Finance:Free trade agreements of the European Union

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Short description: Overview of free trade agreements in the European Union


EU Free trade agreements
  European Union
  Agreement in force
  Agreement (in part) provisionally applied
  Agreement signed, but not applied
  Agreement initialed, not signed
  Agreement being negotiated
  Agreement negotiations on hold/suspended

The European Union has concluded free trade agreements (FTAs)[1] and other agreements with a trade component with many countries worldwide and is negotiating with many others.[2] The European Union negotiates free trade deals on behalf of all of its member states, as the member states have granted the EU has an "exclusive competence" to conclude trade agreements. Even so, member states' governments control every step of the process (via the Council of the European Union, whose members are national ministers from each national government):

  • Before negotiations start, member states' governments (via the Council of Ministers) approve the negotiating mandate;
  • During negotiations, member states' governments are regularly briefed on the progress of negotiations and can update the negotiations mandate or suspend negotiations;
  • Upon conclusion of negotiations, member states' governments decide whether the agreement should be signed;
  • After approval from the European Parliament and (in case the agreement covers areas other than trade such as investment protection) upon ratification in each member state parliament, member states' governments decide whether the agreement should be concluded and enter into effect.

Trade agreements in force - fully ratified

No State No of jurisdictions represented[lower-alpha 1] Signed Provisional
application
In force since Notes Relations
1.  Akrotiri and Dhekelia 1 2003 2004[3][lower-alpha 2] Customs union
2.  Albania 1 2006 2006[lower-alpha 3] 2009[4] SAA Negotiating for EU accession
3.  Algeria 1 2002 2005[5] Euro-mediterranean AA
4.  Andorra 1 1990 1991[6] Customs union Andorra–EU relations
5.  Bosnia and Herzegovina 1 2008 2008[lower-alpha 3] 2015[7] SAA Potential candidate for EU accession
6.  Chile 1 2002 2003 2005[8] AA[9]
7.  Egypt 1 2001 2004[10] Euro-mediterranean AA
8.  Faroe Islands 1 1996 1997[11] Autonomous entity of Denmark Faroe Islands-EU relations
9.  Georgia 1 2014 2014 2016[12] AA incl DCFTA Georgia–EU relations
11  Iceland 1 1992 1994[13] EEA Iceland–EU relations
13.  Israel 1 1995 1996[lower-alpha 3][14] 2000[15] Euro-Mediterranean AA Israel–EU relations
14.  Japan 1 2018[16] 2019[17] Economic Partnership Agreement [18] Japan-EU relations
16.  Jordan 1 1997 2002[19] Euro-Mediterranean AA Jordan–EU relations
17.  Kosovo 1 2015 2016[20] SAA Potential candidate for EU accession
18.  Lebanon 1 2002 2006[21] Euro-Mediterranean AA Lebanon–EU relations
19.  Liechtenstein 1 1992 1995[13] EEA Liechtenstein–EU relations
20.  Mexico 1 1997 2000[22] FTA[23][24] Mexico–EU relations
21.  Moldova 1 2014 2014 2016[25] Moldova–European Union Association Agreement incl DCFTA Moldova–EU relations
22.  Monaco 1 1958 Franco-Monegasque Customs Convention (customs union)[26] Monaco - European Union relations
23.  Montenegro 1 2007 2008[lower-alpha 3] 2010[27] SAA Negotiating for EU accession
24.  Morocco 1 1996 2000[28] Euro-Mediterranean AA Morocco–EU relations
25.  North Macedonia 1 2001 2001[lower-alpha 3] 2004[29] SAA Negotiating for EU accession
26.  Norway 1 1992 1994[13] EEA Norway–EU relations
27.  EU's Overseas Countries and Territories 13 2001 2001[30][31] Association of the OCTs with the EU
28. Template:Country data Palestinian Authority 1 1997 1997[32] Euro-Mediterranean AA Palestine–EU relations
29.  San Marino 1 1991 1992[lower-alpha 4] 2002[33] Customs union San Marino–EU relations
30.  Serbia 1 2008 2010[lower-alpha 3] 2013[34] SAA Negotiating for EU accession
31.  Singapore 1 2018[35] 2019[36] FTA[37]
32.  South Africa 1 1999 2000[38] 2004[39] ATDC[lower-alpha 5] South Africa–EU relations
33.  South Korea 1 2010 2011 2015[40] FTA[41] South Korea–EU relations
34.   Switzerland 1 1972 1973[42] Trade agreement Switzerland–EU relations
35.  Tunisia 1 1995 1998[43] Euro-Mediterranean AA
36.  Turkey 1 1995[lower-alpha 6] 1995[44] Customs union Turkey–EU relations
37.  Ukraine 1 2014 2016 2017[45][46] Ukraine–European Union Association Agreement incl DCFTA Ukraine–EU relations
38.  United Kingdom[lower-alpha 7] 1 2020 2021[47] 2021[48] Trade and Cooperation Agreement United Kingdom–EU relations
39.  Vietnam 1 2019 2020[49] EVFTA[50] Vietnam–European Union relations

