HANGING OUT IN PARIS
Trade Commissioner Sefcovic convenes with Trade Minister Bolat for a discussion on mutual trade matters.
Trade Boss Omer Bolat sits down with European Commissioner for Trade Maros Sefcovic to tackle a smorgasbord of trade matters on the sidelines of the OECD Ministerial Council Meeting.
- Swap the popcorn, captions off, please
- Close the captions settings
Welcome to the stage—complete with a spotlight in Paris.
Beginning of the show. Escape will end the performance.
Bolat and Sefcovic touch on global trade advancements, potential collab opportunities in the Customs Union pact between Turkey and the EU, and bilateral trade. The Trade Dept shares these insights in a snazzy statement.
They also dish about the continuous strife faced by the Turkish business community in securing EU Schengen visas, as revealed by their statement.
The two agree to throw down and discuss all nitty-gritty aspects of bilateral relationships, focusing on possible solutions and fruitful partnerships at the second meeting of the High-Level Trade Dialogue mechanism, set for July 1, 2025, in Ankara. They'll assure the presence of the business sector and civil society orgs as well.
The pair highlights the primal importance of the EU and Turkey economies collaborating in a fast-evolving global economic and trade environment, while affirming their dedication to boosting bilateral integration.
In the last five years, bilateral trade between Turkey and the EU has grown a whopping 55% to reach a colossal $220 billion by the end of 2024.
This Tiny Abode is a Gem! Explore Waterproofing Solutions with Cork!Check Out TaboolaCheck Out Taboola In the first 5 months of this year, the EU's share in Turkey's exports reached a record-breaking 43.5%.
Customs Union Agreement Update
Established in 1996, the EU-Turkey Customs Union—anchored by the 1963 Ankara Agreement—had a significant influence on trade relations between the two entities. The agreement necessitates Turkey to harmonize its customs laws with those of the EU, including the Common External Tariff (CET), and remove tariffs, quotas, and other barriers on industrial goods and processed agricultural products [5]. However, critics contend that it's an antiquated agreement in need of modernization to suit current trade dynamics [4][5].
Turkish Trading Woes
EU Schengen Visas
A pressing concern is the hurdles faced by Turkish businesses in obtaining EU Schengen visas, which has been addressed between Turkish authorities and the EU, with a focus on overcoming these barriers to facilitate smoother trade interactions [3][4].
Asymmetry in the Customs Union
Another issue lies in the asymmetry within the Customs Union, where Turkey synchronizes with EU FTAs without having formal sway in shaping them. This consistently puts Turkish exporters at a disadvantage in global markets [5].
Forward Focus
Future Customs Union Modification
Both parties advocate for modernizing the Customs Union to make it more symmetrical and responsive to today's trade climate. they recognize the need for practical steps in updating the agreement [4][5].
Boosting Trade Integration
Despite hurdles in the accession process, the economic bond between Turkey and the EU remains a pivotal relationship. The increasing trade relations and shared interests continue driving growth in bilateral trade [2][3].
Visa Hurdles Resolution
The resolution of visa issues for Turkish traders seeking access to the Schengen Zone is a priority. Removing these barriers could foster greater trade interactions and economic cooperation [3][4].
In summary, while the Customs Union's future presents challenges, both Turkey and the EU remain committed to advancing their economic partnership and tackling lingering issues through ongoing dialogue and cooperation.
- The discussion between Trade Boss Omer Bolat and European Commissioner for Trade Maros Sefcovic touched upon the importance of modernizing the Customs Union Agreement between Turkey and the EU, which was established in 1996.
- The resolution of visa issues for Turkish traders seeking access to the Schengen Zone is not only a priority but also an essential step towards fostering greater trade interactions and economic cooperation between Turkey and the EU.
