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EUROPEAN SECURITY AND STABILITY IN A COMPLEX GLOBAL ORDER – THE CASE OF NEIGHBOURHOOD POLICY EUROPEAN SECURITY AND STABILITY IN A COMPLEX GLOBAL ORDER – THE CASE OF NEIGHBOURHOOD POLICY Edited by: Ewa Latoszek, Magdalena Proczek, Małgorzata Dziembała, Anna Masłoń-Oracz, Agnieszka Kłos Warsaw 2017 The monography is published within the scope of the “Centre of Excellence at Warsaw School of Economics (CEWSE) Project on European Union’s Security and Stability in a new Economic, Social and Geopolitical Settlement”, co-funded by European Commission within the Erasmus+Programme – Jean Monnet Activities (Project Number 574518-EPP-1-2016-1-PL-EPPJMO-CoE) This is the first volume of the series of publications within the abovementioned Project. The book also reflects the results of the resarch done within the rojectP by National Science Centre „Zrównoważony rozwój a globalne dobra publiczne w teorii i praktyce organizacji międzynarodowych” (“Sustainable development and the global public goods in theory and practice of International Organizations”) – Decision No.: DEC-2012/07/B/HS4/00309. R e v i e w e r s Professor Joan Horga, University of Oradea Professor Tadeusz Sporek, University of Economies in Katowice Piotr Stolarczyk, PhD Editorial cooperation and proofreading Magdalena Daniel Cover design Agnieszka Miłaszewicz © Copyright by Szkoła Główna Handlowa w Warszawie (Warsaw School of Economics) and Dom Wydawniczy ELIPSA Warsaw 2017 ISBN 978-83-8017-184-8 Typesetting and printing by: Dom Wydawniczy ELIPSA ul. Inflancka 15/198, 00-189 Warszawa tel./fax 22 635 03 01, 22 635 17 85 e-mail: [email protected], www.elipsa.pl Contents Introduction . 7 Part I: The Concept of European Integration and the Role of the EU in the Global Order . 13 Willem Molle European Integration; Past Performance, Present Challenges, Future Action . 15 Rafał Riedel Differentiated Integration and the European Union’s Neighbourhood . 30 Ewa Latoszek, Agnieszka Kłos The European Union as a Global Partner, with Particular Focus on its Actions for the Least Developed Countries . 38 Aleksandra Szczerba-Zawada The European Union – from the Platform for Economic Cooperation to the System of Human Rights Protection . 50 Part II: The European Neighbourhood Policy: A Need for Evolution or Revolution? . 65 Magdalena Proczek, Ewa Osuch-Rak, Joanna Surała The European Neighbourhood Instrument as a New Tool for the Implementation of the European Neighbourhood Policy . 67 Tomasz Stępniewski European Union, Ukraine, Russia and the Minsk Ceasefi re Negotiations . 83 Wanda Dugiel European Union Neighbourhood Policy and Relations with Russia . 98 Anatoliy Kruglashov Turbulent Neighbourhood: Ukraine and the EU Relations under Ongoing Pressure . 116 Gaga Gabrichidze Monitoring and Dispute Settlement Mechanisms in the Association Agreements with Georgia, Moldova and Ukraine . 129 Part III: EU Trade & Investment Policy: Engine for Growth and Job Creation? The Economic Effects of New FTAs Generation – How to Assess Their Effects? . 141 Aleksandra Borowicz Ukraine and the European Union. Trade Benefi ts Offered by Deeper Integration . 143 Nico Groenendijk Implementation of DC-FTAs in the EU Eastern Partnership: the Dynamics of Costs and Benefi ts of Association . 153 Lenka Fojtikova The Connectedness of the European Union and China through the Multilateral Trade System . 166 Małgorzata Dziembała Trade and Investment Cooperation between the European Union and Mercosur and Perspectives for its Development . 178 Anna Masłoń-Oracz, Michał Jasiński EAC – EU Economic Partnership Agreement (EPA) – the Domestic Market Recapturing Strategy – the Rwandese Approach . 192 Andrea Éltető, Katalin Antalóczy National Trade and FDI Policies in the Era of Global Value Chains – the Example of the Visegrad Countries . 202 Part IV: The EU External Policy at a Crossroads Facing New Challenges and Threats from the East and Mediterranean Region . 217 Olga Barburska EU External Policy at a Crossroads: Facing New Challenges from the East . 219 Constantinos Koliopoulos From Imperial Backwater to Strategic Minefi eld: the Mediterranean and the EU . 235 Artur Adamczyk Quo Vadis Turkey – Is this the End of European Direction in Turkey’s Foreign Policy? . 