EU ready to cut trade benefits to Argentina because of YPF; warns the region on growing protectionism
European Trade Commissioner Karel de Gucht expressed concern Monday over what he called a “growing tendency towards protectionism across Latin America” and warned Europe is preparing retaliation measures against Argentina after YPF expropriation
“We will soon be moving forward with a response to Argentina's action in the Repsol case,” the official said during a speech at the EU-Brazil Conference, in Brussels.
The EC is already planning to file a complaint with the World Trade Organisation (WTO) in the next four weeks over Argentina’s alleged use of protectionist measures which harm European businesses – such as the use of non-automatic import licensing or pre-registration of imports.
But while the Lisbon Treaty specifies that the EU commercial policy is an exclusive competence of the Union, the Commission is still unable to take any legal actions before the WTO regarding YPF because of the lack of investment provisions in the multilateral agreements.
EU retaliatory measures explicitly aimed against Argentina over the Repsol case will therefore most likely take the form of a reduction of the country’s trade preferences with the Union by cutting it out of the EU Generalised System of Preferences (GSP).
Spain has already been calling upon De Gucht to remove the GSP benefits for Argentina. However, if De Gucht goes ahead with the move, it will only come after the complaint is filed with the WTO.
De Gucht also warned of a “growing tendency towards protectionism across Latin America,” urging Brazil to take a tougher stance on Argentina instead of adopting a number of “questionable policies” of its own.
“While Brazil has been heavily affected by Argentina’s import licensing regime, for example, its leaders have not yet taken a strong public stand against it,” De Gucht noted. He argued that, as 20% of Brazil’s exports are to other Latin American countries, it could only benefit from an integrated Latin American region.
Officials from both Spain and the EU institutions have warned against the negative impacts of recent protectionist measures on the negotiations of a free trade agreement (FTA) between the EU and Mercosur (Argentina, Brazil, Paraguay and Uruguay).
Brazil will be taking over the presidency of Mercosur from Argentina in July, which “means there is a window of opportunity to make progress,” according to De Gucht.
Negotiating an FTA “is in the best interest of our citizens on both sides of the Atlantic and in each of our countries,” said MEP Joseph Daul (France), chair of the European People’s Party (EPP). “If we don’t, it would be a suicidal strategy for globalisation: let’s overcome our differences and move forward,” Daul said.
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Repsol going to sue anyone who gets involved with YPF. Go Repsol.
Unfortunately for you it does. The Treaty Of Lisbon for example recognises all of the British Overseas Territories including the Falklands as belonging to the UK, just as it recognises French Guyana (on the south american mainland) as French.
Hard lines.
Is it because your president continues to humiliate your country on the world stage. I hear she's going to crawl to the C24 committee on decolonisation on 14 June and BEG for their help.
It won't make any difference though, that committee like your government is impotent and irrelevant.
And no doubt any new trade clients you have will offer you BOTTOM dollar for your goods. After all, China and India can afford to be choosy. Your government has backed your county into a corner. And the rest of South America aren't going to sacrifice their own futures, not even for their good 'friends' from Argentina. They are already counting the increased profits they're going to make. :o)
Las Islas Falkland seguirá siendo libre de opresión y de la dictadura argentina para siempre!
14 June should be an interesting day, especially as there will be representatives of the falkland Islands there (but not as usual the Uk govt). hopefully they will have something planned to make it a “nice” day for the fucked in the head RG president.
As we know though the Decolonisation committee is now defunct thats why the Yanks, Brits etc. dont turn up. there are no more colonies in the world, they are all free to choose their own futures and in the case of the Falklands they choose to be British.
My prediction, EU will not negotiate with MercoSur on an FTA so Brazil and Uruguay will drop out and sign bi-laterally with EU and USA.
On 14 june we'll have the usual bolivians, Venezuelans etc. bleating on about “gringos”, “imperialists” and “colonialists” thus revealing that once more that the chip on their collective shoulders and inferiority complex against the developed world is alive and well.
South America the gift that keeps on giving. They really need to fucking wake up and smell the coffee.
action my friends, action .
Wasn't that what happened when Venezuela kicked Exxon out?
