U.S. officials recently announced that the U.S. and EU would begin negotiations on a Transatlantic Trade and Investment Partnership agreement—the largest bilateral trade deal ever negotiated—during the first week of July.
The agreement aims to boost economic growth in the U.S. and EU and create jobs, as well as further open EU and U.S. markets, strengthen rules-based investment, eliminate trade tariffs, tackle “behind the border” non-tariff barriers that impede the flow of goods and obtain improved market access on trade in services.
Additionally, the agreement seeks to reduce the cost of regulatory differences, develop new modes of cooperation on global issues and promote the global competitiveness of small- and medium-sized enterprises.
The partnership builds on a February jobs and growth report that found that the EU and U.S. would be required to work out a progressive trade solution in order to boost transatlantic trade and investment.
The EU-U.S. trade relationship is the largest in the world, with the trade of goods and services totaling nearly $2.7 billion every day.
“There are going to be sensitivities on both sides,” U.S. President Barack Obama said. “There are going to be politics on both sides. But if we can look beyond the narrow concerns to stay focused on the big picture—the economic and strategic importance of this partnership—I’m hopeful we can achieve the kind of high standard, comprehensive agreement that the global trading system is looking to us to develop.”