Representative/Vice-President Federica Mogherini ahead of the Summit. “Japan is a country that we already work so closely with, on many files, from peace-building to denuclearisation, from counter-terrorism to effective multilateralism. The Strategic Partnership Agreement will allow us to strengthen this cooperation across a wide range of sectors, but also open up the possibility for cooperation in new areas, from science, technology and innovation, environment and energy, to climate change and security.”
At the Summit, the Leaders addressed regional and foreign policy issues including the situation on the Korean Peninsula, the conflict in eastern Ukraine and the illegal annexation of Crimea and Sevastopol, the commitment to preserving the Joint Comprehensive Plan of Action – the Iran nuclear deal, among others. As the Strategic Partnership Agreement foresees, Leaders also discussed the shared commitment to strengthen cooperation on global issues and confirmed the EU and Japan’s joint vision and support to the rules-based international order with multilateralism, democracy, non-proliferation of weapons of mass destruction, open markets and a global trading system with the World Trade Organisation at its core.
The Leaders also discussed other bilateral issues, including possibilities to strengthen the EU-Japan security partnership, strengthened cooperation in the fields of development policy and education, culture and sports.
Making Europe’s future rhyme for the Next Generation
History does not always repeat itself but for Europe it does usually rhyme. Or at least it used to.
In the face of a virus that has taken lives and livelihoods across the world, Europe did not give in to age-old instincts or re-open barely healed wounds from the financial crisis a decade ago. Instead, we chose to pull each other through and invest in a common future.
This is why we can say that last week’s decision by the Leaders of the 27 Member States to endorse the European Commission’s recovery proposal was historic.
Firstly, the numbers. Europe will have at its disposal a recovery tool worth 750 billion EUR to support those hit hardest by this crisis. Called NextGenerationEU, it will invest in a recovery that builds a greener, more digital and more resilient Union for our children. This will be topped up by the EU budget for the next seven years, bringing the overall package to 1.8 trillion EUR.
Secondly, it is historic because of how Europe makes it work. For the first time on this scale, the European Commission – backed by the 27 Member States – will use its strong credit rating to raise money on the capital markets for NextGenerationEU.
In past crises, the better off survived while the most vulnerable paid a heavy price. But this time it has to be different. This time we can only get back to our feet if we all pull each other up. This is why most of NextGenerationEU funds will be distributed in grants to Member States to finance crucial reforms and investment. This is European money supporting projects and people from Flensburg to Freiburg, creating jobs locally from Cottbus to Cologne, and Europe’s strength globally.
Reforms and investment will be tailored to what each country needs and be in line with our wider European goals. For some, this will support reforms in the labour market to boost productivity, while others will focus more on education and training to help people develop the skills they need. Some will invest in improving digital infrastructure and others on transport connections. But, crucially, all will contribute to the goals of the European Green Deal. 30% of the overall 1.8 trillion will be ring-fenced for climate related spending and a new Just Transition Fund of 17.5 billion will help those people and regions who have to make a bigger transformation than most.
The third reason we can use the word historic is because of how the money will be repaid. To avoid sending a higher bill to Member States in the future, Europe should repay the funds through what we call new own resources. These will include a levy on big tech companies, a tax on non-recycled plastics and putting a carbon price on imports coming from countries with lower climate ambitions.
Some people will ask about why Germany should raise or repay money with another country thousands of kilometres away. The answer is simple. Europe’s prosperity lies in its unity, its community and its single market. So for us solidarity is actually self-interest and a euro invested in one country is actually a euro invested for all.
Think about what happens to our tourism industry if people from across Europe cannot afford to come to our Alps or to visit our Baltic Sea beaches anymore. Think about what happens to our manufacturers if they cannot get the parts they need from their suppliers in different European countries. Think about how the crisis has taken its toll on us all – on the wellbeing of people, the solvency of businesses, the functioning of society and the health of every single European economy. And it is not over yet.
This is why we need to act urgently, decisively and collectively. And last week, Europe has shown that it is up to the task. Of course, some will point to the long and difficult Summit and see that as hesitation or weakness. We see it as the ultimate sign of Europe’s unique strength.