250 Introduction The variety of presently occurring economic and political processes and phenomena contribute to continuous changes in world economy, affecting its subjective structure and the changes in the relations and co-dependencies between its subjects. Globalisation is undoubtedly one of such processes, as it affects the positions of countries and international organisations within global economy. It is a multidimensional process, connected to the intensifi cation of relations both on the economic grounds, resulting from accelerated fl ow of goods and services, technologies, capital, workforce, and on the political grounds. The dynamic development of globalisation has been happening under the infl uence of ICT technologies, facilitating the reduction of the costs of production factors movement and increasing their mobility. The distribution of benefi ts resultant from this process is disproportional, as it strengthens the position of some countries and regions, at the same time weakening the importance of economic and political centres functioning to date as its leaders. A growing importance of new centres can be observed on the global scene – Asian countries, including China, are coming into strength and affecting the positions of the economic powers to date, such as the European Union and the USA. A complicated pattern of economic and political relations is being formed, and it is necessary to ensure that proper balance is kept. A new global order is being introduced, resultant from these particular relations, the existing connections and interferences occurring among its actors. Apart from that, the process of globalisation facilitates the intensifi cation of the economic integration processes. The international groups aiming at strengthening their positions in the global economy, as well as their spheres of infl uence, are implementing new inter-state agreements of economic and political character, thus affecting the global structure of power and co-dependencies, together with the changes occurring within these structures. The European Union must continually take up actions to provide stability and European security in the increasingly more complicated global order. Ensuring stability in the neighbouring regions through the European Neighbourhood Policy is of particular importance. This multithreaded issue was undertaken in the research carried out by Centre of Excellence 8 Introduction at Warsaw School of Economics – CEWSE on European Union’s Security and Stability in a new Economic, Social & Geopolitical Settlement and its partners, scientists representing a wide range of scientifi c centres, including international ones. The research focuses on challenges regarding: uniting or divisive history, transformations of contemporary European countries, European culture, national cultures, innovativeness and creativity of economy, science, migration crisis, refugee crisis, the relations between the EU and the Russian Federation, the crisis in Ukraine, energy security, public security, sustainable growth, social solidarity, demographic changes, Brexit, institutional crisis in the EU, the future of the EU, and more. As a signifi cant actor in global economic and political relations, the EU holds an important economic position, intensifying the pre-existing relations with third countries, organisations and groupings. It is very active in external contacts, negotiating and forming transatlantic agreements, with Comprehensive Economic and Trade Agreement (CETA) between the EU and Canada as an example. The Transatlantic Trade and Investment Partnership (TTIP), whose intended aim was to create a free trade zone between the biggest players – the EU and the USA – previously under negotiations, has been suspended for the time being. Nevertheless, talks are being held as regards deepening the relations between the EU and MERCOSUR, and creating a free trade zone. The new transatlantic agreements, signed or undergoing negotiations, surpass the traditionally accentuated trade relations, covering also the issues of investment, intellectual property rights, legal regulations and standards, as well as regulating other spheres of socio-economic life, which in turn causes the process of negotiating and fi nalising such agreements is prolonged and complicated. The EU also intensifi es its relations with the dynamically developing African continent, hoping to mark its presence there next to other, for example Chinese, investors. Another dimension of external economic and political relations are the developing alliances with Asian countries, which constitute another strategic aim of the EU. The EU undergoes transformations from its very beginning, due to both the processes of expanding and deepening. The latest expansion of the EU took place on 1st July 2013, when Croatia became a new Member State. At the same time, the process of deepening mutual relations was advancing. Thus, the structure of the EU is very dynamic. Currently, the EU is facing numerous challenges of economic, political and social character. However the common values which accompanied the establishment of this organisation and which constitute the foundation of its unity should Introduction 9 be supported through realizing agreed-upon operations. Some countries constitute the Eurozone, while other remain outside this hub