European Parliament 2019-2024 Committee on International Trade 2019/0273(COD) 5.6.2020 AMENDMENTS 16 - 63 Draft report Marie-Pierre Vedrenne (PE647.001v02-00) on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EU) No 654/2014 of the European Parliament and of the Council concerning the exercise of the Union’s rights for the application and enforcement of international trade rules Proposal for a regulation (COM(2019)0623 – C9-0197/2019 – 2019/0273(COD)) AM\1206492EN.docx PE652.575v01-00 EN United in diversityEN AM_Com_LegReport PE652.575v01-00 2/27 AM\1206492EN.docx EN Amendment 16 Reinhard Bütikofer Draft legislative resolution Citation 4 a (new) Draft legislative resolution Amendment - having regard to its Resolution on the Crisis of the WTO Appellate Body of 28 November 2019 (2019/2918, RSP), Or. en Amendment 17 Bernd Lange, Agnes Jongerius, Joachim Schuster, Paolo De Castro, Kathleen Van Brempt, Inma Rodríguez-Piñero, Raphaël Glucksmann, Costas Mavrides Draft legislative resolution Citation 5 a (new) Draft legislative resolution Amendment - having regard to opinion 2/15 of the European Court of Justice, Or. en Amendment 18 Bernd Lange, Agnes Jongerius, Joachim Schuster, Paolo De Castro, Kathleen Van Brempt, Inma Rodríguez-Piñero, Raphaël Glucksmann, Costas Mavrides Proposal for a regulation Citation 1 a (new) Text proposed by the Commission Amendment - having regard to opinion 2/15 of the European Court of Justice, Or. en AM\1206492EN.docx 3/27 PE652.575v01-00 EN Amendment 19 Bernd Lange, Agnes Jongerius, Joachim Schuster, Paolo De Castro, Kathleen Van Brempt, Inma Rodríguez-Piñero, Raphaël Glucksmann, Costas Mavrides Proposal for a regulation Recital 1 a (new) Text proposed by the Commission Amendment (1a) Opinion 2/15 of the Court of Justice of the European Union1а provided clarity regarding the question of competences covered by comprehensive trade agreements. That opinion clarifies, inter alia, that provisions covered by Trade and Sustainable Development chapters fall within the exclusive competence of the Union and that the goal of sustainable development forms an integral part of the common commercial policy. __________________ 1а ECLI:EU:C:2017:376. Or. en Amendment 20 Bernd Lange, Agnes Jongerius, Joachim Schuster, Paolo De Castro, Kathleen Van Brempt, Inma Rodríguez-Piñero, Raphaël Glucksmann, Costas Mavrides Proposal for a regulation Recital 2 a (new) Text proposed by the Commission Amendment (2a) Dispute settlement provisions, including in regional and bilateral trade agreements, might lack the specificity necessary to adjudicate disputes effectively, necessitating a reliance on this Regulation. Or. en PE652.575v01-00 4/27 AM\1206492EN.docx EN Amendment 21 Reinhard Bütikofer Proposal for a regulation Recital 4 a (new) Text proposed by the Commission Amendment (4a) The Union insists on the primacy of international trade law, as administered by the WTO and enforced under Article 23 of the WTO Agreement, and will cooperate in all endeavours aiming to reform the WTO Dispute Settlement Mechanism in order to ensure the appropriate functioning of the WTO’s Appellate Body. Or. en Amendment 22 Reinhard Bütikofer Proposal for a regulation Recital 4 b (new) Text proposed by the Commission Amendment (4b) By ...[At the latest one year following the entry into force of this Regulation], the Commission should report to the European Parliament and to the Council about ongoing developments in the practice of international trade dispute settlements and its activities in reforming the Appellate Body of the WTO. Or. en Amendment 23 Helmut Scholz AM\1206492EN.docx 5/27 PE652.575v01-00 EN Proposal for a regulation Recital 5 Text proposed by the Commission Amendment (5) In the same vein, a similar situation (5) In the same vein, a similar situation may arise under other international trade may arise under other international trade agreements, in particular regional or agreements, in particular regional or bilateral agreements, where a third country bilateral agreements, where a third country does not cooperate, as necessary, for the does not cooperate, as necessary, for the dispute settlement to function, for example dispute settlement to function, for example by failing to appoint an arbitrator and by failing to appoint an arbitrator, or by where there is no mechanism foreseen to failing to cooperate in the setting up of a secure the functioning of dispute settlement panel of experts with regard to the in this situation. settlement of disputes linked to labour and sustainability commitments, and where there is no mechanism foreseen to secure the functioning of dispute settlement in this situation. Or. en Amendment 24 Helmut Scholz Proposal for a regulation Recital 5 a (new) Text proposed by the