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Free trade agreements of the European Union
Overview of free trade agreements in the European Union From Wikipedia, the free encyclopedia
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The European Union has concluded free trade agreements (FTAs)[1] and other agreements with a trade component with many countries worldwide and is negotiating with many others.[2] The European Union negotiates free trade deals on behalf of all of its member states, as the member states have granted the EU has an "exclusive competence" to conclude trade agreements. Even so, member states' governments control every step of the process (via the Council of the European Union, whose members are national ministers from each national government):
- Before negotiations start, member states' governments (via the Council of Ministers) approve the negotiating mandate;
- During negotiations, member states' governments are regularly briefed on the progress of negotiations and can update the negotiations mandate or suspend negotiations;
- Upon conclusion of negotiations, member states' governments decide whether the agreement should be signed;
- After approval from the European Parliament and (in case the agreement covers areas other than trade such as investment protection) upon ratification in each member state parliament, member states' governments decide whether the agreement should be concluded and enter into effect.

European Union
Agreement in force
Agreement provisionally applied
Agreement signed, but not applied
Agreement initialed, not signed
Agreement being negotiated
Agreement negotiations on hold/suspended
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Trade agreements in force
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Trade agreements provisionally applied
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Agreements finalised (negotiations concluded, but not signed)
Negotiating new agreements
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Negotiations on hold
Summarize
Perspective
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Obsolete agreements
Competence
The European Court of Justice has held that investor-state arbitration provisions (including a dedicated tribunal planned by some free trade agreements) falls under competency shared between European Union and its member states and that for this reason, the ratification of such mixed agreements[86] should be approved by the EU as well as by each of the union's member states.[87] This court decision has resulted in a new architecture of external trade negotiations which will have two components:[88]
- a free trade agreement - related exclusively to trade matters - which can be adopted at the EU level;
- an investment agreement - containing investment, arbitration and other non-trade provisions - which needs to be ratified by the member states as well.
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Impact to consumers
One study found that the trade agreements that the EU implemented over the period 1993-2013 have, on average, increased the quality of imported goods by 7% and therefore "lowered quality-adjusted prices by close to 7%," without having much of an impact on the non-adjusted price.[89]
See also
- Economic Partnership Agreements
- EU-ACP
- EUR.1 movement certificate
- Euro-Mediterranean free trade area
- European Union Association Agreement
- Everything but Arms
- Free trade agreements of the United Kingdom
- Free trade area
- Free trade areas in Europe
- List of bilateral free trade agreements
- List of free trade agreements
- List of the largest trading partners of the European Union
- Trade deal negotiation between the UK and EU (2020)
- Trade defence instrument
- United States free trade agreements
Notes
- From 2021 under the provisions of the Brexit withdrawal agreement (Protocol relating to the sovereign base areas of the United Kingdom of Great Britain and Northern Ireland in Cyprus)
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References
External links
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