Canadians not travelling as time running out EU trade deal

AP News
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Posted: Oct 26, 2016 9:25 PM
Canadians not travelling as time running out EU trade deal

BRUSSELS (AP) — A Canadian delegation would not be heading off to Europe late Wednesday to sign a landmark free trade deal with the European Union after Belgium failed to make decisive headway to lift a crucial veto of one of its regions.

The statement from a spokesman for Canada's International trade minister late Wednesday likely means an embarrassing cancelation of a special summit on Thursday. The move comes after Belgium's recalcitrant Francophone leaders insisted they would need more time to study and approve the latest compromise texts following talks with the Belgian national government, which desperately wants to sign the trans-Atlantic deal.

Alex Lawrence, the spokesman for the minister, said in the release that Canada is ready to sign the Canada-EU trade deal whenever Europe is ready.

Canadian Prime Minister Justin Trudeau earlier told Parliament he's prepared to take wait longer.

"We are confident that in the coming days we will see a positive outcome for this historic deal," Trudeau told Parliament.

The 28-nation EU can only sign the agreement if it has unanimity among its 28 member states and Belgium can only approve it if all its regional executives back it.

But Wallonia leader Paul Magnette said late Wednesday that his region would not be able to approve the deal in the coming hours, making it ever more unlikely the full signing ceremony with Trudeau could be held on Thursday.

"We regret it but it won't be possible to have the summit tomorrow, but nothing is impossible," he said, leaving little space for approval. Earlier, he had said that an EU-Canada summit would come "one day, but not tomorrow!"

It showed that despite the likelihood of missing the Thursday deadline, the talks with Wallonia were heading toward a compromise which would allow the signature at a later stage.

Magnette said that some details still need to be clarified, notably in the agriculture sector where he wants his farmers better protected.

If the regional leaders agree, the adjustments to assuage Wallonia would have to be vetted by the 27 other nations and then likely still have to go back to the regional francophone legislatures for approval. It makes the deadline for signature next to impossible.

If not Thursday, the summit could be postponed for later in the year, but the failure would be an embarrassment for the EU, the world's biggest trading bloc which wants to project itself as a dependable global partner.

Politicians in Wallonia, which has a population of 3.6 million compared to over 500 million for the whole EU, argue that the proposed accord would undermine labor, environment and consumer standards.

Proponents say it would yield billions in added trade through customs and tariff cuts and other measures to lower barriers to commerce. At the same time, the EU says it will keep in place the region's strong safeguards on social, environmental and labor issues.

He said Wallonia's insistence on a better deal would bolster EU standards and set a strong precedent for other trade talks between Europe and trading partners like the United States or Japan.

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Gillies reported from Toronto.