Despite the difficult global economic climate, European companies have continued to make good use of the opportunities created by the European Union's trade network - the largest in the world. In 2018 this network covered 31% of Europe's trade exchanges, a figure that is set to rise significantly (to almost 40%) as more trade agreements enter into force, according to the European Commission's annual report on the implementation of trade agreements released recently. Overall, trade accounts for 35% of the EU's gross domestic product (GDP).
In 2018 EU exports to and imports from trade agreement partners showed positive developments, with a continued growth of 2% and 4.6% respectively, with a strong performance of EU agri-food exports. The EU recorded a surplus of €84.6 billion in trade in goods with its trade agreement partners, compared to its overall trade deficit with the rest of the world of about €24.6 billion.
Looking at specific sectors across agreements, the 2018 report shows that EU agri-food exports to trade partners continued to grow with an overall increase of 2.2% compared to the previous year. Exports of agri-food products to South Korea also gained 4.8 %. Also noteworthy are agri-food exports to Georgia, Moldova and Ukraine, which grew by 11% compared to 2017;
Looking at one of the recent trade agreements, the report shows that in the first full calendar year (2018) of the EU-Canada trade agreement implementation the EU Agri-food exports to Canada (accounting for 9% of total EU exports) rose by 7%.
Moreover, following intensive discussions in the joint committees created under the different trade agreements, several partner countries lifted barriers to trade, thus allowing more EU companies to benefit fully from the opportunities these agreements offer.
The report investigates also the impact of the provisions included in the dedicated 'Trade and Sustainable Development' (TSD) chapters, which are part of all modern EU trade agreements. These chapters aim at engaging with trade partners to implement international rules on labor and the environment, as incorporated in multilateral environmental agreements or International Labour Organisation (ILO) conventions.
In 2018 and 2019, the EU also took several enforcement actions under its trade agreements, including in relation to labour standards. Among other examples, the EU requested a panel following South Korea's failure to ratify ILO Conventions on workers' rights, notably freedom of association and collective bargaining.
However, the report also highlights the need to increase efforts – together with Member States and stakeholders - to raise awareness of the opportunities trade agreements offer, as well as stepping up enforcement action so the agreements deliver the intended results.
The report will now be subject to discussion with the European Parliament and Member States' representatives in the Council.
For more information: 
Daniel Rosario
Tel: +32 2295 6185
Email: daniel.rosario@ec.europa.eu