Week 5: International trade Flashcards
What is the European Commission?
The European Commission is the sophisticated civil service and bureaucracy which develops ideas to improve the European Union.
It puts forward policy ideas which have to be approved by the Council of Ministers and the European Parliament.
It is made up of commissioners appointed by member states, each having a distinctive portfolio of responsibility.
It is also the watchdog over EU treaties.
What are the Council of ministers?
In the Council, government ministers from each EU country meet to discuss, amend and adopt laws, and coordinate policies.
The ministers have the authority to commit their governments to the actions agreed on in the meetings.
Together with the European Parliament, the Council is the main decision-making body of the EU.
What does the council of ministers do?
Negotiates and adopts EU laws, together with the European Parliament, based on proposals from the European Commission
Coordinates EU countries’ policies
Develops the EU’s foreign & security policy, based on European Council guidelines
Concludes agreements between the EU and other countries or international organisations
Adopts the annual EU budget - jointly with the European Parliament.
European council?
The European Councildefines the EU’s overall political direction and priorities.
It is not one of the EU’s legislating institutions, so does not negotiate or adopt EU laws.
Instead it sets the EU’s policy agenda, traditionally by adopting ‘conclusions’ during European Council meetings which identify issues of concern and actions to take.
The members of the European Council are theheads of state or governmentof the 27 EU member states, theEuropean Council Presidentand thePresident of the European Commission.
The European Council meetsat leasttwice every6 months. Its meetings, often referred to as ‘EU summits’ are held in Brussels, in theEuropa building.
On 2 July 2019, EU leaders elected Charles Michel as President of the European Council. He will take office on 1 December 2019, replacing Donald Tusk.
European parliament?
705 seats
The UK did have 73 before it left
Holds the Commission to account
has power to sack Commission; approves commissioners; checks expenditure by the Commission, etc.
Only democratic institution – power has been increasing through the Treaty of Lisbon.
Approves the budget and checks expenditure
Other powers of the the european parliament?
The President of the European Parliament has the right to speak at the start of each European Council, setting out Parliament’s position on the subjects to be addressed by the heads of state and government.
After each summit the President of the European Council presents a report to the European Parliament on the outcome.
EP power over the commission?
The European Parliament has the right to approve and dismiss the European Commission.
The EP can censure the Commission and ultimately dismiss it.
The EP ensures democratic control over the Commission, which regularly submits reports to Parliament including an annual report on EU activities and on the implementation of the budget.
Once a year, the Commission President gives a State of the Union address to plenary.
The EP regularly invites the Commission to initiate new policies and the Commission is required to reply to oral and written questions from MEPs
Parliament can ask the Court to take action against the Commission or Council if they have acted in a way that is contrary to the spirit of EU law.
European court of justice?
It decides whether the institutions of the EU are acting legally, and it settles disputes between them.
It ensures that the member states of the EU are complying with their legal obligations as set out in the EU treaties; and it allows member states to challenge EU legislation.
It interprets EU law at the request of national courts.
Taken all together, this means that the ECJ interprets and enforces the rules of the single market, and pretty much everything else that the EU does.
European court of human rights?
Please note that this court is not an EU court! It is not controlled by the EU, and it does not settle disputes relating to the EU.
It is designed to make sure the European Convention of Human Rights is not breached and aims to protects those citizens of the countries who sign up to.
What is the single market?
The European single market is the most ambitious part of the whole “European project”. It aims to break down all barriers to trading across the 500 million-person area by ensuring the “four freedoms”, sacrosanct to Brussels policymakers: free movement of goods, services, capital and – most controversially - labour.
As an EU member, the UK had signed up to each of those freedoms which, as Brussels has repeatedly made clear, are non-negotiable.
Being part of the single market allowed UK businesses unfettered access to 500 million customers in all states within it and in turn allowed UK consumers and companies to purchase goods and services from across the continent.
It eliminates tariffs and reduces costs and administrative burdens by applying one set of rules across all member states.
What is the EU customs union?
The European Union is the biggest customs union in the world if you work it out by adding up the economic output of all its members.
Article 28 of the Treaty on the Functioning of the European Union states that all trade in goods between EU countries must be free of customs duties and that member states must apply a common customs tariff for goods imported from outside the EU.
That means that all goods that have been imported into an EU country can then be moved freely within the EUwithout further customs checks.
The EU customs unionincludes the 28 EU member states as well as Monaco.
The EU also has customs union agreements - which vary in scope, such as type of goods covered - withTurkey, Andorra and San Marino.
So, you do not have to be a member of the EU’s single market to be in a customs union with the EU.
Norway, on the other hand, is part of the European Economic Area (EEA), which gives it access to the single market,but is not in the EU’s customs union.
In practice, this means that while most goods that originate in Norway can still be traded tariff-free to the rest of the European single market, products coming through Norway into the single market are subject to further checks.
What is the world trade organisation’s role in brexit negotiations?
If no deal has been agreed by the end of the transition period the UK would resort to trading with the EU on WTO terms, which means certain tariffs would automatically be applied.
WTO rules state that the same trading terms must be applied to all WTO members, unless, for example, there is a trade agreement between 2 or more countries. This is known as Most Favoured Nation (MFN) treatment.
MFN means that the UK cannot offer better trading terms to one country and not to WTO members, unless, for example, it has a trade agreement.
How is the European commission made up?
Commission: Made up of 27 (after the UK leaves) commissioners (one from each member state) appointed by member countries (approved by the European Parliament) for a five-year term. Based in Brussels.
Each commissioner has a specific portfolio (e.g. the President, Foreign Affairs, Financial Services etc.).
Administers EU rules and policies. Initiates policies, laws, etc. Watchdog of the EU treaties (may fine those who break the rules or take them to the ECJ).
Negotiates on behalf of and represents the EU in discussion with non-EU countries.
