IR313 EU AS A GLOBAL ACTOR

EU AND RUSSIA

EU-RUSSIA RELATIONS

• The Russian Federation is one of the most important partners for the European Union• A key priority of the European Union is to build strong strategic partnership with Russia

based on a solid foundation of mutual respect. • Russia is the largest neighbour of the EU that was brought even closer by the union’s

2004 and 2007 enlargements. • The 2003 EU Security Strategy highlights Russia as a key player in geo-political and

security terms at both the global and regional level.

EU- RUSSIA RELATIONS• Russia and the EU Member States are all members of the United Nations, the

Organisation for Security and Cooperation in Europe (OSCE) and the Council of Europe

• The EU and Russia have an extensive dialogue on political issues around the world, including the resolution of conflicts

• (Council of Europe is a regional intergovernmental organisation whose stated goal is to promote human rights, democracy, and the rule of law in its 47 member states, covering 820 million citizens. The Council of Europe cannot make binding laws).

PCA• 1989 - Agreement on Trade and Commercial and Economic Cooperation

• 1994 - Partnership and Cooperation Agreement (the PCA) (came into force on 1 December 1997 )

The PCA, concluded for an initial duration of 10 years, was extended automatically after 2007.

• The PCA is based upon the following principles and objectives: • promotion of international peace and security• support for democratic norms as well as for political and economic freedoms• It is based on the idea of mutual partnership aimed at strengthening political, commercial,

economic, and cultural ties.

PCA

Institutional framework for regular consultations between the European Union and the Russian Federation:

• Summits of Heads of State/Heads of Government

• Permanent Partnership Council (PPC) at Ministerial level

• Meetings at senior officials and expert level

• the EU-Russia Parliamentary Cooperation Committee

FOUR COMMON SPACES

• May 2003 - the EU and Russia agreed to reinforce their cooperation by creating in the long term four ‘common spaces’ within the framework of the Partnership and Cooperation Agreement and on the basis of common values and shared interests.

FOUR COMMON SPACES• At the centre of today’s EU-Russia relations is the implementation of the EU-Russia Common

Spaces, which were agreed at the EU-Russia St. Petersburg Summit in May 2003.

• The four ‘common spaces’ cover:

• • Economic issues, including the environment.

• • Freedom, Security & Justice.

• • External Security.

• • Research & Education, including cultural aspects.

• The Moscow Summit in May 2005 agreed to develop the instruments to put these common spaces into effect. These ‘road maps’ set out specific objectives, and specify the actions required.

POLITICAL RELATIONS

• The role of the European Delegation involves reflecting upon political events, developments and trends within Russia, as well as between the EU and the Russian Federation, while at the same time supporting the EU-Russia political dialogue.

•The Delegation thus monitors political life in the country, including issues relating to the areas of human rights, justice, liberty and security, and developments in Russia's foreign (and defence) policy.

POLITICAL RELATIONS

• In the current context, the Delegation aims at establishing understanding and common ground with Russia on the Ukrainian crisis. The current situation in Ukraine has hindered EU – Russia relations.

• The illegal annexation of Crimea and the conflict in Eastern Ukraine have seriously affected the bilateral political dialogue.

• As a result, some of the mechanisms of cooperation are temporarily frozen and sanctions directed at promoting a change in Russia's actions in Ukraine have been adopted.

• However, the EU hopes to re-establish intensive bilateral political dialogue with Russia.

• Indeed, Russia remains a natural partner for the EU and a strategic player combating the regional and global challenges.

EU SANCTIONS AGAINST RUSSIA

• Why?

• Violation of Ukrainian sovereignty and territorial integrity

• Illegal annexation of Crimea and Sevastopol

• Inflow of fighters and weapons from Russia territory into Ukraine

• (sanctions refers to a threatened penalty for disobeying a law or rule)

DIPLOMATIC

• Negotiations and new agreements between Russia and EU suspended

• EU Russia Summit suspended

• Visa facilitation dialogue suspended

• Suspension of bilateral and regional cooperation programmes

ECONOMIC

• Limiting access to EU capital markets for long term loans

• No new operations in Russia financed by European Investment Bank and European Bank for Reconstruction and Development

ARMS AND ENERGY

• Embargo on arms trading

• Export ban for use goods for military means

• Restrictions on access to certain technologies particularly to oil sector

• (embargo – trading ban or a complete prohibition of commerce and trade)

CRIMEA AND SEVASTOPOL

• Import ban on products without Ukrainian origin certificate• Prohibition of EU operators from offering tourism services in Crimea• Total investment ban for EU companies• Ban on exports to Crimea for goods and technologies in transport, telecom

and energy sectors

INDIVIDUALS

• Asset freezes and visa bans: 149 people and 37 entities

• Including separatist organizations, armed groups and state enterprises taken over illegally

POLITICAL RELATIONS

• Russia is the EU's largest neighbour, brought even closer by the EU’s 2004 and 2007 enlargements. Accordingly, Russia is a key actor in the UN Security Council and, due to history, geographic proximity and cultural links, is one of the key players in the common European neighbourhood.

