Transatlantic Trade &
Investment Partnership
(TTIP)
Presented to the County of Riverside
by Marin Dimitrov, Consul General of Bulgaria
In the summer of 2013, representatives of
the United States and the European Union
opened negotiations to establish the
Transatlantic Trade and Investment
Partnership (TTIP), which would deepen
the relationship between the world’s two
leading economies and create the world’s
largest free-trade area.
Background
• The EU already is the No.1 destination for US
exports and the No.1 source of all US imports
• EU-US relationship already supports a combined
13 million jobs on both asides of the Atlantic
• Some $3.9 trillion are invested in both directions
every year, representing 45% of the global GDP
• The bilateral trade in goods and services exceeds
$1 trillion every year
• TTIP can only enhance this solid performance
How will TTIP achieve this?
• By eliminating nearly all tariffs standing in the
way of the trade and investment flows
• By streamlining the regulatory regimes - tackling
those barriers which are behind the customs
border – such as differences in technical
regulations, standards and certifications
• By reducing the regulatory burden and
bureaucracy, as well as by opening up the
services and public procurement markets, which
are currently costing businesses time and money
An independent study by the
British Center for Economic Policy
Research has shown significant
benefits to the United States
economy from the implementation
of TTIP
Key potential benefits for all 50 US
states (by 2027):
• TTIP could create more than 740,000 jobs
across the United States – one new job
generated for every 160 in existence
• all states gain jobs
• all states increase their exports to the EU, the
average increase is 33% per state
• all sectors benefit from increased exports
Estimated % increase in individual state exports to the EU
post-TTIP implementation
Estimated increase in TTIP-reliant number of jobs by state
What will be the specific
benefits for California?
California and TTIP - 1
• California’s economic relationship with the
European Union is already strong, and a
successful conclusion of the Transatlantic
Trade and Investment Partnership agreement
would contribute significantly to the state’s
future economic growth.
California and TTIP - 2
• The EU purchased California goods worth $25
billion (16 percent of goods exports) in 2012
and services worth $31 billion (35 percent of
services exports) in 2011.
• Successful implementation of TTIP is
estimated to increase California exports to the
EU by 26.2 percent and could boost net
employment by up to 75,340 jobs – the
highest among all 50 US states!
Estimated Impacts of Full TTIP
Implementation on Key California Sectors - 1
Top Sectors by Export Increase:
• Motor Vehicles: +$3.3 billion
• Chemicals: +$3.2 billion
• Electrical Machinery: +$2.2 billion
• Metals and Metal Products: +$1.3 billion
Estimated Impacts of Full TTIP
Implementation on Key California Sectors - 2
Estimated Job Growth in Key Sectors:
•
•
•
•
Business Services: +15,752 jobs
Financial Services: +1,543 jobs
Non‐Electric Machinery Mfg: +1,395 jobs
Metals and Metal Products Mfg: +1,187 jobs
The bottom line….
• Road ahead of TTIP will not be easy
• Diverging opinions on issues such as
agricultural policy, public procurement etc.
• The bilateral economic benefits are significant
and worth fighting for
• Substantial potential job growth and export
gains will bring sustained economic prosperity
on both sides of the Atlantic
Thank you for your attention!
Please make your first step towards
the European Union by visiting
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Marin Dimitrov - Riverside County Economic Development Agency