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The talks between the US and European council in Brussels last month. Photograph: Stephanie Lecocq/AP

The prospect of a revived EU-US trade deal is in deep freeze, according to Brussels sources, undermining reports that the EU has been inching ahead of the UK in the race for an arrangement with Washington.

Neither Donald Trump nor European officials raised the possible resumption of talks during the US presidents visit to Brussels last month, EU sources said. Documents relating to the transatlantic trade and investment partnership, known as TTIP, had now been locked in a filing cabinet and the code to open it had been lost, one diplomat joked.

It was reported in April that the UK had fallen behind in the queue to strike a trade deal with Trumps administration. According to the Times, Angela Merkel, the German chancellor, had convinced Trump that talks on a US-EU agreement would be simpler than he thought.

This had led to a realisation that a trade deal with the EU allowing the tariff-free exchange of services and goods would be more important to US interests than a post-Brexit deal with Theresa May, it was reported.

Talks over TTIP stalled last year amid opposition from within the EU, including sceptical comments from Frances then trade minister and the German vice-chancellor, Sigmar Gabriel.

However, a meeting between Trump the European commission president, Jean-Claude Juncker, and the European council president, Donald Tusk, two weeks ago offered the EU scant evidence of any such willingness, according to EU sources.

It didnt come up, one EU diplomat said. Its maybe not entirely dead but it is in deep freeze. The source said that the completion of an EU-Japan trade deal was nevertheless imminent, and would provide significant economic gains.

The development may offer Downing Street some fresh hope that the UK stands a better chance of engaging with Washington than Brussels does.

May has appeared less inclined to criticise the White House for its recent policy tacks including leaving the Paris climate agreement suggesting that the prime minister believes the UK stands a chance of forging an accord with the US administration if it avoids upsetting the president.

In Brussels, though, there is a high degree of scepticism about the UKs chances of getting a deal. Trump would have to be taught what trade means first, one EU diplomat said.

The source added that it was questionable whether the UK had the expertise to engage with the US administration on a trade deal. A UK-US trade deal would probably take 10 to 15 years anyway, the diplomat said.

The UKs attitude to the coming Brexit negotiations had given EU diplomats little evidence of such a capacity, the source added. Theresa May keeps saying she the chief negotiator. Is she really going to spend six days a week in Brussels negotiating?

If it is David Davis, fine. If it is Olly Robins [permanent secretary of the Department for Exiting the European Union] then fine, he knows the files, although maybe less the economic ones. We need to know who we are negotiating with ... I dont think they have a plan.

The warnings of a freeze in trade talks come despite upbeat comments in April from the US commerce secretary, Wilbur Ross. He said before Trumps first foreign tour that the US was open to resuming negotiations with Brussels.

Clearly at some point we need to do something with Europe, Ross said in an interview with the Financial Times. It seems a little weird that a car being shipped from Mexico to Europe pays no tariff as they have a bilateral [agreement with the EU] and a car being shipped from the US pays the full tariff.

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Hopes of EU-US trade agreement put on ice, say Brussels sources - The Guardian

Factbox-Impact on Insurers From Britain's Vote to Leave the EU New York Times (Reuters) - British insurer RSA followed rivals on Monday in announcing plans to set up a subsidiary in Luxembourg to act as the headquarters of its European Union operations following Britain's decision to leave the bloc. Insurers are setting up ... and more »

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Factbox-Impact on Insurers From Britain's Vote to Leave the EU - New York Times

On June 5, 2017, we celebrate the World Environment Day. The environment is essential in every aspect of life. The air, water, soil, food we need for survival, all depend on the environment.

On this occasion, the Delegation of the European Union to Sudan announced 8.5 million for projects addressing climate change in Sudan. The projects are financed by the EU Global Climate Change Alliance+ (GCCA+).

The objective of these projects is to improve the ability of Sudanese communities to respond to the challenges posed by climate change. This will be achieved through the protection and better management of farmlands, forests and rangeland. These projects will take place in areas of serious environmental degradation affecting people, agriculture, livestock, forestry and ecosystems. The projects involve the construction of adequate water facilities to improve water availability; rehabilitation of community forests and rangelands; and plantation of shelter belts around farmlands to stabilize movement of sand dunes and stop land erosion. The projects will also promote the use of renewable energy by introducing solar energy water pumps for irrigation and fuel efficient stoves or biogas for efficient cooking thus reducing the demand for firewood.

