EU/China commercial relationship & market economy status: David Martin & Judith Kirton-Darling

EN - European Parliament Plenary - Debate on commercial relationship between EU and China and market economy status: remarks by S&D coordinator David Martin (S&D, UK) & Judith Kirton-Darling (S&D, UK), blue card question to Judith Kirton-Darling by Jonathan Arnott (ECR/UKIP, UK) and answer by Judith Kirton-Darling, and global answer from Commissioner Cecilia Malmström - 01.20.2016 - European Parliament, Strasbourg. David Martin (S&D, UK), on behalf of the S&D Group: "Mr President, we have known for 15 years that a decision on market economy status for China had to be made this year, yet the Commission appears to have made no decision and to have no clear strategy. Now that WE have woken the Commission from its stupor, I hope that today will mark the start of a serious discussion with the Parliament, with the Member States, with European industry and trade unions – and as well as with the Chinese Government – on where we go from here. We want good relations with China, and we understand that China feels that in December, market economic status should automatically be granted to it. But China should also understand that in 2001 we had a real expectation that by 2016 China itself would be a market economy. And it's clear that it's not, and the Commissioner herself has made it clear that China is not a market economy. Therefore, there can be no automatic granting of market economic status with China. We cannot allow China to solve its overcapacity by dumping on the European market. Steel might be capturing the headlines at the moment, but, as the Commissioner again points out, we have 52 ongoing investigations on dumping, so the impact is much wider than just the steel industry. It is NOT – and we need to keep saying this as the European Union – it is NOT protectionist to defend yourself against unfair competition. The EU desperately needs a modern, effective regime of trade defence instruments. The existence of such a scheme is a sine qua non for my group supporting market economic status for China." Judith Kirton-Darling (S&D, UK): "Mr President, we have known that this decision on market economy status was coming for 15 years, since China joined the WTO, but our national governments have wilfully ignored the implications for our trade defence instruments. Now I have heard no one here suggesting that China is a market economy. So what is this really about? Well, my constituents across Teesside – steel workers who have lost their jobs in recent months – know only too keenly the damage that dumping is doing. Our trade defence instruments are insufficient to deal with Chinese overcapacity, never mind the slowdown which is coming. We have been waiting for years for national governments to agree the modernisation necessary for these vital tools. Britain is leading a blocking minority in the Council, and as UK ministers cry their crocodile tears for our steel industry at home, abroad they give valuable contracts to the Chinese investors and block the tools needed to allow a fair global market. Strengthening our trade defence instruments must be the priority now." (The speaker agreed to take a blue-card question under Rule 162(8)) Jonathan Arnott (EFDD, UK), blue-card question: "As a fellow Member for North-East England, would you join me in praising the fact that, in the North-East, a higher percentage of our exporters export to China than in any other region in the country? However – although you don't necessarily accept my view that the EU is part of the problem, not the solution – would you also share my concern that, across the rest of the UK, metalliferous ores and scrap metal are in the top five British exports to China, especially given the recent decimation of the North-East’s steel industry?" Jude Kirton-Darling (S&D, UK), blue-card answer: "I think that the EU IS part of the solution in respect to the situation in the steel industry. And I think the proposal around the circular economy package, looking at recycling targets for metals, is actually part of the potential revival for regions like Teesside and other steel and metal regions. So, on the contrary, I think that there is a lot that the EU can do, but ultimately we need fair trade, and that means proper trade defence." Global Answer by Commissioner Cecilia Malmström. © Frédérick Moulin 2016 - EU2016 - European Parliament - All rights reserved.