European Union
Tatevik Zohrabyan
Agribusiness Teaching Center
International Trade
Fall 2002
European Union ( EU )
Abstraction
This paper is about the EU, its major policies, the cardinal aims, statute laws, instruments for implementing those policies, who the members are, and the establishments involved in the execution of the trade ends.
Cardinal word: European Union ; Mission of the EU.
Introduction
The constitution of the EU intended to work toward common ends of European states. This free trade zone or economic community was and is really successful which seeks particular intents such as political duologue, free trade and freedom of motion, economic, fiscal, and cultural cooperation. Particular attending was focused on the trade Torahs, ordinances, and other issues ( Kotler, 1999, p. 371 ) .
The cardinal aims are to maintain market unfastened, guarantee just trade, enforce the statute law objectively and transparently, guarantee trade spouses respect WTO statute law, and promote betterments to the system ( European Union ) . The EU provides sovereignty to its Members to move as independent 1s on behalf of the EU or in other words to welfare and involvement of the Union as a whole ( European Union ) .
The integrating of the EU after 2nd World War enabled the EU is to raise criterions of life, construct an internal market, launch the common currency – euro, beef up the Union & # 8217 ; s voice in the universe. To recognize these ends the EU has been implementing several trade defence instruments:
Anti & # 8211 ; dumping policy
Anti & # 8211 ; subsidy policy
Regulation on trade barriers
Protective steps.
The EU even uses a common currency, the euro pecuniary system which tend to do the trade zone more effectual and compatible in the international market ( European Union ) . The EU has such a construction that there are 5 establishments and each of them is responsible for a several aim ( European Union ) .
Today the EU is one of the influential and largest trade axis or individual markets that includes 15 member states. Those 15 member states wholly have more than 370 million consumers and history for 20 % of the universe & # 8217 ; s exports. The EU is traveling to enlarge and accept 13 European states. The EU besides intended to better the dealingss with non-member states and for this intent it planed to develop particular policies on trade with nonmember states ( Kotler, 1999, p. 371 ) .
Presents, the EU is on the fifth topographic point in front of the US and Japan. The EU is the taking participant in international market ( European Union ) .
European Union
The European Union ( EU ) was established after 2nd World War. France officially undertook the constitution of the EU proposing to make & # 8220 ; the first concrete foundation of a European federation & # 8221 ; . On May 9, 1950 the EU was created and ab initio six European states joint to the EU: Belgique, Germany, France, Italy, Luxemburg, and the Netherlands. Then 9 states joint to the EU and today the figure of the member states is 15 ( subsequently joint Denmark, Ireland, the United Kingdom, Greece, Spain, Portugal, Austria, Finland, and Sweden ) ( European Union ) .
The EU today is fixing for the accession of 13 European states & # 8211 ; Bulgaria, Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Romania, Slovenia, Slovakia, and Turkey. In order to fall in the EU, these states need to carry through the economic and political demands, which in other footings called & # 8220 ; Copenhagen criteria & # 8221 ; . Those demands are chiefly related to the followers:
Member states must be a stable democracy, esteeming human rights, the regulation of jurisprudence, and the protection of minorities ;
Member states must hold a working market economic system ;
Member states adopt the common regulations, criterions and policies that make up the organic structure of EU jurisprudence.
As these states have non yet fulfilled all the demands, they need fiscal resources or in other words they need money. The EU aids those states supplying fiscal resources to those states The EU provides sovereignty to its Members to move as independent 1s on behalf of the EU or in other words to welfare and involvement of the Union as a whole ( European Union ) .
All of these states will incorporate in order to recognize the chief aims of the EU. Those aims are:
Establish European citizenship
Ensure freedom, security and justness
Promote economic and societal advancement
Assert Europe & # 8217 ; s function in the universe.
5 establishments implement all of these aims:
European Parliament ( EP ) & # 8211 ; This represents the will of 374 million European citizens & # 8217 ; and assembles pan-European political groups that operate in Member provinces. The overall undertaking of the EP is to do and follow the Torahs with Co
uncil, to follow the budget at the terminal, and control/supervise all establishments. It is elected every five twelvemonth.
Council of the European Union & # 8211 ; This is the most influential establishment in determination devising procedure. The chief maps of this establishment is to exert the issues related to the statute law, to propose and supervise the international understandings, implementing foreign and security policy, supervise the budget of the EU with the EP and eventually to organize the activates of the Member States.