• Russia is also a major supplier of energy products to the EU. • Russia is a large, dynamic market for EU goods and services, with considerable

economic growth.

POLITICAL RELATIONS

• Although the Ukrainian crisis has affected the bilateral political dialogue between them, the EU and Russia remain committed to global cooperation on combating new threats to security, terrorism threats, organized crime, drug trafficking and climate change.

• Furthermore, the EU aims at protecting human rights and at developing democratic processes in Russia.

INTERNATIONAL COOPERATION

• Modern day challenges can best be approached through a sense of joint responsibility and understanding.

• The EU works in close cooperation with international partners, including Russia.

• A broad range of foreign policy questions, including security, are best approached through a sense of mutual understanding and concern.

• Both the EU and Russia have a long record of cooperation on issues of bilateral and international concern including climate change, drug and human trafficking, organized crime, counter-terrorism, non-proliferation, the Middle East peace process, and protection of human rights.

INTERNATIONAL COOPERATION

• The framework of the negotiation of a New Agreement will address how mutual foreign and security policy cooperation between the EU and Russia should best be institutionalized.

• Furthermore, the EU develops a range of informal operational contacts that allow for a detailed understanding of Russian priorities and policies on international issues; provide early warning of potential problems and support the coordination of policy planning.

LEGAL AND INSTITUTIONAL FRAMEWORK• Partnership and Cooperation Agreement (PCA)• The current institutional framework for cooperation is the 1994 Partnership and Cooperation

Agreement (PCA) and came into force on 1 December 1997 for an initial duration of 10 years.

• Since 2007, the PCA has been renewed annually and remains the legal basis for EU-Russia relations.

• The PCA established a political framework for regular consultation between the EU and Russia, based on the principles of respect for democracy and human rights, political and economic freedom, and commitment to international peace and security.

• Furthermore, the PCA is complemented by sectorial agreements covering a wide range of policy areas, including political dialogue, trade, science and technology, education, energy and environment, transport, and prevention of illegal activities.

LEGAL AND INSTITUTIONAL FRAMEWORK• Negotiations on a new agreement were launched at the 2008 Khanty-Mansiysk summit.

• Both the EU and Russia have experienced many political, economic and social changes since the entry into force of the PCA in 1997. Therefore, a new agreement must reflect these changes as well as the new challenges linked to globalization.

• EU – Russia Summits

• Despite the current suspension of negotiations due to the Ukrainian conflict, the EU-Russia Summits play an important role in the institutional framework of relations. Summits at the Presidential level take place twice a year. Furthermore, since 2005, the EU and Russia have held regular, biannual human rights consultations.

• Common Spaces

• During the 2003 St. Petersburg Meeting, the EU and Russia agreed to reinforce their cooperation by creating four Common Spaces in the framework of the PCA covering four different policy areas:

LEGAL AND INSTITUTIONAL FRAMEWORK• Common Spaces

• During the 2003 St. Petersburg Meeting, the EU and Russia agreed to reinforce their cooperation by creating four Common Spaces in the framework of the PCA covering four different policy areas:

• • Common Economic Space, aimed at making the EU and Russia's economies more compatible, in order to help boost investment and trade. The ultimate objective is to create an integrated market between the EU and Russia, including cooperation in areas apart from the economy such as energy and environment.

• • Common Space on Freedom, Security and Justice, aimed at fighting common challenges such as terrorism, illegal migration, cross-border crime, including trafficking of human beings and illicit drugs.

• • Common Space on External Security, aimed at enhancing cooperation on foreign policy and security issues, both in a bilateral framework and within international organizations such as the UN, OSCE and the Council of Europe. The Common Space ultimately aims to promote joint efforts in conflict prevention, crisis management and post-conflict resolution.

• • Common Space on Research, Education and Culture, aimed at promoting scientific, educational and cultural cooperation through diverse exchange programmes.

TRADE

• EU is the major trading and investment partner for Russia.

• Trade volume between EU and Russia was around €308 billion in 2011.

• Russia’s WTO membership since 2012 gives important possibilities for developing further the trade relations.

INVESTMENTS

• The EU is by far the most important investor in Russia with an estimated 75% of foreign direct investment (FDI) stocks in Russia coming from EU Member States.

