Det Udenrigspolitiske Nævn 2019-20
UPN Alm.del Bilag 43
Offentligt
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Council of the
European Union
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(OR. en)
PROVISIONAL VERSION
PRESSE 64
PR CO 64
EN
OUTCOME OF THE COUNCIL MEETING
3731st Council meeting
Foreign Affairs
Trade
Brussels, 21 November 2019
President
Ville Skinnari
Minister for Development Cooperation and Foreign Trade
of Finland
PRESS
Rue de la Loi/Wetstraat 175 B
–
1048 BRUSSELS Tel.: +32 (0)2 281 6319 / 6319 Fax: +32 (0)2 281 8026
[email protected] http://www.consilium.europa.eu/press
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PROVISIONAL VERSION
21 November 2019
CONTENTS
1
ITEMS DEBATED
Modernisation of the World Trade Organization ................................................................................. 3
Relations with the United States .......................................................................................................... 5
Implementation of trade agreements .................................................................................................... 8
Any other business ............................................................................................................................. 10
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–
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2019 Eurobarometer survey on international trade ................................................................................................ 10
Responsible business conduct ............................................................................................................................... 10
Ministerial lunch.................................................................................................................................................... 10
OTHER ITEMS APPROVED
TRADE
–
WTO: review of the Bali TRQ administration decision ........................................................................................ 11
FOREIGN AFFAIRS
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–
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EU programme of exercises and exercise-related activities under the CFSP 2019-2023 ...................................... 11
EU annual report on arms exports ......................................................................................................................... 12
Chair's statement for the ASEM foreign ministers meeting .................................................................................. 12
EU CSDP civilian mission in CAR ....................................................................................................................... 13
Council maintains Sendero Luminoso on the EU terrorist list .............................................................................. 13

Where declarations, conclusions or resolutions have been formally adopted by the Council, this is indicated
in the heading for the item concerned and the text is placed between quotation marks.
 
Documents for which references are given in the text are available on the Council's internet site
(http://www.consilium.europa.eu).
 
Acts adopted with statements for the Council minutes which may be released to the public are indicated by
an asterisk; these statements are available on the Council's internet site or may be obtained from the Press
Office.
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PROVISIONAL VERSION
ITEMS DEBATED
Modernisation of the World Trade Organization
21 November 2019
The Council discussed the state of play of negotiations in the World Trade Organization, and
progress in its reform process.
The Commission briefed ministers on its latest initiatives to promote a EU comprehensive approach
towards the modernisation of all the main functions of the WTO: rulemaking, monitoring and
dispute settlement. Particular emphasis was put on the need to find operational solutions to prevent
the paralysis of the dispute settlement system once the mandate of one of the three remaining
Appellate Body judges expires on 11 December 2019 and the court is no longer able to operate.
The Commission also provided the Council with a state of play report on the preparation for the
12th WTO Ministerial Conference (MC12) that will take place in Nur-Sultan, Kazakhstan, in June
2020, and its possible deliverables.
Member states were generally supportive of an ambitious outcome for the MC 12, restating the
importance of the multilateral process and of allowing for concrete results both through plurilateral
and multilateral negotiations. Priority issues for the EU include, among others, fisheries subsidies,
dispute settlement, industrial subsidies and e-commerce.
Background
In response to the conclusions of the European Council of 28 June 2018, which invited the
European Commission to propose a comprehensive approach to improving the functioning of the
WTO in crucial areas, the Commission published on 18 September 2018 a concept note setting out
ideas to modernise the main WTO functions: rulemaking, monitoring and dispute settlement.
The EU has been delivering various concrete proposals for improvements on:
Dispute settlement: in view of the likely demise of the Appellate Body and paralysis of the dispute
settlement system as early as on 11 December 2019, the EU, together with a broad coalition of
WTO members, has worked on possible solutions. Proposals were designed to unblock
appointments in the short term, but also address the root causes of the crisis and relaunch the
effectiveness, acceptance and centrality of the WTO dispute settlement system in the future.
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PROVISIONAL VERSION
21 November 2019
Within the WTO, members' efforts have been coordinated by Ambassador David Walker through
the so-called Walker process aimed at restoring a fully operational Appellate Body without delay.
At the WTO General Council on 15-16 October, Ambassador Walker presented the main elements
of a draft General Council Decision, which is supported by the EU.
In addition, the EU has continued to work in parallel on an interim solution providing for appeal
arbitration arrangements that would be applicable in the event that the Appellate body stops
working.
