Dáil Éireann Debate, Tuesday - 30 May 2017
628. Deputy Niall Collins asked the Minister for Jobs, Enterprise and Innovation her views on the recent European Court of Justice decision and the possible impact on existing EU trade agreements and future ones (details supplied); and if she will make a statement on the matter. [25307/17]
View answerThe opinion of the ECJ was sought in relation to the competence of the European Union to sign and conclude the EU Singapore Free Trade Agreement. The ECJ’s Opinion issued on 16 May 2017, and found that the Free Trade Agreement between the European Union (EU) and the Republic of Singapore (EUSFTA) cannot be signed and concluded by the EU alone: it has to be signed and concluded both by the EU and by each of its Member States, i.e. that it is a ‘Mixed Agreement’.
The Opinion found that some aspects of the agreement fall within the EU’s exclusive competence while other aspects will require additional approval from national and regional legislatures. These are referred to as ‘shared competences’.
The competences shared between the EU and the Member States are provisions on investment protection in so far as they relate to non-direct foreign investment (i.e., portfolio investments); and provisions on Investor-State Dispute Settlement (ISDS).
The Opinion means that those aspects of a trade agreement in respect of which the EU does not have exclusive competence, cannot be applied until ratified by Member States according to the requirements of their national law.
Consideration must now be given by both Member States and the EU Commission as to whether existing agreements which have yet to be ratified, or current agreements, which are under negotiation, should be concluded as ‘Mixed’ or ‘EU-only’ agreements. My Department is currently examining the Court's judgement including its implications for the ratification of future EU trade agreements.