Specifically, the new EU funded projects will focus on rural communities living in the remote areas of North Darfur, Kassala, River Nile and Northern States. They will be implemented by the Netherlands Red Cross in partnership with the Spanish, Danish, and Swedish Red Cross and the Sudanese Red Crescent in River Nile, Kassala and Northern States. COOPI in partnership with the Sudanese Environment Conservation Society will be the implementers in North Darfur.

An important component of the projects is the engagement of local authorities and institutions, such as the Ministry of Environment and Physical Development. These actors will play a fundamental role in the dialogue with the local communities to better cope with climate change. The projects will therefore provide training to local authorities in natural resources management and support them in preparing environmental management plans. Specific studies and research related to climate change will also be conducted.

"The World Environment Day is an opportunity for the European Union., stated Ambassador Jean-Michel Dumond, Head of Delegation of the European Union to Sudan. We remain committed to sustainable Development Goals, and together with the African Union we will work on the 2016 Paris Agreement to endure. In Sudan, it means in particular addressing the needs of people affected by climate change. The EU will continue to lead through ambitious climate policies."

Background

Combatting climate change is one of the most important goals of the Agenda 2030 for sustainable development. Therefore, the EU is committed to allocate 20% of its development assistance (about 14 billion up to 2020) towards climate change objectives and environmental sustainability.

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European Union supports combatting Climate Change in Sudan [EN ... - ReliefWeb

President Juncker, along with Donald Tusk, the President of the European Council, represented the European Union at the Summit. The People's Republic of China was represented by its Premier, Li Keqiang. The High Representative of the Union for Foreign Affairs and Security Policy/Vice-President of the Commission, Federica Mogherini, Trade Commissioner, Cecilia Malmstrm, and Commissioner for Research, Science and Innovation, Carlos Moedas, as well as the Minister of Foreign Affairs, Wang Yi also attended the Summit.

Delivering for a stronger partnership

During the Summit, a number of agreements were signed that will concretely strengthen what is already a comprehensive relationship. In addition, several EU-China meetings covering specific policy areas, held in the margins of the Summit, also brought positive outcomes.

Climate action:

At the Summit, EU and Chinese leaders reaffirmed their commitment to implementing the 2015 Paris Agreement on climate change and, as major energy consumers and importers, highlighted the importance of fostering cooperation in their energy policies.

At the joint press conference following the Summit, President of the European Commission Jean-Claude Juncker said: "As far as the European side is concerned, we were happy to see that China is agreeing to our unhappiness about the American climate decision. This is helpful, this is responsible, and this is about inviting both, China and the European Union, to proceed with the implementation of the Paris Agreement."

EU and Chinese leaders also looked forward to co-hosting, along with Canada, a major ministerial gathering in September to advance the implementation of the Paris Agreement and accelerate the clean energy transition.

Business:

In the margins of a productive Summit, during which leaders were able to constructively discuss topics across the entire spectrum of EU-China relations, the 12th EU-China Business Summit provided an opportunity for EU and Chinese leaders to exchange views with representatives of the business community on economic relations between the European Union and China and on the challenges that remain.

In his keynote speech, President Juncker said: "Our relationship is founded on a shared commitment to openness and working together as part of a rules-based international system. I am glad that we can meet here today and say this, loud and clear. It is one that recognises that together we can promote prosperity and sustainability at home and abroad. We applaud the ambition of China's reform path. We recognise that reforms have been made and that plans have been established. But we would like to see implementation speed up so that your policies are in line with your world vision."

In her speech, Commissioner Malmstrm stressed that: "Sound economic development, trade and investment also require respect for the rule of law, with independent lawyers and judges who can operate freely and independently. To conduct business and for their daily lives people need to be able to access free and independent information, communicate and discuss. This is a fundamental human right which also applies in the age of the internet. Limits to online freedom also affect peoples' lives and the business climate."