Monitoring and enforcement: in order to improve these WTO functions the EU together with the
US, Japan, and other WTO members, has submitted a proposal aimed at improving compliance with
notification obligations.
In parallel the EU is also working to improve the functioning of regular WTO committees and their
ability to effectively deal with trade concerns a proposal was presented in the WTO General
Council on 15-16 October.
Rulemaking: the EU, the US and Japan in the context of the trilateral cooperation are working on
some of the disturbances caused by non-market policies, industrial subsidies and forced technology
transfer. The aim is to create a fairer level playing field and to address the underlying tensions in the
multilateral system. This work runs in parallel with the one on the outstanding multilateral and
plurilateral issues (including fisheries subsidies and e-commerce, development/special and
differentiated treatment).
Negotiations on e-commerce were launched in Davos on 25 January by 76 WTO members and a
Council decision supplementing the negotiating directives for the Doha Development Agenda
regarding the plurilateral negotiations of rules and commitments on electronic commerce was
adopted in May 2019. Although negotiations are well underway in the plurilateral context, further
work will be required in order to obtain a renewal of the e-commerce moratorium.
Negotiations on domestic regulation are progressing at a good pace and an agreement in MC12 is
feasible.
The last ministerial discussion on the WTO reform took place at the informal lunch of FAC (Trade)
ministers on 1 October 2019 in Brussels. During that discussion, ministers expressed their growing
concern at the increasingly challenging situation in the WTO and underlined the need for the EU
continue to play a leadership role in reform efforts and to resist any efforts to undermine or weaken
the multilateral system.
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PROVISIONAL VERSION
Relations with the United States
21 November 2019
The Council took stock of the latest developments regarding trade relations between the EU and the
United States.
Ministers highlighted their support for the current strategy of maintaining or even broadening the
scope of a positive trade agenda with the US, on the basis of the agreement reached by Presidents
Juncker and Trump on 25 July 2018, while defending the basic tenets of the multilateral system.
The Commission presented the most recent developments concerning the different strands of
bilateral relations with the US, including:
–
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negotiations on conformity assessment and the elimination of tariffs for industrial goods
potential imposition of US restrictive measures (so-called "section 232" tariffs) on
automotive imports from the EU and
follow-up to WTO Airbus/Boeing disputes
–
Ministers also touched on the wider trade context and discussed recent developments in US-China
and US-Japan relations in view of their impact on EU interests and the wider global economy.
Background
On 25 July 2018, President Juncker and President Trump held talks in Washington, which resulted
in a
joint EU-US statement.
In the statements the two presidents agreed to:
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work together toward zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto
industrial goods;
strengthen strategic cooperation with respect to energy;
launch a close dialogue on standards in order to ease trade, reduce bureaucratic obstacles,
and slash costs; and
work closely together with like-minded partners to reform the WTO and to address unfair
trading practices, including intellectual property theft, forced technology transfer,
industrial subsidies, distortions created by state owned enterprises, and overcapacity.
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–
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PROVISIONAL VERSION
21 November 2019
The Trump administration published its
negotiating objectives
for trade talks with the European
Union on 11 January.
On the EU side, the European Council on 21-22 March 2019 in its conclusions called for the
necessary steps to be taken towards rapid implementation of all elements of the EU-US Joint
Statement of July 2018. Consequently the Council authorised the Commission to launch
negotiations with the US on the elimination of tariffs for industrial goods (I and
II)
and on
conformity assessment (I and
II)
on 15 April.
At this point in time, the US side is however not ready to engage in negotiations on elimination of
tariffs for industrial goods, due to significant differences about the scope of negotiations, in
particular as regards the coverage of agriculture. On the other hand, discussions on regulatory
cooperation and conformity assessment have been progressing. The EU recently made concrete
proposals on conformity assessment and is ready to move the negotiating process forward swiftly.
In parallel, the EU continues to deliver on all other aspects of the July Joint Statement, notably as
regards cooperation on WTO reform, imports of US soya beans and shipments of liquefied natural
gas from the US.
Concerning the possible imposition of Section 232 tariffs on automotive imports into the US,
President Trump issued a proclamation on 17 May 2019 instructing the US trade representative to
pursue the negotiation of agreements to "address the threatened impairment of the national security"
and to update on the process of these negotiations within 180 days. The deadline expired on 13
November but at the time of publication of this note President Trump hadn't taken any further
action yet.
