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EU and Foreign Trade

EU and Foreign Trade. How does globalisation affect the EU?. GLOBALISATION TECHNOLOGICAL TRADE DEVELOPMENTS OPENING. IMPLICATIONS Opportunities for growth, but disruptive effects

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EU and Foreign Trade

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  1. EU and Foreign Trade How does globalisation affect the EU?

  2. GLOBALISATION TECHNOLOGICAL TRADE DEVELOPMENTS OPENING • IMPLICATIONS • Opportunities for growth, but disruptive effects • Need for global governance -> multilateral rules and institutions to ensure level playing field and better distribution of benefits • Need to reinforce the competitive position of the EU economy

  3. World PVD EU A few facts about world trade Bn €

  4. The EU in world trade 19% of world trade, 17.5% world trade in goods, 26% world trade in services Second largest importer A MAJOR TRADING POWER First exporter • Foreign direct investment: EU-25 a major source of the world’s FDI (€152.5 billion) and host of the world’s FDI (€ 69.8 billion) in 2005

  5. A MAJOR TRADING POWER SHARE IN WORLD TRADE IN SERVICES (2005) The EU in world trade Source: Eurostat

  6. The EU in world trade EU-25 Trade in goods: Exports by region (2005, billion euro) EFTA 119 CIS 80.7 NAFTA 292 China & Hong Kong 72.2 Japan & Korea 63.7 MED10 101.7 SAARC 27.1 GCC6 50.4 ASEAN45 Andean 4.5 ACP 30.8 MERCOSUR 23.4 Australia & New Zealand 23.8

  7. 2. The EU in world trade EU Foreign Direct Investments by region in 2004

  8. The EU in world trade % Source: World Bank

  9. The EU in world trade Sources: Eurostat, World Bank

  10. EU Imports from Developing Countries(Billion euro) 20 EU Imports from Least Developed Countries(Billion euro) 15 10 5 0 1999 2000 2001 2002 2003 2004 2005 Manuf. Products Agr. Prod. Energy Other The EU in world trade Source: Eurostat

  11. EU Trade policy - basic features Being the leading trade region • Strong interest in: • Open markets • Clear regulatory frameworks • Responsibility to: • EU citizens • Rest of the World Need to reinforce EU competitiveness on world markets

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