Regional and global challenges:

Discussions at the Summit demonstrated the shared commitment of both the European Union and China to addressing regional and global challenges such as climate change, common security threats, the promotion of multilateralism, peacekeeping and peace-building. Comprehensive discussions took place between the Summit participants on how to advance cooperation and joint action in the area of foreign and security policy, in particular on the situations on the Korean Peninsula, in Ukraine, Afghanistan and Syria, on the implementation of the Joint Comprehensive Plan of Action, and on Myanmar.

Competition policy:

European Commissioner Margrethe Vestager, in charge of competition policy, and He Lifeng, Chairman of China's National Development and Reform Commission, signed a Memorandum of Understanding to start a dialogue on state aid control. The state aid dialogue creates a mechanism of consultation, cooperation and transparency between China and the EU in the field of state aid control. A full press release on this Memorandum of Understanding is available here.

Investment:

The European Investment Fund (EIF), part of the European Investment Bank Group, and China's Silk Road Fund (SRF) have signed a Memorandum of Understanding with the aim of jointly investing in private equity and venture capital funds that will, in turn, invest in small and medium-sized enterprises (SME) located primarily in the EU. The European Commission and China's National Development and Reform Commission have played an important role in supporting the negotiations which led to the signature of the Memorandum of Understanding. The total expected commitment amounts to 500 million, of which 250 million would be financed from the EIF and 250 million from the SRF. The signature follows the commitment made by China at the High-Level Economic and Trade Dialogue in 2015 to examine opportunities to contribute to the Investment Plan for Europe, the so-called "Juncker Plan" and enhance cooperation with the EU on investment issues generally. The initiative would complement the SME window of the Juncker Plan's European Fund for Strategic Investments (EFSI), which is already expected to facilitate access to finance for some 416,000 small businesses across Europe.

Energy cooperation:

Following the EU-China High Level Energy Dialogue, which took place this morning, Commissioner for Climate Action and Energy Miguel Arias Caete and Mr Nur Bekri, Vice-Chairman of the National Development and Reform Commission and Administrator of the National Energy Administration of China signed the Work Plan 2017-2018 of the Technical Implementation of the EU-China Roadmap on Energy Cooperation. This Roadmap, agreed in June 2016, commits both sides to tackling common energy and climate challenges,includingsecurity of energy supply,energy infrastructure and market transparency.TheRoadmap lays the foundations forsharing best practices with regards toenergyregulation,demand and supply analysis,energy crisis, and nuclear safety,as well asgrid design and the integration of renewableenergyintotheelectricitygrid.

Connectivity:

The second meeting of the EU-China Connectivity Platform enabled progress on: (i) policy exchange and alignment on the principles and the priorities in fostering transport connections between the EU and China, based on the TEN-Ts framework and the Belt and Road initiative, and involving relevant third countries; (ii) cooperation on promoting solutions at the international level with a focus on green transport solutions; (iii) concrete projects based on agreed criteria including sustainability, transparency and a level-playing field. The joint agreed minutes of the Chairs' meeting are available here, along with the list of European transport infrastructure projects presented under the EU-China Connectivity Platform.

Customs:

European Commissioner for Economic and Financial Affairs, Pierre Moscovici, and the Minister of Customs of China, Mr Yu Guangzhou signed a Strategic Framework for Customs Cooperation for the years 2018 2020, setting out the priorities and objectives for EU-China customs cooperation for the years ahead. The framework's priority areas of focus are protecting citizens and combating illegal trade through effective customs controls, at the same time speeding up and reducing administrative burdens on legitimate trade. The Framework supports continued cooperation on supply chain security while facilitating reliable traders, the enforcement of Intellectual Property Rights, and the fight against financial and environmental fraud. Cooperation has also now been extended to the field of e-commerce. More details are available online.

Trade and agriculture:

Commissioner Malmstrm and her Chinese counterpart, the Minister of Commerce, Mr Zhong Shan, signed important documents covering the protection of intellectual property and geographical indications.

