The Transatlantic Trade & Investment Partnership

Sunday, June 9, 13

$0#

$50#

$100#

$150#

$200#

$250#

$300#

2006# 2007# 2008# 2009# 2010# 2011# 2012#

US#Exports#to#EU#($#bn)#

US Exports to European Union

2012 exports: $265 bn

2006–2012 growth: 25%

Almost back to 2008 peak

2012 was record year for 5 countries

Sunday, June 9, 13

"This is a game-changer."– João Vale de Almeida, EU Ambassador to the United States

Biggest trade deal ever negotiated

Half of world GDP

1/3 of world trade

Sunday, June 9, 13

TTIP Objectives

Eliminate/reduce tariffs & quotas

Eliminate/reduce barriers to trade in goods, services, and investment

Enhanced compatibility of regulations & standards

Eliminate/reduce/prevent "behind the border" non-tariff barriers

Enhanced cooperation on global trading rules & concerns

Sunday, June 9, 13

Structure of Agreement

Market access

Regulatory issues & non-tariff barriers

Enhanced cooperation on global trading rules & concerns

Sunday, June 9, 13

Potential Benefits

"Stimulus" without spending

+$123 bn per year to US economy

Reduce compliance duplication

De facto global standards

Sunday, June 9, 13

Remaining Tariffs

Average ~3%

Automotive 8%

Processed foods 14.6%

Sunday, June 9, 13

Non-Tariff Barriers

Regulations

Standards

Licensing

Government procurement restrictions

Sunday, June 9, 13

Political Challenges

Agriculture

GMOs

Subsidies (Boeing & Airbus)

Different approaches to regulation

Government procurement

Intellectual property

EU data protection directive

Obama administration lacks "fast track" authority

Sunday, June 9, 13

Agriculture, forestry, fisheries: +20.5%

Processed foods: +56.5%

Chemicals: +23%

Electrical: +21.9%

Motor vehicles (including parts & components): +207.4%

Other transport equipment: +17.3%

Other machinery: +14.4%

Metals & metal products: +52.7%

Wood & paper products: +21.7%

Other manufactures: +16.3%

Sector Opportunities

Projected growth in US exports to EU by sector

Sunday, June 9, 13

Timetable

3/20: Acting USTR notified Congress of intent; start of 90-day consultation period

6/14: European Council to approve European Commission’s negotiating mandate

6/19–20: EU-US summit in Dublin

July: First round of talks expected

October 2014???: Final text

???: Ratification

Sunday, June 9, 13

Swift Passage TradingMichael L. Grant

(512) 589-9436mgrant@swi%passage.biz

blog: eurobubba.com

There are no foreign countries.

Sunday, June 9, 13