Commission Amendment (5a) The Union considers the content and commitments in the Trade and Sustainable Development chapters of its trade agreements, and of its Association Agreements as binding. Or. en Amendment 25 Helmut Scholz Proposal for a regulation Recital 5 b (new) PE652.575v01-00 6/27 AM\1206492EN.docx EN Text proposed by the Commission Amendment (5b) The Union remains committed to a multilateral approach to international dispute settlement, rules-based trade, and international cooperation to achieve the United Nation‘s Sustainable Development Goals. Or. en Amendment 26 Anna-Michelle Asimakopoulou, Christophe Hansen, Seán Kelly, Daniel Caspary, Danuta Maria Hübner, Massimiliano Salini, Iuliu Winkler Proposal for a regulation Recital 6 Text proposed by the Commission Amendment (6) In the face of blockage of dispute (6) In the face of blockage of dispute settlement, the Union will be unable to settlement and in the absence of a enforce international trade agreements. definitive judicial ruling, the Union will be Therefore, it is appropriate to extend the unable to enforce international trade scope of Regulation (EU) No 654/2014 to agreements. Therefore, it is appropriate to such situations. extend the scope of Regulation (EU) No 654/2014 to such situations. Or. en Amendment 27 Anna-Michelle Asimakopoulou, Christophe Hansen, Seán Kelly, Daniel Caspary, Danuta Maria Hübner, Massimiliano Salini, Iuliu Winkler Proposal for a regulation Recital 7 Text proposed by the Commission Amendment (7) To this end, the Union should be (7) To this end, the Union should be able to expeditiously suspend obligations able to expeditiously suspend obligations under international trade agreements, under international trade agreements, including regional or bilateral agreements, including regional or bilateral agreements, when effective recourse to a binding when effective recourse to a binding AM\1206492EN.docx 7/27 PE652.575v01-00 EN dispute settlement mechanism is not dispute settlement mechanism is not possible because the third country has possible because the third country has rendered it impossible for the Union to do rendered it impossible for the Union to do so. so, provided the Union has appropriately challenged those measures in front of the relevant dispute settlement body. Or. en Amendment 28 Helmut Scholz Proposal for a regulation Recital 7 Text proposed by the Commission Amendment (7) To this end, the Union should be (7) To this end, the Union should be able to expeditiously suspend obligations able to expeditiously suspend obligations under international trade agreements, under international trade agreements, including regional or bilateral agreements, including regional or bilateral agreements, when effective recourse to a binding when effective recourse to a binding dispute settlement mechanism is not dispute settlement mechanism, including possible because the third country has on commitments arising from the Trade rendered it impossible for the Union to do and Sustainable Development chapter of so. an agreement, is not possible because the third country has rendered it impossible for the Union to do so. Or. en Amendment 29 Tiziana Beghin Proposal for a regulation Recital 7 Text proposed by the Commission Amendment (7) To this end, the Union should be (7) To this end, the Union should be able to expeditiously suspend obligations able to expeditiously suspend obligations under international trade agreements, relating to goods, services or in the sector including regional or bilateral agreements, of intellectual property rights under when effective recourse to a binding international trade agreements, including dispute settlement mechanism is not regional or bilateral agreements, when PE652.575v01-00 8/27 AM\1206492EN.docx EN possible because the third country has effective recourse to a binding dispute rendered it impossible for the Union to do settlement mechanism is not possible so. because the third country has rendered it impossible for the Union to do so. Or. en Amendment 30 Emmanuel Maurel Proposal for a regulation Recital 7 a (new) Text proposed by the Commission Amendment (7a) In response to climate change and social dumping, the chapters on trade and sustainable development and the protection of workers’ rights should occupy a central place in international trade agreements and be binding. These chapters on trade and sustainable development and the protection of workers’ rights should be included within the scope of the commercial policy measures which the Union can take in the event of a manifest breach by a third country. This would strengthen the deterrent effect of the regulation and guarantee an immediate response by the EU designed to safeguard its interests and values. Or.