« The voice of the European Service Industries for International Trade Negotiations in Services » The New Economic and Free Trade Agreement between the EU and Canada “The Opportunities from a EU-Canada FTA for the EU Services Sectors” Pascal Kerneis Managing Director ESF (European Services Forum)
« The voice of the European Service Industries for International Trade Negotiations in Services » World Economy: Percentage of GDP by Sector, 2007
« The voice of the European Service Industries for International Trade Negotiations in Services » RankCountryTrade Volume ExportsImportsBalance 1USA Switzerland Japan China Russia Norway Canada Singapore Turkey Australia EU-27 International Trade in Services with non-EU Countries 2007, EUR bn
« The voice of the European Service Industries for International Trade Negotiations in Services » EU-Canada Trade - Share of services ( € Bn) Total Trade Volume62.2 Total Trade Vol. Ser.16.0 EU Goods Exports26.6 EU Goods Imports19.6 Balance7 EU Services Exports8.5 EU Services Imports7.5 Balance1 24% 27.7% Outflows % % % Inflows8.06.2% % % EU FDI Flows with Canada If 65% outflows in services = 55,8 € Bn in 3 years If 86% inflows in services = 24.8 € Bn in 3 years
« The voice of the European Service Industries for International Trade Negotiations in Services » W HAT DOES ESF EXPECTS FROM THESE FTA NEGOTIATIONS (1) Removal of FDI restrictions in non sensitive sectors (energy, telecommunications, transport) Openness of the automotive insurance sector Improve access to Canada’s procurement market (beyond federal level, extension of coverage to include procurement in public services space like health, education, IT, etc.) Improvement of Mode 4 access at provincial level Singing of Mutual Recognition Agreements of diplomas and qualifications in professional services
« The voice of the European Service Industries for International Trade Negotiations in Services » W HAT DOES ESF EXPECTS FROM THESE FTA NEGOTIATIONS (2) GATS + DDA + NAFTA + or NAFTA Parity !? Regulatory Cooperation Dialogue Early Warning Mechanism Regulatory alert system Prior consultation with business community
« The voice of the European Service Industries for International Trade Negotiations in Services » W HAT DOES ESF EXPECTS FROM THESE FTA NEGOTIATIONS (3) ESF Preliminary Assessment of Canada’s Revised Offer A rather weak offer, Lack of leadership A weak offer in the GATS negotiations reflects negatively on Canada’s image as an open global trading partner. Canada’s offer remains weak in many important services sectors, like Financial Services, Distribution services, postal & courier services, etc. Lack of clear-cut new commitments The revised offer does not cover many services sectors. The EU’s requests to the Canadian negotiators - reflecting the requests of the European services industry - have been largely ignored.
« The voice of the European Service Industries for International Trade Negotiations in Services » W HAT DOES ESF EXPECTS FROM THESE FTA NEGOTIATIONS (4) ESF Preliminary Assessment of Canada’s Revised Offer 1.Horizontal Commitments: Good offer in Mode 4 2.Professional Services: Very little 3.Other Business Services: Disappointing offer 4.Postal and courier Services: Very little new 5.Telecommunications: Very little new 6.Construction: Acceptable offer 7.Distribution Services: Disappointing offer 8.Environmental Services: Disappointing offer 9.Financial Services: Very disappointing offer 10.Tourism and Travel-related Services: Very little 11.News Agency Services: No offer 12.Transport Services: Disappointing offer 13.Energy Related Services: No offer – Bad Offer