The administrative arrangement related to EU-China cooperation on the protection and enforcement of intellectual property rights aims to ensure smooth cooperation between the European Commission and the Ministry of Commerce of China in the implementation of the new phase of the programme Intellectual Property: A Key to Sustainable Competitiveness. This programme has, since 2013, been the European Commission's main instrument to address legal challenges faced by EU businesses in China. These include, for example, patents, trademarks, and industrial designs. The new phase, funded under the Partnership Instrument, will run from 1 September 2017 until 2021.

Commissioner Malmstrm, on behalf of the European Commissioner for Agriculture, Phil Hogan, and on the Chinese side, Mr Zhong, also signed an agreement committing both the European Union and China to publish, on 3 June, a list of one hundred European and Chinese geographical indications. This publication opens the process for protecting the listed products against imitations and usurpations and is expected to result in reciprocal trade benefits and increased consumer awareness and demand for high-quality products. More information on this agreement is available online.

Research and innovation:

In the field of research and innovation, the European Union and China have agreed to boost their cooperation with a new package of flagship initiatives targeting the areas of food, agriculture and biotechnologies, environment and sustainable urbanisation, surface transport, safer and greener aviation, and biotechnologies for environment and human health. These initiatives will translate into a number of topics for cooperation with China under Horizon 2020, the EU's funding programme for research and innovation. The 3rd EU-China Innovation Cooperation Dialogue, co-chaired by Carlos Moedas, Commissioner for Research, Science and Innovation, and Wan Gang, China's Minister of Science and Technology, took place in the margins of the Summit. Both sides agreed on the renewal of the EU-China co-funding mechanism for research and innovation for the period 2018-2020, and on its application to future SME cooperation and to support start-ups. Both sides also confirmed their commitment to improving framework conditions, notably reciprocal access to Science and Technology and Innovation resources, and to promoting open access to publications and research. More information is available online.

The European Commission's science and knowledge service, the Joint Research Centre (JRC), under the responsibility of Tibor Navracsics, Commissioner for Education, Culture, Youth and Sport, and the ChineseAcademy of Sciences signed an overarching Research Framework Arrangement, building on their longstanding and fruitful cooperation in the field of remote sensing and earth observation. The objective of the agreement is to expand their collaboration and develop new scientific approaches in key areas, such as air quality, renewable energy, climate, environmental protection, digital economy, regional Innovation policy and Smart Specialisation. More information is available online.

Tourism:

The European Union and China signed an Arrangement on the implementation of the 2018 EU-China Tourism Year. Good progress is being made on preparation of the tourism year, which should promote lesser-known destinations, improve travel and tourism experiences, and provide opportunities to increase economic cooperation. This initiative also provides an incentive to make quick progress on EU-China visa facilitation and air connectivity.

Maritime affairs:

Representatives from the European Union and China signed in the margins of the Summit a Joint Press Statement on the 2017 EU-China Blue Year. As part of this EU-China Blue Year, a series of activities on ocean matters are taking place. These activities aim to foster closer ties and mutual understanding between European Union and China and highlight a strong China-EU maritime relationship.

For more information:

19th EU-China Summit website

EU-China relations factsheet

Frequently asked questions on EU-China relations

EU Delegation in China website

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EU-China Summit: moving forward with our global partnership - EU News

On the evening of 7 May, Emmanuel Macron walked, almost marched, slowly across the courtyard of the Louvre to make his first speech as the President elect of the French Fifth Republic. He did so not, as others would have done, to the music of the Marseillaise but to the final movement of Beethovens Ninth Symphony the Ode to Joy, the anthem of the European Union. It was, wrote Natalie Nougayrde in the Guardian, the most meaningful, inspiring symbol Macron could choose.

The gesture, and the speeches which have followed, have been ringing endorsements of the Union and all that it stands for: tolerance, trans-national justice, open borders, free trade, increased opportunities, personal economic, cultural and political for all. In a word: internationalism. Since his election Macron has been speaking not only to and for a large sector of the French people; he has been speaking for and to both Europe and as he made clear the world. Europe and the world, he declared, are waiting for us to defend the spirit of the Enlightenment. His victory is the latest in series of defeats for the populist parties of the far right in Europe.

