Economics, EU, Europe, latest, multipolar world, Russia
Comments 10

Russia to EU: Dump the TTIP and embrace the Eurasian Union

Translated from German by Tom Winter, for FortRuss
January 7, 2015, Deutsche Wirtschafts Nachrichten
Reposted here January 9, 2016

Russia has presented a surprising proposal for overcoming tensions with the EU, namely that the EU should renounce the TTIP free trade agreement with the United States and instead enter into a partnership with the newly created Eurasian Economic Union. A free trade zone with your neighbors would make more sense than a deal with the U.S.

Vladimir Chizhov, Russian Ambassador to the EU, surprised with a new proposal: renewal of the partnership between the EU and Russia. Chizhov suggests that the EU stop negotiating with the U.S. on the controversial TTIP free trade agreement, and opt instead to begin negotiations toward entering the Eurasian Economic Union, which came into force January 1.

Chizhov said to the EU Observer: “You really think it is wise to put so much political energy into a free trade agreement with the United States when one has a much more natural trade partner next door right in the neighborhood? At least we don’t treat our chickens with chlorine.”

Chizhov: “Our idea is to take up official contacts between the EU and the Eurasian Economic Union as quickly as possible. German Chancellor Angela Merkel spoke of this not too long ago. The EU sanctions against Russia are no hindrance.” The ambassador expressed that it would be reasonable to establish an ensemble economic space in the Eurasian region, in which prospective member states Armenia, Azerbaijan, Belarus, Georgia, Moldova, and the Ukraine could play a role.

Chizhov said that neither the sanctions, nor the low oil prices, nor the depressed condition of the rouble would jeopardize the Eurasian project. “Russia was wise enough to build up a huge reserve, which which we can resist external pressures.” In the view of the ambassador, a long-term partnership between the Eurasian Union would make sense, particularly in the energy sector.

But in the U.S. the Eurasian Economic Union is viewed as a threat. The former American ambassador in Ukraine, Steven Pifer, said on NPR that this union served only one goal, to increase Russian influence on its neighbors. “Russia is not just thinking in economic categories, but instead is trying to build its own influence in the region. By building institutions which will give Moscow more influence over Kazakhstan and Belarus, yet, since the Russian aggression against Ukraine, these lands are more cautious about agreements with Russia.”

Actually the proposal is an interesting approach. Under the sanctions against Russia and the Russian counter-sanctions, the EU is suffering much more than the Americans. Exporting to Russia and neighboring states is not just attractive, but it is a growth market. The American efforts to push the TTIP are similarly an attempt to deepen their market reach into Eastern Europe. The Americans thus have mostly countries like Poland, Bulgaria or Romania in view. There is where they see, in the mid-term, a greater potential for growth than in the mature markets of Western Europe.

Discussion of low wages will be of interest in the consideration of free trade agreement with the Eurasian Economic Union. Already, right now, many businesses are hiring workers in Eastern Europe on a large scale, since the wages are lower there. Large parts of the German automotive industry have shifted base in recent years to Eastern Europe. However it is to be expected that a free trade association with the Eurasian countries could create more jobs in Western Europe, since the resident companies will be strengthened by it. In the case of the TTIP, an independent study points to a drop of almost 600,000 jobs. In addition, it is reasonable to expect that lower social standards would be exported from the U.S. to Europe. According to the study, the U.S. would be the principal beneficiary of the TTIP.


10 Comments

  1. Seamus Padraig says

    EU + EEU would be a match made in heaven! The former has all kinds of finished goods for export, while the latter is a raw-materials power house. Just think, Europe: no more dependence on mid-east oil!

    Liked by 1 person

  2. Taking an opportunity to mix metaphors very badly indeed, I would like to say that if the EU refuses Russia’s offer, takes up with the TTIP and continues with the anti-Russia sanctions, the NATO build-up and the media propaganda bluster, Europe will be putting all its eggs into one very toxic basket and soon the chlorine-cleaned chickens will come home to roost.

    Liked by 1 person

  3. Excellent article but with the gaggle of US vassal leaders who can only act like turkeys voting for Christmas the common sense of the Russian proposal will be killed at the first opportunity !

    UNLESS – Media such “Off-Guardian” can get the truth out to the masses of sheeple & persuade them not to let their respective countries loose what little sovereignty is left to the US Corps and to stop their kids being poisoned by toxic US food products ?

    This would be a nice topic for an EU-wide referendum ? no chance of that:)

    Liked by 1 person

    • The sheeple will believe anything the Zionist controlled news media tells them, so the decisions to leave TTIP will not come from the people but by the pressure the Eurasian Union will apply to those countries still under the influence of the Zio’s

      Like

  4. Putin has declared Russia will be a GMO-free zone. US food is all about race to the bottom and corner cutting, bleached chickens, growth hormone and antibiotics stuffed and cloned livestock, GMO crops and salmon, all without labels that enable consumers to decide what to buy. Amongst its many evils, TTIP is a trojan horse for disgusting agribusiness practices that Europe needs to permanently ban, not embrace via the back door of bribing EU politicians.
    Sadly, the western media are as corrupt as EU officialdom so highly unlikely the Eurasian dream will survice US and media onslaught.

    Liked by 2 people

  5. A very sensible proposal that will go down like a bucket of cold sick in London and Washington. Still, as David Cameron promised a referendum on Europe he thought he would never have fulfill – most Tory MPs and the entire British media fully expected the party to lose the last general election – maybe the UK will have no say in what the EU does in the future.

    That said, with the Western corporate media running a massive anti-Russia campaign, and too many ex-Soviet bloc EU members becoming increasingly right-wing, I doubt the idea will get much traction. The EU has proven how democracy in action can so easily become democracy inaction.

    Liked by 1 person

  6. nexusxyz says

    Go Russia. This would be a trade arrangement that respected national interests and uniqueness. The TTIP is patently a legal straight jacket designed to favour us corporations and Washington’s empire objectives and one of which is the subjugation of the world.

    Liked by 1 person

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