Just take a step back and look around. Nowhere else in the world could 27 different countries even discuss financing their recovery and future together. We did it over one long weekend. At this very fragile moment in history, being in Europe is the best place to be. And now we need to keep it that way for all by working with governments and parliaments to bring this recovery to life.
Our Union should always be judged on what it can offer for the future. That vision of a common future enabled us to take every bold step in our history: uniting Europe after the Second World War or the end of the Cold War, creating our common market and introducing our common currency. Today, it is that same pioneering vision enabling us to make another historic step for our Union.
Where do we go from here? -revisiting words of Steve Clemons
On 1 July 2020,the first real-time conference in Europe past the early-spring lockdown took place at the Diplomatic Academy Vienna. This highly anticipated event, entitled From the Victory Day to Corona Disarray 75 years of Europe’s Collective Security and Human Rights System Legacy of antifascism for the common pan-European future, was organized by the International Institute for the Middle East and Balkan Studies, Media Platform Modern Diplomacy, Scientific Journal European Perspectives, and Action Platform Culture for Peace. (the entire conference proceedings are available
After the end of World War II, the United Nations was founded in 1945 to maintain international peace and security, build relationships among nations, promote social progress, better living standards, and human rights. The Nurnberg and Tokyo trials (1945-1948) prosecuted war crimes and contributed to the development of international criminal law as well as the Universal Declaration of Human Rights (1948). These laid down the foundation for the liberal international system that is based on the shared interest in maintaining rule of law, the cooperation to resolve security issues, and to maintain an open, stable system, in which institutions reinforce cooperation and collective problem-solving.
The first panel reflected on the legacy of World War II, collective security, Human Rights, and the importance of mutual trust within alliances. Discussions emphasized the testing times that we are living in, which unwittingly remind us of the set of challenges that the international system must overcome. Challenges that will commend other solutions, while testing the integrity of the current international system. During the first panel, discussions touched upon a crucial and complex issue, which came under the spotlight due to the severe worldwide effects of the COVID-19 pandemic, the state of international institutions as well as the transatlantic relations.
As the health crisis started to unfold rapidly, an unprecedented macroeconomic shock was triggered. To slow the spread of the virus, national governments-imposed sanctions, lockdowns, curfews, closed educational institutions, and non-essential businesses. National borders were shut down in a matter of hours, governments started to look for unilateral solutions to solve their lack of medical and food supply, and suddenly it seemed like the globalized world and the relevance of the international organizations are fading away, as the interest to act in concert would not exist anymore.
National crisis management aimed at containing the spread of the virus and minimize the economic damages, at the same time sent an immediate warning that the collective problem-solving mechanisms are not functioning properly. It also demonstrated how interdependent the economic, social systems are and this magnitude of crisis cannot be dealt with unilaterally within national borders. As Mr. Steve Clemons, Editor-at-large, HILL pointed out in his intervention, the course that a nation should take is more in question than it has ever been before. ‘When you look at the Transatlantic experiment, it looked like it succeeded enormously until it stopped succeeding and working.’
As the C-19 crisis demonstrates, the scale of transnational threats cannot be dealt with on a national level. Combatting interstate terrorism, cybercrimes, climate change, the slow pace of clean energy transition, migration, global pandemics require transnational solutions. Meanwhile, countries are putting more emphasis on strengthening their positions as a nation in the international discourse and seeking a different role by redefining themselves and embracing other core values and institutions.
Attempts to look for alternatives and transform the existing institutional structure put in place after World War II have surged in the last decade, especially after 9/11, the financial crisis in 2008, but with the outbreak of the COVID-19 pandemic, the world arrived at another tipping point. As Mr. Clemons phrased it: ‘A point of diminishing return that these institutions need to be rethought, reconsidered, and recalibrated, that the power players that now guide much of the world need to be reassorted. There is no doubt that countries like Brazil, India, etc. are not included in those power centers, and yet they have enormous stakes in the way global affairs occur.’