• The stock of foreign direct investment in Russia originating from the EU totaled €167 billion in 2011. The stock of Russia’s foreign direct investment in the EU amounted to €53 billion in 2011.

• The inflow of Russia’s foreign direct investment in the EU totalled €265 million in 2011, while the inflows of EU foreign direct investment to Russia amounted to €6 253 million in the same year.

TRADE

• The EU is by far the largest trade partner of Russia. From the EU perspective, Russia is the third largest EU trade partner following the USA and China.

• The trade turnover between the EU and Russia in 2011 reached €307.4 billion.

• After China Russia is the second largest source of imports for the EU (€199 billion or 11.6% of the total EU imports in 2011).

• Russia is the fourth largest export market for the EU after the USA, China and Switzerland, with the exports reaching €108.3 billion or 7% of the total EU exports in 2011. In 2011, the EU had a trade deficit of €90.7 billion in its bilateral trade with Russia.

• Mineral fuels account for 79% of the total EU imports from Russia. Machinery and transport equipment account for 48.2% of the total EU exports to Russia.

MARKET ACCESS

• In the framework of the EU Market Access strategy in third countries, the EU Delegation hosts monthly meetings of the local Market Access Team to monitor protectionist barriers in Russia.

• The Market Access Team comprises the EU Delegation trade section together with EU Member States Commercial Counsellors and representatives of the European Business Association (AEB) in Moscow.

• Top 10 Market Access Barriers

• In coordination with the Market Access Unit of the Directorate General for TRADE of the European Commission, the market access team has elaborated a list of Top-10 Market Access Barriers in Russia (the so-called "key barriers list").

MARKET ACCESS• The current list comprises amongst others:

• Issuance of visa;

• Work permits;

• Customs issues;

• Technical barriers to trade – certification and conformity assessment;

• Legal certainty and implementation of laws;

• Road taxes;

• Railway tariffs;

• Intellectual Property Rights (IPR);

• Siberian overflight charges;

• Sanitary measures and Phytosanitary (SPS) measures.

• Following Russia’s WTO accession which took effect on 22 August 2012, an updated list will be established.

VISA/WORK PERMITS• The EU / EU DEL follows closely the development in the area of visas and work permits. Our

key objective is to facilitate the operations of EU companies, both EU-based and Russia-based, in the Russian Federation. We work towards the removal of the obstacles to the freedom of movement of foreign employees.

• The introduction of the category of "Highly Qualified Specialists" by the Russian Federal Law No. 86 of July 2010 was a major step forward. The EU / EU DEL is monitoring the implementation to ensure that EU companies are able to fully take advantage of its provisions.

• What is a "Highly Qualified Specialists" ?

• This is defined in the Russian Federal Law "On the Legal Status of Foreign Citizens in the Russian Federation". According to the Law "highly qualified specialists" are:

• foreign nationals, who earn at least one million roubles per year and who is going to hold a position of a scientist/tutors invited to the Russian Federation by the accredited higher educational institutions, State Academy of Sciences, etc;

• foreign nationals, who earn no less than 2 000 000 rubles per year.

BILATERAL RELATIONS• Russia is the EU’s third biggest trade partner, with Russian supplies of oil and gas making up a

large percentage of Russia’s exports to Europe.

• The cooperation is based on specific policy areas. These "Common Spaces” cover economic issues & the environment; Freedom, Security & Justice; External Security; and Research & Education, including cultural aspects.

• The EU has a programme of financial cooperation that has evolved over time to support the achievement of common objectives.

• The EU and Russia have a strong trade relationship. Bilateral trade and investments continue to grow. The trade volume was around €308 billion in 2011.

• Since 1997 the Partnership and Cooperation Agreement has been the framework of the EU-Russia relations, regulating the political and economic relations between the EU and Russia. One of the main objectives is a promotion of trade and investment as well as the development of harmonious economic relations between the EU and Russia.

BILATERAL RELATIONS• The EU was a strong supporter of Russia's WTO membership since the start of the process to the

accession on 22 August 2012.

• Russia's WTO membership should be a major element to further development of the economic relationship between the EU and Russia.

• It should also prevent Russia from adopting unilateral tariff hikes as has been the case in the past.

• A new EU-Russia Agreement - currently under negotiation - should provide a comprehensive framework for bilateral relations with stable, predictable and balanced rules for bilateral trade and investment relations.

• It should focus on improving the regulatory environment by building upon the WTO rules and strengthen bilateral trade relations.

MULTILATERAL RELATIONS• Russia's WTO accession

• On 22 August 2012 Russia joined the WTO as its 156th member after 18 years of negotiations. As the EU is Russia's first trading and investment partner, Russia being EU's third trading partner, this was particularly important for the EU.