Trade agreements in force - provisionally applied

State Signed Provisional
Application
Ratification Notes Relations
CARIFORUM States
 Antigua and Barbuda
 Bahamas
 Barbados
 Belize
 Dominica
 Dominican Republic
 Grenada
 Guyana
 Jamaica
 Saint Kitts and Nevis
 Saint Lucia
 Saint Vincent and the Grenadines
 Suriname
 Trinidad and Tobago
 Haiti
2008 2008
37 / 44
[51]
EPA - Croatia acceded to the agreement on 28 November 2017
Eastern and Southern Africa States
 Comoros
 Madagascar
 Mauritius
 Seychelles
 Zambia[52]
 Zimbabwe
2009 2012, 2019
5 / 35
[53]
Interim Agreement for establishing a framework for an EPA
Central America
 Costa Rica
 Guatemala
 Honduras
 Nicaragua
 Panama
 El Salvador
2012 2013
32 / 34
[54]
AA
 Côte d'Ivoire 2009 2016
22 / 30
[55]
Stepping Stone EPA
 Colombia
 Peru
2012[56] 2013
28 / 30
[57]
FTA[58]
 Cameroon 2009 2014
21 / 30
[59]
Interim agreement with a view to an EPA
Pacific States
 Fiji
 Papua New Guinea
 Samoa
 Solomon Islands
2009 2009, 2014, 2018, 2020
4 / 5
[60]
Interim Partnership Agreement
South African Development Community members
 Botswana
 Lesotho
 Mozambique
 Namibia
 South Africa
 Swaziland
2016 2016
19 / 35
[61]
Economic Partnership Agreement
 Ghana 2016 2016[62]
9 / 30
[62]
Stepping Stone EPA
 Ecuador 2016[63] 2017[64]
29 / 32
[65]
Accession to EU-Peru-Colombia Free Trade Agreement[66]
 Canada 2016 2017[67]
18 / 30
[68]
Comprehensive Economic and Trade Agreement[69]
 New Zealand 2023
1 / 2
[70]
FTA[71]

Agreements finalised (negotiations concluded, but not signed)

State Negotiations Concluded Signed Provisional
Application
Ratification Notes
Economic Community of West African States members
 Benin
 Burkina Faso
 Cabo Verde
 Côte d'Ivoire
 Gambia
 Ghana
 Guinea
 Guinea-Bissau
 Liberia
 Mali
 Mauritania
 Niger
 Nigeria
 Senegal
 Sierra Leone
 Togo
6 February 2014 No No Economic Partnership Agreement[72]
Eastern African Community members
 Burundi
 Kenya
 Rwanda
 Tanzania
 Uganda
16 October 2014 No Ratified by  Rwanda and  Kenya Economic Partnership Agreement[73]
 Chile 9 December 2022[74] Yes[75] No No Updated EU-Chile Association Agreement
 China 30 December 2020[76] No No No Comprehensive Agreement on Investment
Mercosur
 Argentina
 Brazil
 Paraguay
 Uruguay
28 June 2019[77] No No No European Union–Mercosur free trade agreement. Part of an Association Agreement.
 Mexico 28 April 2020[78] No No No Updated Free Trade Agreement between Mexico and the European Union

Negotiating new agreements

State New agreement being negotiated Status
 Australia Australia Agreement Negotiations launched in 2018[79]
 Andorra European Union Association Agreement Negotiations launched in 2015[80]
 Indonesia Free Trade Agreement Negotiations launched in 2016[79]
 Monaco European Union Association Agreement Negotiations launched in 2015[80]
 Philippines Free Trade Agreement Negotiations launched in 2015[79]
 Timor-Leste Economic Partnership Agreements as part of the Pacific States Interim Partnership Agreement Informed the EU of its intention to accede to the EPA.[81]
 Tonga Economic Partnership Agreements as part of the Pacific States Interim Partnership Agreement Informed the EU of its intention to accede to the EPA.[82]
 San Marino European Union Association Agreement Negotiations launched in 2015[80]
 India Free Trade Agreement

Negotiations on hold

Country or bloc Agreement being negotiated Status
Cooperation Council for the Arab States of the Gulf States
 Bahrain
 Kuwait
 Oman
 Qatar
 Saudi Arabia
 United Arab Emirates
Free Trade Agreement Negotiations started in 1990, suspended since 2008[83]
Central Africa
 Central African Republic
 Chad
 Republic of Congo
 Equatorial Guinea
 Gabon
 Democratic Republic of Congo
Template:Country data São Tomé and Principe
Economic Partnership Agreement Negotiations started in 2003, paused until further notice in 2011[83]
Eastern and Southern Africa States

