European Communities

Abstract

Meeting from September 22 to 25, 1959, the European Parliamentary Assembly discussed the principles and problems involved in the establishment of a multilateral European trading association. Opening the debate, Mr. M. P. A. Blaisse (Dutch Popular Catholic) stated that experience had shown that the common market could be considered the driving force of European economic integration. Although at present involving only a part of Europe, it could expand and develop in several ways—by the accession of new members, by the creation of a multilateral association, or by the conclusion of bilateral agreements. Whatever the form of its evolution, the obligations undertaken by member states within the framework of the General Agreement on Tariffs and Trade (GATT) could not be ignored; similarly, it was imperative to take into account the interests of the United States and Canada. Thus he suggested that special agreements could be concluded with these two countries, to minimize the effects of trade discrimination, along with continued negotiations with members of the European Free Trade Association (EFTA). He warned against compromise on the final aim, namely, the establishment of a multilateral association. The President of the European Economic Commission, Mr. W. Hallstein, thereupon presented the Commission's recommendations for a trade program on which the six nations could agree. He stated that such a program had to be pragmatic and realistic, and fulfill several conditions: improvement of economic conditions of the nations both inside and outside the European Economic Community (EEC), taking into account Europe's relations with the rest of the world, in particular with the United States; strengthening of the feelings of solidarity between the Community and all those affected by its external commercial policy; and general improvement of trade relations. He urged that care be taken to avoid giving the impression that EEC practiced a policy of discrimination and asked therefore that every effort be made to prove that its aim was the liberalization of trade throughout the world. Specifically, after the next GATT conference, EEC should, in his opinion, forthwith give its agreement to further tariff reductions and, in addition, promote the granting of aid to underdeveloped countries. At the European level, he proposed the creation of a “contact committee, comprised of representatives of the Community and other countries or groups to study the question of the development of external commercial relations. Mr. Hallstein concluded by pointing out that the proposals of his Commission were neither complete nor final. The speakers that followed agreed, on the whole, with the above-mentioned suggestions, but no resolution was adopted and it was decided to re-examine the whole matter at future sessions.