• With the WTO accession, Russia will:

• lower its import duties (average final bound tariff of 7.8% down from the average of 10%);

• limit its export duties;

• grant greater market access for services providers;

• facilitate rules and procedures in many areas affecting bilateral economic relations.

MULTILATERAL RELATIONS• Of particular importance are regulations on customs procedures, the use of health and

sanitary measures, technical standards and the protection of intellectual property.

• WTO accession brings opportunities for Russia, not only in terms of further integration into the world economy, but also because it will help modernize the Russian economy by increasing investment, competition and technology transfer.

•Of particular importance are regulations on customs procedures, the use of health and sanitary measures, technical standards and the protection of intellectual property.

• WTO accession brings opportunities for Russia, not only in terms of further integration into the world economy, but also because it will help modernize the Russian economy by increasing investment, competition and technology transfer.

MULTILATERAL RELATIONS• WTO membership offers opportunities for a qualitatively new step in EU-Russia economic

relations,

• in particular perspectives for the negotiations of the New EU-Russia Agreement, launched in June 2008, which should replace and go beyond the existing Partnership and Co-operation Agreement (PCA).

• Russia's OECD accession negotiations

• Following WTO accession, Russia is now actively engaged in its OECD accession process.

• On 30 November 2007, the OECD Council approved the so-called road-map to accession, which formally launched the process by setting up the negotiating framework for Russia. Technical examination has been ongoing since 2008 in 22 technical committees.

• Russia is currently addressing a number of outstanding issues in different policy areas, including trade and investment, environment, chemicals and anti-corruption.

THE EU AND HUMAN RIGHTS IN RUSSIA

• The EU is committed to the promotion of human rights and fundamental freedoms all over the world. The EU regards the full respect of human rights as vital to the long-term social and political stability of any country.

• Supporting Russia’s transition to an open society based on the rule of law and the respect for human rights is central to EU-Russia relations.

• The EU is committed to promoting human rights in Russia in a sustained and constructive manner.

THE EUROPEAN INSTRUMENT FOR DEMOCRACY AND HUMAN RIGHTS (EIDHR)

• In many countries around the world, non-governmental actors are working with dedication and bravery, often in difficult conditions, to help ensure the effective protection of human rights and the advancement of democracy. Direct work with such organizations is a priority for the European Union.

• The European Initiative for Democracy and Human Rights was created by the European Parliament in 1994 to support both the activities of civil society working for human rights and democracy and the efforts of international organizations.

• It was renamed the European Instrument for Democracy and Human Rights (EIDHR) in December 2006.

EIDHR• The EIDHR has the following aims:

• To enhance respect for human rights and fundamental freedoms where they are most at risk and to provide support and solidarity to victims of repression and abuse;

• To strengthen the role of civil society in promoting human rights and democratic reform, developing political participation and representation, and supporting conflict prevention;

• To support the international framework for the protection of human rights , the rule of law and the promotion of democracy;

• To build confidence in democratic electoral processes through the further development of electoral observation and assistance.

• Since its launch in Russia in 1997, the EIDHR has supported over 330 projects.

EIDHR PROJECTS

• EIDHR projects are implemented by Russian and European non-governmental, non-profit-making organizations.

• The European Commission allocates between 100,000 EUR and 300,000 EUR to each project, selected within national calls for proposals.

• EUR to each project within regional/global calls for proposals. • Usually the grant beneficiary must part-finance at least 5% of the project

costs from its own funds or from a grant awarded by another donor. • Projects have duration of between 12 and 36 months.

HOW EIDHR PROJECTS ARE SELECTED

• National calls for proposals are being launched by the Delegation of the European Union to Russia once a year.

• They are announced and advertised on the Delegation’s website. Each time a call for proposals is issued, priority topics and areas of work are indicated.

• Any non-governmental organisations that want to carry out a project in these areas are invited to apply.

• The Delegation selects the applicants based on objective and transparent criteria, which are also published on its website.

• Regional/global calls for proposals are being launched by the European Commission in Brussels .

GROUP WORK

• MIGRATION AND ASYLUM• Provide the definition of asylum,

migration and stateless nationals.• Why do you think EU is involved in

this project?• Why is this project important?

• INSTITUTIONAL REFORM & HUMAN RIGHTS

• Describe and explain the human rights abuses in this article

• What do u understand from the term “human rights”?

• How does the project help to prevent human rights abuses in Russia

GROUP WORK

• NUCLEAR SAFETY• What do you know about nuclear?• Why is nuclear safety important?• How does this project ensure

nuclear safety?

• SOCIAL PROTECTION and EMPLOYMENT

• What do you understand from the term “democracy”

• Describe how democracy is being promoted through NGOs in Russia

• What is the connection between social protection, employment and democracy?