{"id":4569,"title":"Pascal Lamy on Trade Agreement \u201cGenerations\u201d","link":"https:\/\/bst-europe.eu\/de\/globalization\/pascal-lamy-on-trade-agreement-generations\/","date":"11. November 2015","date_unix":1447250449,"date_modified_unix":1644496150,"date_iso":"2015-11-11T14:00:49+00:00","content":"<p><strong>Pascal Lamy<\/strong> (former Director-General at WTO) spoke on the three generations of trade agreements (\u201cjurassic\u201d, \u201cmodern\u201d and \u201cfuturistic\u201d) at the GED sponsored \u201c<a href=\"http:\/\/www.global-economic-symposium.org\/knowledgebase\/multilateral-regionalism-and-emerging-markets-opportunities-and-risks-in-gloal-trade\" target=\"_blank\" aria-label=\"\u00d6ffnet in einem neuen Tab\" >Multilateral Regionalism and Emerging Markets \u2013 Opportunities and Risks in Global Trade<\/a>\u201d panel at the Global Economic Symposium in Kiel.<\/p>\n<p>Pascal Lamy started by pointing out that opening trade\u00a0leads to\u00a0welfare\u00a0 improvements, assuming the fullfilment of\u00a0a number of conditions. Thus, the important question is &#8211; according to him &#8211; <strong>how to remove obstacles to trade<\/strong>?<\/p>\n<p>He defended that\u00a0obstacles to trade exist in order to protect both:<\/p>\n<ul>\n<li>Domestic\u00a0producers from foreign competitors,<\/li>\n<li>Consumers from risks (environmental, safety rules, etc).<\/li>\n<\/ul>\n<p>These obstacles to trade depend on both governance and distance.<\/p>\n<p>He highlighted that most preferential agreements are not being used by businesses but, indeed,\u00a0they only cover in practice 15% of trade.<\/p>\n<p>Pascal Lamy claimed that there are three generation of trade agreements:<\/p>\n<ul>\n<li><em><strong>Jurassic trade agreements<\/strong><\/em>; Examples of Jurassic trade agreements are GATT, NAFTA and WTO. They are 80% aimed at removing protection to domestic\u00a0producers and 20% about other issues related to trade regulations, anti-dumping, anti-subsidies etc. Pascal Lamy stressed that\u00a0they are &#8222;Jurassic&#8220;\u00a0since they make less sense in a globalised world. As production processes\u00a0become more and more\u00a0vertically integrated along global value chains, trying to prevent imports makes less sense and might even hamper a country&#8217;s\u00a0export sector.<\/li>\n<\/ul>\n<ul>\n<li><em><strong>Modern trade agreements<\/strong><\/em>; These agreements are only 20% targeted to remove protection to producers. An example is TPP. According to him, the strict classical trade opening through product protection reduction is very modest in TPP. However,\u00a0he praised\u00a0the great step in linking trade openness with labour, environment and anti-corruption provisions.<\/li>\n<\/ul>\n<ul>\n<li><em><strong>Futuristic trade agreements<\/strong><\/em>; TTIP is an example of this new generation. Pascal Lamy defended that they will mainly target precaution provision (80%) and at a smaller extent, protection (20%). According to him, the breakthrough in TTP is of no use for TTIP, since environmental, labour and anti-corruption provisions are the same level. Therefore the focus relies on precaution.<\/li>\n<\/ul>\n<p>See his full remarks in this video below:<\/p>\n<p>[iframe &#8222;&lt;iframe width=&#8220;560&#8243; height=&#8220;315&#8243; src=&#8220;https:\/\/www.youtube.com\/embed\/9IL3p1am__0&#8243; frameborder=&#8220;0&#8243; allowfullscreen&gt;&lt;\/iframe&gt;&#8220;]<\/p>\n<p>&nbsp;<\/p>\n<section style=\"font: 16px\/22.85px Lato, 'Helvetica Neue', Helvetica, Arial, sans-serif;color: #403f3f;text-transform: none;text-indent: 0px;letter-spacing: normal;background-color: #ffffff\">More videos on<span class=\"Apple-converted-space\">\u00a0<\/span><a href=\"http:\/\/blogs.bertelsmann-stiftung.de\/globaleurope\/2015\/11\/03\/pascal-lamy-on-free-trade-and-fair-trade\/\" target=\"_blank\" aria-label=\"\u00d6ffnet in einem neuen Tab\"  target=\"_blank\" rel=\"noopener noreferrer\">Fair Trade and Free Trade ,<\/a><span class=\"Apple-converted-space\">\u00a0<\/span><a href=\"http:\/\/blogs.bertelsmann-stiftung.de\/globaleurope\/2015\/11\/04\/pascal-lamy-on-isds-provisions\/\" target=\"_blank\" aria-label=\"\u00d6ffnet in einem neuen Tab\"  target=\"_blank\" rel=\"noopener noreferrer\">ISDS Provisions<\/a>\u00a0,<span class=\"Apple-converted-space\">\u00a0<\/span><a href=\"http:\/\/blogs.bertelsmann-stiftung.de\/globaleurope\/2015\/11\/09\/pascal-lamy-on-ttip-and-eu-and-us-regulatory-convergence\/\" target=\"_blank\" aria-label=\"\u00d6ffnet in einem neuen Tab\" >TTIP and EU and US regulatory convergence<\/a><span class=\"Apple-converted-space\">\u00a0and <a href=\"http:\/\/blogs.bertelsmann-stiftung.de\/globaleurope\/2015\/11\/10\/precaution-trade-negotiations\/\" target=\"_blank\" aria-label=\"\u00d6ffnet in einem neuen Tab\" >Precaution and Trade Negotiations<\/a> <\/span>with Pascal Lamy at the Global Economic Symposium.<\/section>\n<p>&nbsp;<\/p>\n","excerpt":"<p>Pascal Lamy (former Director-General at WTO) spoke on the three generations of trade agreements (\u201cjurassic\u201d, \u201cmodern\u201d and \u201cfuturistic\u201d) at the GED sponsored \u201cMultilateral Regionalism and Emerging Markets \u2013 Opportunities and Risks in Global Trade\u201d panel at the Global Economic Symposium in Kiel.<\/p>\n","thumbnail":null,"thumbnailsquare":null,"authors":[{"id":4167,"name":"Pascal Lamy on Trade Agreement \u201cGenerations\u201d","link":false}],"categories":[{"id":152,"name":"Globalization","link":"https:\/\/bst-europe.eu\/category\/globalization\/"}],"tags":[]}