The formation of the Trade and Technology Council (TTC) between the European Union and the United States represents a significant effort to enhance collaboration and partnership in the domains of trade and technology. The council’s primary objectives consist of bolstering bilateral trade and investment, removing unnecessary technical barriers, and cooperating on global technology, digital issues, and supply chains.
The recent 6th meeting of the TTC, held in Belgium, saw the unveiling of new partnerships in the realms of artificial intelligence and 6G telecommunications networks. The summit brought together high-ranking officials from both the US and EU, including US Secretary of State Antony Blinken and European Commission Executive VP Valdis Dombrovskis. The discussions revolved around advanced technologies, specifically, with a particular emphasis on 6G mobile telecommunications, AI, and the solar PV energy value chain.
One of the foremost duties of the TTC is to uphold and protect shared values and trade interests. The council also aims to find common ground in addressing global trade challenges, such as those presented by the COVID-19 pandemic and geopolitical issues like Russia’s invasion of Ukraine. The collaboration between the EU and US holds significant influence in shaping the discourse and response to pivotal trade and technology-associated matters, given the substantial role both entities play in global trade.
Apart from its role in safeguarding trade security and strengthening cross-Atlantic economic ties, the TTC also shoulders the responsibility of expediting the transition to climate-neutral economies. While the council had previously established a transatlantic initiative on sustainable trade (TIST), there have been limited policy outcomes in this regard. Nevertheless, the focus on sustainability and green markets remains a pivotal area for future cooperation between the EU and US.
The 6th meeting of the TTC additionally spurred extended collaboration efforts on semiconductor supply chains, with a pledge to deepen information-sharing on supply chains for older ‘legacy’ semiconductors. Both the US and EU raised concerns about unfair trade practices, such as government subsidies for Chinese chip manufacturers, impacting the global market. There are also intentions to conduct surveys to assess the impact of low-price legacy semiconductor imports on national security and critical infrastructure.
Looking towards the future, the upcoming US presidential elections in November could potentially result in new trade restrictions on exports from China and the EU into the US. While the TTC has not yielded many significant policy achievements so far, it is deemed a crucial mechanism for safeguarding and promoting the Western trade alliance.
In conclusion, the EU-US Trade and Technology Council holds a pivotal role in promoting cooperation and partnership between the EU and US in the realms of trade, technology, and economic relations. Its endeavors are geared towards addressing shared challenges, fostering sustainability, and safeguarding trade security at a global level.