As regards the WTO Airbus/Boeing disputes, the WTO arbitrator issued a
decision
on the Airbus
case granting the US the right to retaliate against the EU at a level of maximum USD 7,5 billion
dollars annually. The US began applying tariffs on certain EU goods on 18 October.
The EU will be allowed to impose its own retaliatory tariffs against the US following a WTO
arbitrator's decision in the parallel Boeing case. The final damage award is expected in the course of
2020. The Commission has advanced internal preparations for the possible future imposition of EU
retaliatory tariffs by issuing a
public consultation
in April 2019 on a preliminary list of US products
that could be hit with EU counter-measures. Nevertheless, the EU's preferred way out has always
been a negotiated solution covering all relevant subsidies, also taking into account the recent
emergence of new competitors on the market.
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PROVISIONAL VERSION
21 November 2019
Concerning US negotiations with other key trading partners, US President Trump and Japanese
Prime Minister Abe announced on 25 September an
agreement on early achievements
from
negotiations in the areas of market access for certain agriculture and industrial goods, as well as on
digital trade. It is as yet an initial deal in the midst of ongoing negotiations for a comprehensive
agreement that addresses remaining tariff and non-tariff barriers between the two countries.
President Trump has been announcing progress towards a US-China agreement on a "phase one"
trade deal covering agricultural purchases and structural issues, market access for financial services,
currency, intellectual property and forced technology transfer. "Phase two" negotiations should
begin immediately after the "phase one" talks have concluded.
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PROVISIONAL VERSION
Implementation of trade agreements
21 November 2019
The Council held a policy debate on the implementation of trade agreements on the basis of a
Commission report.
The report highlights that European companies have continued to make good use of the
opportunities created by the EU's trade network. Overall, trade accounts for 35% of the EU's gross
domestic product, while over 36 million jobs are supported by exports to outside the EU. The EU
recorded a surplus of €84.6 billion in trade in goods with its trade agreement partners, compared to
its overall
trade deficit with the rest of the world of about €24.6 billion.
During the discussion, ministers stressed the importance of ensuring the effective implementation of
trade agreements in order that EU companies and citizens can fully benefit from them. In this regard
ministers also highlighted the importance of a close cooperation and good communication between
the Commission, member states, private companies and stakeholders.
Background
The Commission report was presented on 14 October 2019. The report provides an annual overview
of the EU’s 35 largest preferential trade agreements.
It focuses on:
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the most important trends in trade and foreign direct investment flows;
the extent to which EU companies use the tariff reductions and quotas available under
trade agreements;
the progress made on removing trade barriers for EU exporting companies;
the progress on implementing "trade and sustainable development" provisions of trade
agreements;
the assessment of the benefits of trade agreements for small and medium-sizes businesses;
and
the assessment of the first full year of implementation of the EU-Canada agreement
(CETA) and preparations for the entry into force of the EU-Japan agreement (EPA).
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PROVISIONAL VERSION
21 November 2019
Among its main findings, the report highlights that European companies have continued to make
good use of the opportunities created by the EU's trade network. In 2018, it represented 31% of
Europe's trade exchanges, a figure that is set to rise significantly (to almost 40%) as more trade
agreements enter into force. Overall, trade accounts for 35% of the EU's gross domestic product.
The report shows that, in 2018, imports and exports to EU FTA partners continued to grow by 4.6%
and 2%, respectively.
The EU recorded a surplus of €84.6 billion in trade in goods with its
trade
agreement partners, compared to its overall trade deficit with the rest of the world of about €24.6
billion. The report also highlights the positive economic impact of trade agreements, with over 36
million jobs being supported by exports to outside of the EU.
The report shows the positive impact of trade agreements on the agri-food and industrial goods,
with an overall increase in trade of about 2% for each sector.
The report is accompanied by a
staff working document
that provides a detailed overview of each
agreement.
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PROVISIONAL VERSION
Any other business
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2019 Eurobarometer survey on international trade
21 November 2019
The Council was informed by the Commission about the results of the 2019 special Eurobarometer
survey on international trade.
The study was requested by the Commission nine years after the last survey on the subject, with the
aim of assessing the impact of international trade on the lives of EU consumers, evaluating
perceptions of the role of the EU in international trade, and assessing the future priorities for EU
trade policy.
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Responsible business conduct
The Council was informed by the Dutch delegation about the issue of "responsible business
conduct" and the need for enhanced cooperation at EU level in this field.