 Ethiopia
 Djibouti
 Malawi
 Somalia
 Sudan
 Zambia

Economic Partnership Agreement Negotiations started in 2004, paused until further notice in 2011[83]
 Malaysia Free Trade Agreement Negotiations started in 2010, paused since 2012[83]
 Morocco Deep and Comprehensive Free Trade Area Negotiations started in 2013, on hold since 2014 at Morocco’s request[84]
 Myanmar Investment protection agreement Negotiations launched in 2015[83]
 Thailand Free Trade Agreement Negotiations started in 2013, no negotiations scheduled since 2014 [83]
 Tunisia Deep and Comprehensive Free Trade Area Negotiations launched in 2015, on hold since 2019[85]
 United States Transatlantic Trade and Investment Partnership Negotiations started in 2013, suspended since 2019[83]

Obsolete agreements

Country or bloc Agreement Signed Active Obsolete
 Croatia SAA 29 October 2001 1 March 2001 1 July 2013[86]

Competence

The European Court of Justice has held that investor-state arbitration provisions (including a dedicated tribunal planned by some free trade agreements) falls under competency shared between European Union and its member states and that for this reason, the ratification of such mixed agreements[87] should be approved by the EU as well as by each of the union's member states.[88] This court decision has resulted in a new architecture of external trade negotiations which will have two components:[89]

  • a free trade agreement - related exclusively to trade matters - which can be adopted at the EU level;
  • an investment agreement - containing investment, arbitration and other non-trade provisions - which needs to be ratified by the member states as well.

Impact to consumers

One study found that the trade agreements that the EU implemented over the period 1993-2013 have, on average, increased the quality of imported goods by 7% and therefore "lowered quality-adjusted prices by close to 7%," without having much of an impact on the non-adjusted price.[90]

See also


Notes

  1. Excluding the EU and its member states
  2. From 2021 under the provisions of the Brexit withdrawal agreement (Protocol relating to the sovereign base areas of the United Kingdom of Great Britain and Northern Ireland in Cyprus)
  3. 3.0 3.1 3.2 3.3 3.4 3.5 Entry into force of Interim Agreement
  4. Interim Agreement
  5. Agreement on Trade, Development and Cooperation
  6. Decision of the EC-Turkey Association Council
  7. Includes Jersey, Guernsey and the Isle of Man with regards to trade in goods and fisheries. For Northern Ireland, a more comprehensive arrangement is in place with regards to trade in goods based on the Withdrawal Agreement.

References

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  23. "Mexico - Trade - European Commission". http://ec.europa.eu/trade/policy/countries-and-regions/countries/mexico/. 
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  26. "Monaco and the European Union". Gouvernement Princier. https://en.gouv.mc/Policy-Practice/Monaco-Worldwide/Monaco-and-the-European-Union. 
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  32. "Euro-Mediterranean Interim Association Agreement on Trade and Cooperation between the European Community, of the one part, and the Palestine Liberation Organization (PLO) for the benefit of the Palestinian Authority of the West Bank and the Gaza Strip, of the other part". Agreements Database, Council of the European Union. http://www.consilium.europa.eu/en/documents-publications/treaties-agreements/agreement/?id=1997014. 
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  35. "Singapore, EU ink landmark free trade agreement" (in en). https://www.channelnewsasia.com/news/business/singapore-eu-ink-landmark-free-trade-agreement-10846210. "[...] the EU-Singapore Free Trade Agreement (EUSFTA) was signed by Prime Minister Lee Hsien Loong with European Commission president Jean-Claude Juncker, European Council president Donald Tusk and Austrian Chancellor Sebastian Kurz. [...] The leaders also witnessed the signing of the EU-Singapore Investment Protection Agreement (EUSIPA) – a pact that will replace 12 existing bilateral investment treaties between Singapore and EU member states to offer better investment protection – and the EU-Singapore Partnership and Cooperation Agreement (ESPCA)." 
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  52. Did not sign
  53. "Interim Agreement establishing a framework for an Economic Partnership Agreement between the Eastern and Southern Africa States, on the one part, and the European Community and its Member States, on the other part". Agreements Database, Council of the European Union. http://www.consilium.europa.eu/en/documents-publications/treaties-agreements/agreement/?id=2009014&DocLanguage=en. 
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  58. http://en.mercopress.com/2013/08/03/eu-fta-agreements-with-colombia-and-central-america-became-effective-august-first EU FTA agreements with Colombia and Central America became effective August first
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  66. "EU Trade Policy with the Andean Community". http://ec.europa.eu/trade/policy/countries-and-regions/regions/andean-community/. 
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