You fookers are nothing but air :) :) :)
What a pity it could have been a world power if not for Peronists
That means, for you titwits, no trade with Brazil :)
you will no doubt be hoping that it sticks to that line otherwise you are fucked. eventually south america will go their own sweet way without argentina as you are too much trouble.
the problem for RG land is that they are intent, like the cowards they are, to involve others in their disputes. Hopefully people will start to turn their backs on this pariah state.
This is worth a read - an American correspondents take on why Retargentina is an international joke.
www.nationalreview.com/articles/299154/what-s-wrong-argentina-matthew-shaffer?page=1
“Argentina has better commerce and fair trade with Pakistan, India or China”
hahahahaha
Good luck with that one.
When China owns YPF you will wish it was still in Spanish hands. The EU (bigger economy than China and India together) is very reasonable and serious. They will only take limited action against Argentina. China will not be so reasonable.
@13
“South America the gift that keeps on giving”
Only half of SAmerica needs to wake up the other half is wide awake. Chile has negociated more free trade agreements than any other country and has stayed outside the MercoSur. Peru and Colombia are following this route. Chile's credit rating is higher than most EU countries. There is a 2 speed SAmerica emerging with Argentina in the basket-case category.
To : Mrs Cristina Fernadez de Kirchner
President of the Republic of Argentina
C/O Casa Rosada
Plaza De Mayo
Buenos Aires, Argentina
Your Most Exalted Excellency,
I am writing in response to your continued demands for the transfer of sovereignty of the Falkland Islands .
Having consulted with my colleagues, the British readers of the Daily Telegraph and the Falklands Islands legislature, I am afraid your request has been refused.
However, being British, magnanimous and fair , we cannot see you leave the negotiating table empty handed.
HM The Queen has graciously commanded that henceforth, Liverpool and its dependencies, Widnes and Runcorn , will be ceded to Argentina in perpetuity.
The population of Liverpool is very similar to the rest of the Argentine people, so will assimilate very quickly.
You will also be pleased to know that the whole of Ireland is on Liverpool's continental shelf, so you will no doubt be claiming that as well, especially since a great part of the Spanish armada was wrecked off the Irish coast, which automatically makes it Argentine territory.
The owners of Liverpool FC and Everton FC have confirmed they are looking forward to playing in the Belgrano League, though they admit away matches will be a bit of a strain.
It's only fair to warn you that buying the votes of scousers will cost you a little more than votes in Lanus or Avellaneda.
They will expect a council house, £300 pw, a pair of white trainers and a Plasma TV.
As a thank you to your good self in being so patient with us, Her Majesty has graciously presented you with some Harrods gift vouchers, a William & Kate souvenir pack with a mug, tea towel and DVD and a brown envelope containing an unspecified amount of cash in US dollars.
Yours sincerely
The Right Hon William Hague
Foreign secretary.
her Britannic Majesty's Government
London SW1
Argentina took land from its neighbours in numberous wars , civil wars and land grabs - Paraguay, Uraguay, Chile. Today Argentina despite the changed political landscape is still a nation characterised by uber nationalism. The claim to the Falklands was surendered in 1850 but reserected in 1941 by a fascist junta, which inc Peron, they thought their friends the Nazi were going to win the war, the Falklands looked easy picking.
In 1982 Argentina was under the latest succession of a series of fascism military junta's. Their hold on power was looking precarious, in deperation they sort a war, Chile looked like a good victim, they already claimed lots of land and were ignoring the international tribunals that had ruled in Chile's favor. But then they changed their mind and invaded the Falklands. Today the war is romanticized by a nation ruled by a kind of cross between a Neo-Nazi uber nationalist and a Charvesta Revolutionary uber Marxist. The only thing missing is the land reform. Maybe that's for later? But as few natives remain, maybe they'll just ignore their rights... God knows they always have. An entire culture replaced by a European one. Entire languages destroyed.
Timmerman should take time to read about his country's history.
Comedy classic!!!! If it ever happened I wouldn't know who to feel sorry for, The Mickey Mousers for getting the Argentinians or the Argentinian's for getting all the pikey's in Liverpool!!
Still, it's a brilliant letter
lf she reads it, she might take it up!
How much cash was in that brown envelope?
US Dollars of course.
( The cash in a brown envelope is the deal closer for Argentine politicians...)
Problems indeed, for the pro-austerity right. Greece especially could learn a lot from the Argentine default and long boom =)
at the moment, the EU has not done nothing .
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