The French government will not support the Transatlantic Trade and Investment Partnership (TTIP) between the EU and US as long as a controversial stipulation is included.
France, like the UK and Germany, will block the trade deal all together if the mechanism of investor-to-state dispute settlement (ISDS) is included; EurActiv France reported.
The clause appears in most free trade agreements, and would leave France defenseless against foreign companies taking legal action against it if laws and legislation stunt profits.
“France did not want the ISDS to be included in the negotiation mandate,” France’s Secretary of State for Foreign Trade, Matthias Fekl told the French Senate. “We have to preserve the right of the state to set and apply its own standards, to maintain the impartiality of the justice system and to allow the people of France, and the world, to assert their values,” he added.
Due to this stumbling block, there will be no “significant advances” in the trade agreement, which has been a sour point in US-EU relations.
France earlier said it wouldn’t sign the TTIP as long as the US continued spying on EU allies.
The deal would set up ‘non-barrier’ trade between the world’s two biggest trading regions.The two blocs already trade $1 trillion annually, and swap $4 trillion in investment.
A controversial free trade agreement, TTIP is destined to bring down regulatory barriers. Proponents of the deal say that it will boost GDP in the EU by €100 billion and in the US by more than $100 billion, as well as create over 700,000 jobs in America. More free trade would increase investment, and widening export industries would add jobs.
“The clause appears in most free trade agreements, and would leave France defenseless against foreign companies taking legal action against it if laws and legislation stunt profits.”
gee..i cant imagine why france isnt happy..they should be grateful that multinational companies will be have more power over his country than the government themselves!
this TTIP is like a big hot poker up rammed up our you know whats..