The following is from the 13 February 2013 edition of Embassy Magazine.
The following is an excerpt from the prepared text of a speech German Minister of State at the Federal Foreign Office Michael Link was scheduled to give Feb. 13 at Carleton University in Ottawa.
Ladies and gentlemen, 30 years ago, an economic crisis in Europe would have been painful, but it would not have called into question Europe's status as an economic powerhouse on the global stage.
But things have changed—and this is true for Europe as well as for Canada or the United States: today, the lion's share of global growth is being generated outside Europe.
In 2011, Europe, the US, and Canada combined accounted for about 45 per cent of worldwide GDP. Thirty years ago, Germany exported 10 times more goods than China; in recent years, China has repeatedly outperformed us as the “export world champion.” In 20 years' time, according to United Nations estimates, India's population will be around three times that of the European Union.
As new powers emerge and the relative weight of Europe and of the US and Canada diminishes, we must put our houses in order on both sides of the Atlantic, and I have outlined what we are doing in Europe to put our house in order.
Obviously, we expect the US to do likewise and to address its own budget deficit sometime in the near future. And I know that Canada has similar plans and will reduce its overall deficit from about 85 per cent of GDP now to about 75 per cent in 2016.
There is also something that Europeans, Canadians, and Americans should do together in order to foster growth and to create jobs: we believe that promoting free trade across the Atlantic Ocean should play an important role in revitalizing our economies and stimulating further growth including job creation on both Atlantic shores.
You might know that the European Union and Canada are about to conclude negotiations on a Comprehensive Economic Trade Agreement—CETA.
Negotiations on CETA have proven to be challenging. We believe, however, that the enormous economic and political benefits for both sides are worth the effort. That is why Germany has been in favour of an ambitious, balanced, and encompassing agreement. And we are working hard to ensure that negotiations between Canada and the EU are concluded soon.
Now that the second Obama administration has taken office, we have also approached the US and suggested we talk about what we can do to further spur trade and investment between the EU and the US. We believe the time is ripe for an ambitious project that will make use of our strengths on both sides of the Atlantic.
A comprehensive agreement on trade, investment, norms, and standards will require heavy lifting—as we have seen in negotiations with Canada on CETA. And yet, such a project would spark major impetus for jobs and growth.
A comprehensive agreement between the US and Europe—and Canada will be included and its interests respected through CETA—would constitute an important building block for the future of the liberal world order that is the foundation of our security and our prosperity.
We are therefore encouraged by what US Vice-President [Joe] Biden said at the Munich Security Conference 10 days ago when he declared that the US fully supports the idea of a comprehensive transatlantic trade and investment agreement.
The rise of new centres of power and global players has accelerated in recent years. Germany and other export-oriented economies in Europe and North America have benefited enormously from the hundreds of millions of new consumers in the emerging countries of Asia, Latin America, and Africa. Our relative weight, however, has gone down in both political and economic terms.
A transatlantic agreement that covers all relevant sectors including investment, services, norms and standards, government procurement, as well as trade issues would ensure that Europe and North America can hold their own and secure their future in this age of globalization.
That is why strong transatlantic relations are in the interest of both Europe and North America, and allow me to explicitly include Canada here once more. Only together will we assert the unique cultural community that we share. Only united can we foster the resilience and dynamism on which our future prosperity and freedom depend.
One of the important lessons drawn from the financial crisis, is this: in today’s globalized world, Europeans, Americans, and Canadians will only assert their common values and interests if they firmly close ranks while at the same time remaining committed to an open and liberal world economic order.
I am convinced: Europe will emerge from its crisis stronger than it was thanks to a policy of working together and integrating more rather than less. That goes for economic policy, and it also goes for foreign and security policy.
Our Canadian and American friends are our natural partners in this. We need the US, we need Canada to stay engaged. If we want to preserve the current liberal economic order, fight for peace, human rights, and a more secure world we cannot withdraw from the world. Instead, we have to strengthen institutions like the United Nations, NATO, the [Organization for Security and Co-operation in Europe]. And we have to build new regimes, such as the comprehensive trade agreements we are currently working on.
Only by pooling our strength can we defend our values and our interests in this new world. In that endeavour, the strategic partnership with the United States and Canada is our strongest card. We should play it.
Thank you.
[email protected]