Economic declaration: The EU/US summit at Dromoland Castle at the weekend set ambitious deadlines for both the production of plans for further EU/US economic integration and for the finalising of negotiating positions for the stalled world trade talks. Mark Brennock, Chief Political Correspondent, reports.
EU and US officials have been given until next spring to draw up proposals to get rid of barriers to trade and investment between the world's two largest markets.
These include harmonising regulation of business, mutual recognition of standards and co-operation on rules to protect intellectual property.
A senior US official suggested that this initiative was an ambitious one. "The \ government has said we are thinking of taking a big step forward towards economic integration. We will take the political temperature and see what makes sense."
The summit declaration called on "stakeholders" - businesses, consumers, legislators and others on both sides of the Atlantic - "to engage in a vigorous discussion of concrete ideas on how to further transatlantic economic integration to the fullest, spur innovation and job creation and better realise the competitive potential of our economies and enterprises."
The senior US official said the aim was to create a "barrier free transatlantic marketplace".
The two blocs are each other's principal source of foreign direct investment, with the transatlantic economy generating $2.5 trillion in sales per year and employing over 12 million.
The EU and US are already working towards an "open skies" aviation agreement, a deal on joint regulation of financial markets and agreements on trade in wine, organic food and other products. On Saturday the Taoiseach and President Bush signed an agreement allowing the US GPS satellite navigation system operate compatibly with the new European Galileo system.
However, differences and tensions on trade issues remain, notably the recent World Trade Organisation decision allowing the EU to seek to impose some €4 billion worth of fines on the US for favouring US firms operating abroad by giving them favourable tax treatment.
The summit also sought to maintain the momentum in the stalled world trade talks amid concern that the imminent appointment of a new EU Commission and the November US presidential elections could stall the process. At the weekend the leaders directed their Ministers "to finalise negotiating frameworks by the end of July in order to expeditiously complete these negotiations, reduce global trade barriers and further enhance the conditions for sustained economic growth".
The world trade talks collapsed in Cancun, Mexico, last September. African states walked out because of EU demands that they open their economies more to foreign investment, while poorer countries wanted further reduction in EU farm subsidies.
The joint statement at the weekend acknowledged the concerns of the poorer countries, saying they were "on the verge of an historic opportunity to fundamentally reform trade in agriculture and recognise that progress in the agriculture negotiations will be essential to move the other core areas of the negotiations forward".
They said the outcome of the negotiations had to be "balanced" and must take into account "the needs of developing countries and ensuring the poorest countries are not left behind".