Introduction to the EU

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Introduction to the EU

• Parallels with ASEAN

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European Union

• Intergovernmental and Supranational Union
• 25 Democratic Member States
• European Continent

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European Union

• Common Policies
• Customs Union
• Single Currency
• Common Agricultural Policy
• Common Trade Policy
• Common Fisheries Policy
• Common Foreign and Security Policy

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EU Member States
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(No Transcript)
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25 Member of the EU
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ASEAN Members States
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EU Single Market

• The idea behind the single market is
• simplicity itself treat the EU as one territory
• where people, money, goods and
• services flow freely to stimulate competition
• and trade, and improve efficiency.
• The increased choice of goods
• and services will raise quality and
• cut prices. It is the basic recipe for
• prosperity.

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EU Single Market

• Customs Union
• Freedom of Movement for 4 factors of
  Production
• Goods
• Services
• Capital
• Labour

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EU Single Market

• Established Through a Trade Pact
• Differs from Common Market
• Removes Physical Barriers
• Borders
• Standards
• Taxes

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EU Single Market

• Core of the Union
• How Does it Work

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EU Single Market

• EU Making it Easier to Save and Invest
• Some Way to Go!

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ASEAN Economic Community

• Similar to EU Model
• Integration by 2015
• HLTF to Deliver

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Free Movement of Goods

• Cornerstone of Internal Market
• Mutual Recognition
• Harmonisation

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• The result of a huge effort in 1985-1992 to
  remove technical barriers to trade between the EU
  Member States
• Manufacturers have unrestricted access to a
  market of more than 450 million consumers
• without export bureaucracy and lengthy and
  expensive re-testing

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• The corner stone of the EU single market is the
  principle of mutual recognition
• A Member State cannot prohibit the sale on its
  territories of goods that are lawfully produced
  and marketed in another Member State
• even if those goods are produced to technical or
  qualitative specifications that differ from those
  required of its own goods
• Cassis de Dijon

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Mutual recognition

• The principle of mutual recognition equally
  applies to products
• Originating in the EU,
• provided that they are legally manufactured and
  marketed
• Coming from third countries
• provided that they are legally imported

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EU harmonised legislation

• When national regulations have the same aim
• ? the mutual recognition principle applies
• When aims diverge
• When risk levels are high
• ? technical regulations are harmonised at EU
  level

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Scope

• Risk-based measures for families of products
• Electrical equipment
• Mechanical devices
• Radio and telecommunications equipment
• Medical devices
• Personal protective equipment
• Gas appliances
• Pressure vessels
• Toys
• Recreational crafts
• Construction products

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New approach - Legislation

• The directives define
• essential requirements with regard to public
  safety, health and environmental protection,
  defined in general terms
• conformity assessment procedures
• proportionate to the level of risk
• low manufacturers declaration
• high intervention of a third party for
  inspection, certification, and testing
• Rules for affixing the CE marking

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The CE Marking

• Affixed by manufacturer on own responsibility
  meaning that
• the product meets the legal requirements
• it is presumed to be marketable
• The CE marking is not a mark of origin and not
  (always) a quality mark!

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New approach Role of stakeholders

• European standardisation bodies are responsible
  for defining the harmonised standards
• The use of harmonised standards gives a
  presumption of conformity with the essential
  requirements but remains voluntary
• Industrialists, consumers, regulators,
  accreditors participate in the standard-making
  process

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New approach Role of stakeholders

• Manufacturers have to ensure that their products
  meet the essential requirements
• Member States authorities are responsible for
  market surveillance
• Member States must control that the products on
  their market comply with the essential
  requirements. They have to ensure that products
  placed on the market do not endanger health and
  safety

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A system based on trust

• Trust in economic operators
• as post-market surveillance replaces pre-market
  controls
• Trust between Member States
• convincing and effective market surveillance is
  needed
• system is based on good administrative
  co-operation

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A system based on trust

• Trust in the quality infrastructure
• competence of the conformity assessment bodies
• Trust in the CE mark
• should not be used abusively

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and public conviction thatproducts are safe
Results of the low voltage directive
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More information

• ENTR website
• http//europa.eu.int/comm/enterprise/regulation/in
  dex_en.htm
• DG Trade Expanding exports Help Desk
• http//export-help.cec.eu.int

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Benefits of EU

• Domestic Market for All
• Increased GDP
• Greater Competition
• Eliminate Anti Competitiveness