Planned since the Treaty of Rome in 1957, European trade policy gained momentum in the late 2000s. On the one hand, globalization has led European companies to increasingly invest and trade with other countries.

On the other hand, the paralysis ofworld Trade Organization (WTO) during the first decade of the century and, more recently, the change protectionist of the United States under the presidency of Donald Trump from 2017 to 2021, led the European Union to increase the number of trade agreements.

Agreements, for what?

TO Free trade agreement, what is ? In a broad sense, it is a international treaty between the EU, on the one hand, and a State or other international organization, on the other, reducing trade barriers between the two parties.

The objective is simple: to increase opportunities for companies by opening other markets and thus give a boost to economic growth and even employment in the signatory countries.

Therefore, a free trade agreement includes at least the reduction of customs duties in some areas. With limited volumes (quotas) for other sectors considered more fragile, such as beef in the EU-Canada agreement or the draft agreement with Mercosur. But also the mutual opening of public markets or the recognition of standards and D'protected geographical indications in each partner, for example.

The most recent agreements also include systems of dispute resolution, particularly in the event of conflict between the signatory parties or between a company and a State regarding legislation contrary to the agreement. Finally, some include political (improvement of fundamental rights, etc.), social or environmental criteria, which are usually less restrictive.

What criticisms?

With the (now aborted) transatlantic partnership project between Europe and the USA (TTIP/TAFTA) then the signing of agreements with the Canada (CETA) in 2016 or Mercosur In 2019 (not yet ratified), free trade agreements were criticized opinions in recent years.

Their detractors accuse them, at random, of having been negotiated in theopacityto level the standards European regulations (restrictions on GMOs, precautionary principle, etc.), to endanger certain jobs (particularly agricultural), or even impair the functioning democratic EU countries (by allowing companies to challenge national laws).

Accusations including European Comission, in charge of leading trade negotiations, defends herself. While some States can block the conclusion of treaties signed by the European executive: France refuses to ratify the agreement with Mercosur as it is, considering that it does not contain enough environmental guarantees.

What projects?

The EU, which is already a signatory to some forty trade agreements on all continents, has recently signed new free trade agreements with the Canada (Ceta, partially in force since September 2017), Singapore (effective since November 2019), the Japan (Jefta, effective since February 2020), the Vietnam (effective since August 2020), the New Zealand (pending ratification by the latter) and the Kenya (approved by European Parliament in February 2024). It has also modernized some of its business partnerships, such as with the Chili (pending formal ratification by both parties).

Others are still pending signature or ratification, such as the agreements with the Mercosur (agreement in principle in June 2019 but still under debate) or with the Mexico (replacement of the free trade agreement in force since 2000).

Other negotiations are underway, such as with the Thailand where the Philippines. Negotiations withAustralia However, the latter stopped them in October 2023, five years after their opening.

Finally, the EU signed a trade and cooperation agreement with the United Kingdom in December 2020. It definitively came into force on May 1, 2021, ensures commercial exchanges mail–Brexit without customs duties or quotas between both parties.

The European Union's free trade agreements at a glance