A global power transition has been taking place for years, the question is how the shift from unipolarity will accommodate rising powers, who will be able to take the lead and fill the power vacuum that the United States leaves behind. As opposed to the rules of the liberal value-based world order, a new set of rules is being written by rising powers. Some of the political leaders turned back to ideologies like nationalism and populism, as a potential alternative to liberalism. Conflicts in recent years reinforced this tendency, like disputes between Hong Kong and mainland China, the Ukraine crisis, and Turkey`s autocratic behavior. In addition to this, the United Kingdom left the European Union and Hungary changed its raison d’état by redefining itself as an illiberal democracy.
Even the United States is less committed to the post-war world order. Demonstrating that by leaving institutions that It helped to build, such as the World Health Organization, the Paris Climate Accord, questioning the legitimacy of NATO and certain UN institutions. Mr. Clemons stated that the United States has become a serious competitor with its allies to a certain degree and the notion of shared interest has diminished. He emphasized the different stand that the United States took in the C-19 event as oppose to its position in World War II: ‘The United States has chosen not to be the kind of leader that it has been in the past. It did not step forward in the C-19 crisis to help become a broker of strength and benefits and help support nations around the world. We may have done something here and there, but nothing on the scale.’
The set of challenges put the resistance of decade long alliances to a test. At the same time, they create the opportunity to find comprehensive solutions and more efficient problem-solving mechanisms for the future, by revitalizing and reforming institutions that are the cornerstones of long-standing regional orders, cooperation, and collective problem-solving. To stand resilient against global challenges like C-19, the transatlantic relationship must come back to its core values and redefine itself. Therefore, as a first step, it must be acknowledged what led to this harsh world without much leadership.
The strength lies within like-minded alliances and sharing the same core values as well as in the ability to come together despite the differences and finding a common ground again. That is what happened 75 years ago, after the end of World War II, when the United Nations was founded. Let us remember that.
EU-US: New geopolitical disharmonies
The article analyzes new trends in the development of the transatlantic partnership, laying bare the contradictions and problems that have recently been complicating the allied ties between the US and the EU.
Donald Trump’s presidency has led to a noticeable cooling of relations between the United States and the European Union. Most European analysts view the Trump administration’s approach to relations with the European Union as destructive, since it proceeds from the assumption that European integration is directed against the United States and that the “disunited states of Europe” thus pursue their own strategic interests. This means that the US now prefers to build privileged bilateral relations with individual countries, depending on their geopolitical and regional status and foreign policy priorities, which is clearly reflected by Washington’s support for Brexit.
Signs of an unprecedented complication of transatlantic ties abound, as was clearly confirmed by the June 20, 2020 videoconference by the foreign ministers of 27 EU member states, attended by US Secretary of State Mike Pompeo, and which the authoritative French newspaper Le Monde very aptly described as a “dialogue of the deaf.”
The United States’ approach to tackling the COVID-19 pandemic differs notably from the EU’s. While the European Union believes that the vaccine, which is currently being developed in various countries, should belong to all mankind, Washington wants to have exclusive access to it with an eye to monopolizing its use in the world. Trump has tried to persuade the German firm CureVac, developing a vaccine for coronavirus, to move its research work to the United States, and ignored a call from various international organizations to reconsider the US decision to break off relations with WHO, and a joint appeal to this effect from European Commission President Ursula von der Leyen and the EU’s High Representative for Foreign Affairs and Security Policy Josep Borrell.
The Protecting Europe’s Energy Security Act of 2019, introduced by a group of US Senators, provides for harsh sanctions against anyone involved in the construction of the Nord Stream 2 gas pipeline. The bill expands existing US sanctions related to the provision of pipe-laying vessels and applies to all companies involved in the pipeline’s construction, operation and maintenance.
If enacted, the bill will affect more than 120 companies from 12 European countries, since seaports, legal and insurance companies will suffer too. It also stipulates that if the construction of the pipeline is completed, sanctions will be applied also to specialized organizations that certify it.
