EU Trade Chief Renews Push for Brussels-Washington Trade Deal

With the US presidential election now over, Washington and Brussels should turn their attention toward launching negotiations for a bilateral trade deal, the EU’s top trade official said last week, particularly given the continued economic difficulties facing both sides.

The comments came as new EU forecasts show the short-term outlook for the 27-country bloc as remaining “fragile,” though projections for 2013 and 2014 show the possibility of improvement. The US, for its part, is facing the need to avert a looming “fiscal cliff” of scheduled tax hikes and spending cuts that could - if not lifted by Congress - plunge its economy back into recession.

The EU-US High-Level Working Group on Jobs and Growth, which is jointly chaired by De Gucht and US Trade Representative Ron Kirk, is expected to issue a final set of recommendations to US and EU leaders in the coming weeks regarding whether the two trading partners should begin negotiations for a trade deal. An interim report released by the group in June indicated that a broad, comprehensive bilateral pact could be the best option for deepening the already vast Brussels-Washington trade relationship.