European Commission ( EC ) & # 8211 ; EC play the taking force in the Union & # 8217 ; s institutional system. It is chiefly responsible for making the initial lineation of statute law, implementing the statute law to guarantee that jurisprudence is belongings applied, and stand foring the EU in international range and subscribing trade and cooperation understandings.
Court of Justice & # 8211 ; This establishment is responsible merely the issues related to the justification. It justifies the differences that arise among Member States, EU establishments, concerns, and persons. They check whether Torahs are in the conformity with the justness or non.
Court of Auditors & # 8211 ; Its major map is to look into whether all the Union & # 8217 ; s grosss and outgos are traveling in a regular mode, harmonizing to the EU budget.
Today European Union is the leader in the international trade and with its member states it makes up the fifth of the universe trade. The EU had 4 trade defence instruments, which enables the EU to accomplish its nonsubjective related with economic and societal advancement. Besides this will take the averment of the EU & # 8217 ; s function in the universe. Those instruments are the followerss:
Anti-dumping policy, which had the significance of taking stairss to halt the procedure which enables the exporters to convey goods at such a monetary value which is lower comparison with the monetary values of the goods in the domestic market.
Anti-subsidy policy that intended to curtail or to the full extinguish the imports of those goods that in the 3rd state of beginning had low monetary values. Those monetary values are unnaturally kept low by public subsidies.
Regulations on trade barriers & # 8211 ; above mentioned policies resulted reinstating impermanent usage responsibilities on the imports that are in the inquiry.
Protective steps & # 8211 ; if the sum of the imported goods increases really quickly which hurt the national manufacturers, there should be undertook protective steps such as curtailing the imports.
The EU to do the integrating more efficient uses these trade defence instruments. Since today they achieved stableness, peace and economic prosperity. These resulted in the rise of life criterions, constructing an internal market, launch the euro, and the beef uping the Union & # 8217 ; s voice in the universe ( European Union ) .
Today the EU has 15 members numbering more than 370 million consumers, which account about 20 % of the universe exports. Subsequently on the EU & # 8217 ; s mission is to enlarge and include more states. Today there are 13 candidate states that will increase the figure of Member states to 28, which will hold wholly 450 million consumers ( Kotler, 1999, p. 371 ) .
Anticipated Analysiss and Decision
Although the EU is the 5th major trade axis in the universe, there are some weak sides the EU should see really carefully. At first the EU has to put particular policies refering the trade with nonmember states to avoid or procure from expected foreigners & # 8217 ; barriers. Alternatively the EU can ordain such policy that will intensify the relationships with nonmember states. Equally shortly as 13 states enter into this free trade zone or axis, the EU will go more successful and will increase exports to back up member states & # 8217 ; consumers. Yet, nevertheless much states and parts integrate their trading policies and criterions, each state still has alone characteristics that must be understood. A state & # 8217 ; s preparedness for different merchandises and services and its attraction as a market to foreign houses depend on its economic, political & # 8211 ; legal, and cultural environments. The EU became driving force into the international market for member states. Such sort of economic communities are needed to increase today & # 8217 ; s economic growing and do states better off.
& # 1057 ; & # 1087 ; & # 1080 ; & # 1089 ; & # 1086 ; & # 1082 ; & # 1083 ; & # 1080 ; & # 1090 ; & # 1077 ; & # 1088 ; & # 1072 ; & # 1090 ; & # 1091 ; & # 1088 ; & # 1099 ;
European Union. & # 8220 ; Trade policy instruments & # 8221 ; . Brussels. October 30, 2002.
hypertext transfer protocol: //europa.eu.int/comm/trade/policy/index_en.htm
European Union. & # 8220 ; The establishments of the brotherhood & # 8221 ; . Brussels. November 2, 2002. hypertext transfer protocol: //europa.eu.int/comm/dg10/publications/brochures/docu/10lecons/txt_en.html # 2
European Union. & # 8220 ; Enlargement & # 8221 ; . Brussels. November 1, 2002. hypertext transfer protocol: //europa.eu.int/comm/enlargement/enlargement.htm
Marketing Management, Regional Free Trade Zone, Chapter 12 Planing planetary market offerings, p. 371, USA, 1999 ) .
Kotler Ph. & # 8220 ; Marketing Management. & # 8221 ; Prentice-hall, Inc. New Jersey, 1999. November 12, 2002.
