It had not been clear for a long time whether the current Free Trade Agreement between the EU and Canada would be a mixed agreement. Beginning of this week the European Commission announced its aim to adopt CETA without the approval of the national Parliaments. Some heads of government and organisations, the AK included, voiced strong criticism with CETA being more than a pure trade agreement.

Since the Comprehensive Economic and Trade Agreement (CETA) was concluded in 2014, the time had now come to ratify and to vote on it respectively. However, a “success” seems very much to depend on whether this would be a mixed agreement or not. If it would be mixed, such an agreement would not only have to be ratified at EU level, but it would also require the approval of national parliaments.

However, now the Commission let it be known this Tuesday that it would NOT be a mixed agreement. It didn't take long for various heads of government and organisations, also in Austria, to give a negative reaction. The main point of critique: CETA is not a simple trade agreement, therefore it is not only for the EU Institutions to decide on.

Due to protests from the civil society, employee representations and national governments at the end of this week the President of the European Commission Juncker rowed back from his previous position. He assured in a conversation in Brussels, that he is in favour of including the national parliaments in the decision-making process.

Next week, on July 5th, the Commission will present the further roadmap for the agreement.

Apart from the “technical” details, the severe criticism regarding the content remains. AK therefore demands the removal and revision of certain parts respectively, as these are regarded as being particularly problematic. Above all, the following are under fire:

• Investor protection (Investment Court System ICS) – this needs to be removed,
• The still not adequate protection labour, social, consumer and environmental standards,
• As well as the lack of protection for public services and services of general interest and
• The non-included ratification of all minimum labour standards.

Further information:

AK EUROPA: USA versus Canada? – What’s new in trade policy?

AK EUROPA: Communication of the EU Commission: Trade for all – Towards a more responsible trade and investment policy

EK: Comprehensive Economic and Trade Agreement EU-Canada (CETA)