The economic role of the European Union today

Free Trade Agreements with the USA, sanctions against Russia ?

In March 2014, after years of conflicts between Russia and Ukraine, the Russian government started a covert invasion of the Crimean Peninsula, which lead to economic sanctions from the EU. This was quite a critical measure, since 30% of the EU’s gas is imported from Russia (by companies like GAZPROM), half of which go through Ukrainian pipelines. Also, there was a world-wide price increase of grain feared, since Russia produces lots of its famous Winter Wheat.

On the other hand, also in March ’14, the European Commission proposed a free trade agreement between the USA and the EU, called the “Transatlantic Trade and Investment Partnership” ( abbrev.: TTIP ). This contract is expected to be finished – and signed – somewhat around the end of this year. It’s purpose is to reduce tolls and to increase the amount of money which flows between said two economic trading zones in the form of cash bonds, services and material goods.

Both of the above mentioned measures can influence the economy of the whole world very much, showing that the decisions the EU takes are quite important.

Comments (7)

  1. Namishka

    A nice very informative piece of writing

    Reply
  2. tee

    An eye opening article about the influences the EU can have on economy’s

    Reply
  3. Shriya Salligram

    Very informative. Thanks for the valuable information!

    Reply
  4. Caitlyn Fordyce

    who knew? that is very interesting!! good information, i saw it on the news but i did not understand thanks for clearing that up. well done on your english you type better than i do!!!!!!

    Reply
  5. Pe'yanka

    I agree completely. This is an interesting and serious topic which people often do not take into consideration.It is quite fortunate that the European Commission proposed the TTIP. If this was not the case, eventually the World could be affected by the actions between Russia and the Ukraine (including the increase of prices) so people should be aware and informed about the mentioned trade agreements.

    Reply
  6. Kimberly Pillay (south africa)

    well constructed and informative article…well done:)

    Reply
  7. Emily Cumming

    A very interesting read. We hope that all the right decisions are made.

    Emily Cumming
    South Africa

    Reply

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