The EU’s reaction came quickly. In her July 1, 2020 address to the Bundestag, German Chancellor Angela Merkel minced no words openly describing Washington’s extraterritorial sanctions against Nord Stream 2 as illegal. Her statement was all the more significant since it coincided with the start of Germany’s presidency of the EU Council for the next six months. Commenting on the country’s foreign policy priorities for this period in light of the US pressure on the EU, Foreign Minister Heiko Maas laid out the EU’s sovereign strategic and tactical position: “We do not intend to be guided by anyone; we want to go our own way and actively influence geopolitical agenda.”
The German MPs were much less diplomatic though.
“We are convinced that the time of diplomatic restraint is now over. To protect European interests, the German government and the European Union should introduce countermeasures and consider the use of retaliatory sanctions, for example, against US shale gas. The real threat of serious retaliatory sanctions is the only way we can possibly resolve the conflict. This is the only language Donald Trump understands,” Timon Gremmels (SPD faction’s speaker on gas policy) and Markus Töns (SPD faction’s speaker on trade policy) stated.
The lack of unanimity of positions on Iran has become a serious sticking point in EU-US relations. France, Germany and even Washington’s closest ally Britain have criticized the new American sanctions against the Islamic Republic, demonstrating their opposition to the US intention to nix the landmark nuclear deal with Tehran, reached in 2015.
Disagreements within the US-EU-NATO geopolitical triangle have escalated sharply, with French President Emmanuel Macron publicly describing NATO, where the US plays a leading role, as being “brain dead.” After his oft-repeated demands for Germany to almost double its financial contribution to NATO were essentially ignored by Berlin, Trump decided to cut the US military contingent in Germany by 9,500 troops on the pretext that the US was overburdened with ensuring Germany’s security.
For all his unpredictability, Donald Trump is pretty much consistent when it comes to his stance concerning the transatlantic military-political partnership. Attentive observers will recall that when speaking in the press about his support for one of the candidates for the US presidency three decades ago, Trump said he was unhappy about American resources going to protect rich allies that did not invest enough in their own defense and essentially benefited at Washington’s expense. Therefore, he insisted that United States should stop paying for a world order that primarily accommodates the needs of other countries, even if they happen to be America’s allies.
After the Polish government said it would welcome a full-fledged US military base on its territory, manned by the US troops being withdrawn from Germany, Trump invited Polish President Andrzej Duda to visit the United States just a few days ahead of this year’s presidential elections in Poland. The US meddling in the 2020 summer election campaign in an EU country was as obvious as it was unceremonious. Moreover, it sent a clear message to Angela Merkel as a reminder of her refusal to come to Washington for the G7 summit in June.
In a research project “State of the World 2020. The End of American Leadership?” a team of French political scientists expressed their conviction that “militarily, the EU must get rid of the illusion of a protective American umbrella by providing its own collective defense. America’s strategic distance (from Europe – M.N.) fits into the long-term perspective. Consequently, dependence on NATO can threaten security on the continent.” [3, p.181]
The foresight of Cyril N. Parkinson, the author of the famous “Parkinson’s Laws,” who, decades ago, predicted a crisis in relations between the United States and Europe, has proved surprisingly accurate. In comments to his “Laws…” Parkinson explained that if the West wants to survive, it must achieve a certain unity and rally its ranks, which is not even mentioned now. If links begin to fall out of this goal, it will not happen in a border state, where tension always persists, not in countries that desperately cling to their elusive sovereign status – a breakdown will occur where there is seemingly complete grace: in Brussels or Washington “[1, c.318]
However, speaking about the end of the transatlantic partnership would be a far-fetched exaggeration. Today, the time-tested allied relationship between the EU and the US, based on fully or partially shared values as well as ideological, political and economic priorities, is being tested by serious international challenges and threats and, simultaneously, by initiatives coming from the Trump administration that are particularly painful for the EU. Even though the interests of the parties diverge and the format of their relations is changing or being modified, in the present geopolitical context this is unlikely to erode the bonds of transatlantic partnership, much less to precipitate any major crisis. Meanwhile, amid a protracted crisis of the liberal model of the world order, the competitive partnership between the US and the EU will keep hitting snags, but this will still not become a mainstream antagonistic trend in their relations.
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