The Dutch delegation stressed in particular the joint responsibility that EU member states have to
ensure responsible trade, and the importance of ensuring a coherent and harmonised policy in this
area, for example through the exchange of national experiences or the development of an EU action
plan on responsible business conduct.
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Ministerial lunch
Over lunch, ministers were briefed on ongoing trade negotiations and discussed trade relations with
China.
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PROVISIONAL VERSION
OTHER ITEMS APPROVED
TRADE
WTO: review of the Bali TRQ administration decision
21 November 2019
The Council adopted a decision on the position to be taken on behalf of the EU within the General
Council of the World Trade Organization (WTO) as regards the adoption of a decision on the
review of the Understanding on Tariff Rate Quota Administration Provisions of Agricultural
Products (‘TRQ Understanding’
-
13662/19).
The European Parliament will be informed in
accordance with Article 218(10) TFEU.
The TRQ Understanding foresees a review of its operation to promote a continuing process of
improvement in the utilisation of tariff rate quotas.
In accordance with paragraph 13 of the TRQ Understanding, a review of the Understanding was
carried out in 2018 and the findings will be presented to the December 2019 meeting of the General
Council of the WTO in the form of a report. Given the lack of consensus among WTO members on
the substantive amendments to the TRQ Understanding, the report recommends prolonging the
review period until the end of 2021, so that a consensus on substantive amendments may be
reached.
FOREIGN AFFAIRS
EU programme of exercises and exercise-related activities under the CFSP 2019-2023
The Council approved the European Union programme of exercises and exercise-related activities
under the Common Foreign and Security Policy (CFSP) for the period 2019-2023.
The CFSP aims to strengthen the EU's external ability to act through the development of civilian
and military capabilities in Conflict Prevention and Crisis Management. Exercising is an essential
component to ensure the EU's ability to take action in a competent, effective and prepared manner
in its role as an international security actor. It turns the comprehensive approach into
comprehensive action through the coordinated and synergic use of all available EU instruments.
Common Foreign and Security Policy
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PROVISIONAL VERSION
EU annual report on arms exports
21 November 2019
The Council adopted the 21st annual report on arms exports, which covers statistics on licences and
exports of conventional arms from EU member states during 2018.
The report is compiled by the European External Action Service (EEAS), based on data provided by
the national authorities of member states.
Disarmament, non-proliferation and arms exports control
Chair's statement for the ASEM foreign ministers meeting
The Council approved the Chair's statement for the ASEM foreign ministers meeting that will be
held in Madrid on 15-16 December 2019. It also agreed that the text may be adapted to ensure
agreement by all the ASEM participants, provided that the changes do not affect the substance and
intent of the text.
The Asia-Europe Meeting (ASEM) is an intergovernmental process established in 1996 to foster
dialogue and cooperation between Asia and Europe. It currently comprises 53 partners: 30
European and 21 Asian countries, the European Union and the ASEAN Secretariat. ASEM
addresses political, economic, financial, social, cultural, and educational issues of common interest
in a spirit of mutual respect and equal partnership.
ASEM (meeting page)
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PROVISIONAL VERSION
EU CSDP civilian mission in CAR
21 November 2019
The Council approved the Crisis Management Concept (CMC) for a civilian Common Security and
Defence Policy (CSDP) advisory mission in the Central African Republic (EUAM CAR).
The EU is already engaged in CAR with its Military Training Mission in the Central African
Republic (EUTM RCA), but the Internal Security Forces (ISF) are currently not in a position to
support and deliver State authority in the entire country.
In order to further support the reform of the security sector and to mitigate the current security
challenges, a civilian CSDP mission would advise CAR ISF and contribute to their efficient
deployment throughout the country.
The Central African Republic would be the third country currently receiving parallel support by a
military and a civilian CSDP Mission.
Military training mission in the Central African Republic (EUTM RCA)
CSDP missions and operations
Delegation of the European Union to Central African Republic
Council maintains Sendero Luminoso on the EU terrorist list
The Council determined that Sendero Luminoso should remain listed as a terrorist entity on the EU
terrorist list. The persons, groups and entities in this list are subject to both the freezing of funds and
other financial assets, as well as enhanced measures related to police and judicial cooperation in
criminal matters.
Sendero Luminoso (“Shining Path") is a Maoist guerilla organisation formed in the late 1960s
which aims to install a revolutionary regime in Peru.
EU terrorist list
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