Support for regulatory cooperation

CECIMO welcomes the strong commitment of both the European Commission and the government of the United States to intensify the trade talks and aim for an ambitious and comprehensive agreement.

Today, machine tools to the value of about €2bn are shipped annually over the Atlantic. The regulatory cooperation, that brings two legal environments closer, will lead to reduced costs and increased trade for advanced manufacturing equipment, the key to producing globally competitive high value-added products.

Initial provisions for the regulatory cooperation chapter include a regular open meeting for stakeholders, allowing them to make concrete suggestions for further regulatory cooperation under the TTIP. "We are glad to read about the proposed stakeholder consultation obligation that allows the regulatory requirements to take into account changes in technologies and business models,” stated Filip Geerts, director general of CECIMO.

CECIMO supports the position of the European Commission to target technical requirements, standards and conformity assessment more in detail in the TTIP’s chapter specific to engineering. The United States are an active member of several ISO working groups for machine tools, including the working group ISO/TC 39/SC 10 on machine tools safety. The international standards should provide a straightforward way to meet the technical regulatory requirements both in Europe and in the United States at once. The two economies have a strong commitment to the most modern and highest standards of health and safety in the field of machine tools.

The European machine tool industry is dominated by SMEs who export about 50% of their production outside the EU. Companies getting involved in international trade and investment have to meet a number of additional requirements and procedures. Those can constitute serious obstacles for the SMEs who lack resources to conduct thorough research. CECIMO therefore welcomes the initiatives to help SMEs in their trade activities under the TTIP. Setting up a website where companies can find all the information they need to export to, import from or invest in the US can facilitate trade and greatly lower the uncertainty and costs incurred by SMEs.

While recognising the significant progress made during trade talks, CECIMO continues to stress the importance of addressing non-tariff barriers in the final agreement. "Facilitating trade flows in advanced manufacturing equipment and services will have a direct positive impact on the modernisation of the industrial tissue in both countries and on their global competitiveness,” concludes Jean Camille Uring, president of CECIMO and executive board member of Fives Group.