Today U.S Embassy in Sweden host a regional TTIP event with Nordic and Baltic in the EU. This workshop event is part of a broader stakeholder outreach, which U.S and the European Commission have engaged in since the genesis of T-TIP and which has made T-TIP the most transparent trade negotiation ever. T-TIP is a strong foundation to improve efficiencies for SMEs across the Atlantic to serve each market. It would also lead to a positive national income effect. Because of that, its possible not only to predict but also to say that TTIP is one of the contributors to GDP growth and other economic developments.
Becouse of the sizes of the two economies, there is great interest in the potential economic consequences of such an agreement. EU-US data show that, a larger share of the total U.S. trade is directed toward the EU then in the other direction. This is because the EU has a very large intra-EU trade, which relies heavily on its dependency on the EU28 as a trading partner. Of the $4.7 trillion that the United States currently has invested globally as of 2013, over half $2.4 trillion was invested in EU member states. Conversely, the EU invested $1.7 trillion of its global FDI stock in the United States last year. The UK, Netherlands, Gremany, France and Sweden have made the largest investments, creating jobs and improving the lives of citizens on both sides of the Atlantic.
Although the two economic areas are highly integreated, there is still significant potential for further economic co-operation. Many types of barriers exist in most sectors and arise partly because fo differnces in regulatory systems and standards. Although same of these rules are in place for good reasons, such as protecting consumers´health, the environment, or national security, they can and do create unnecessary barriers to trade and market access.
Although a trade deal, which negotiators hope to finalise in 2015, would probably scrap most of the remaining tariff barriers between the two blocs, the real value of an agreement would lie in harmonising regulation and sharing raw materials. Including a chapter on energy in the deal is a key priority of EU officials, as EU is anxious to reduce its reliance on Russian gas and oil imports. It should not be difficult to establish a chapter with rules on trade and investment in energy and raw materials.
America and Europe have done extraordinary things together before. Now its time to become more stronger toghether with the rest of the world. A more ambitious T-TIP trade agreement between EU and U.S. reducing barriers by harmoniztion, simplification, and mutual recognition can lead to gains for both economic areas, while retaining the primary objectives of the global trade rules. As many others have said before “Transatlantic Trade and Investment Partnership with U.S. would reinforce our strong shared vision of economic opportunity that has existed since the days of the Marshal Plan”. And investments in Central and Eastern Europe are just as important to the health of the transatlantic economy.