This is a reason to rejoice, but it is no cause for complacency. Brexit has not, as many hoped it might, been overturned, and Donald Trump has yet to be impeached. Marine Le Pen lost massively; but she still made substantial gains. Geert Wilders, the populist, with the dyed blond quiff, won fewer votes than expected in the Netherlands in March; but he is still better placed that he was before the elections. So too are a handful of other smaller parties with similar views. The Alternative for Germany has not been doing well in past few months, but neither has it disappeared. With Viktor Orbn firmly entrenched in Hungary, and elections due in Italy before next spring in which, according to recent polls, the Five-Star Movement could win over 32% of the vote placing it ahead of any of the major parties Europe is still in urgent need of defense.

The EU is the outcome of a long, slow process which took its modern form in the eighteenth and nineteenth centuries the term international was coined by Jeremy Bentham in 1789 of the possibility of an international rule of law, and of the trans-national agencies and courts to uphold it.

The problem with international law, however, is that, by its very nature, it demands at a least a re-evaluation, if not an outright rejection, of what has been ever since the seventeenth century one of the foundations of the modern state: sovereignty. The power of the sovereign be it a monarch or a popular assembly wrote Thomas Hobbes is to prescribe the Rules of discerning Good and Evil and therefore in him is the Legislative Power. It was crucial, that that power should be what he called incommunicable and inseparable, by which he meant that it could not be divided nor shared with any other sovereign. This is the legal basis on which the modern nation state, constructed along what has come to be known as the Westphalian model, has been based. But while indivisibility operates well enough within individual states, it cannot, as another Englishman, the great jurist Henry Sumner Maine, wrote in 1888, belong to International Law. International law is based upon treaties, and the power to enforce those treaties can only ever be divided up among the nations which agree to abide by them. (The example Maine gave, paradoxically in the light of Brexit, was the British relationship with the Indian princely states.) Without divided sovereignty no international law can exist. It is one of the basic marks of western civilization.

European Union Law is an inter-national law, and it governs what all the member states share in common and, like all international law it assumes priority over any conflicting laws enacted by individual member states. The penal code, family and labor laws, the laws governing succession, inheritance and marriage, property and taxation indeed all those laws which govern the daily life of the citizens of Europe are all matters for domestic not EU law, so long as they conform to EU and international norms. Of course, dividing sovereignty inevitably means relinquishing some part of it, most contentiously, in the case of the EU, the right to close your borders against those with whom you are dividing it. But as the Greeks discovered at Salamis in 480 BCE, and Europeans have discovered time and time again over the centuries ever since, cooperation generally brings far more benefits that it does losses.

To be willing to divide sovereignty in this way, however, demands that you trust in and are prepared to work with those with whom you divide it, and this means sharing their same basic political, social, ethical and legal values. The European project, which Macron described as our civilization and our common enterprises and our hopes is nothing if not a grand exercise in sharing: sovereignty, administrative responsibilities, educational and cultural goals, citizenship and of course each others populations. And that, in turn, means trusting in what it can achieve. So far, for all its difficulties it has not let us down. The continent has been at peace now for over seventy years the longest period in its entire history. For all the populist talk of forgotten ones, for all the justifiable fear of terrorism, its peoples live better, safer, more just and more equitable lives than they have ever done. Of course the EU is in need of reform. The power of the parliament, needs to be extended, and so, too, does the reach of the ECJ. European citizenship needs to be more clearly defined and strengthened. The Euro-zone requires a proper common budget something already on Macrons agenda. Military dependence on an unpredictable United States should be reduced and the long dormant plan for a European Defense Force revived. Above all perhaps the nature of the European project, its demands and its benefits, need to be better explained. A massive ignorance as to what Europe is has already robbed future generations of one European nation of a brighter future. Everything should now be done to prevent any of the others from going the same way.

The forces of populism and obscurantism may have been defeated; but they have not been annihilated. At the moment it would seem to be up to France to lead the way. En marche!

Featured image credit: Emmanuel Macron at Sommet co franco-chinois by Pablo Tupin-Noriega. CC0 Public Domain via Wikimedia Commons.

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En Marche: Macron's France and the European Union - OUPblog (blog)