EU worries that Thai-Japan FTA could hit auto industry
Bangkok Post
EU worries that Thai-Japan FTA could hit auto industry
By Woranuj Maneerungsee
29 April 2005
The proposed Thai-Japanese free trade agreement should be carefully considered so as not to disadvantage other trading partners, European Union Trade Commissioner Peter Mandelson told Thailand yesterday.
Mr Mandelson appeared to refer to possible negative impact on European carmakers if the Japan-Thailand FTA includes a proposal by Tokyo to remove import tariffs on Japanese vehicles.
Of course, this is the issue,'' the former British cabinet minister said at a news conference.The Thai government will have to keep in mind that the FTA with Japan should not affect other people’s interests.
Thailand has encouraged European companies to invest here and encouraged strong economic ties and partnerships between Thailand and Europe. We would like to see there are no setbacks,'' said Mr Mandelson, who was on his first visit to Thailand since he became the EU trade commissioner.
During a luncheon address by Mr Mandelson, a European questioner had specifically asked him about automotive issues in the FTA.
Mr Mandelson also promised the Thai business community that he would speed up implementation of the EU's new Generalised System of Preferences (GSP) to allow Thai shrimp exporters to regain lower tariffs they had enjoyed prior to 1999. He said he expects the new regime should be in force by July.I have urged our member states to adopt the new EU GSP scheme as soon as possible,’’ he said.
Originally, some EU officials had hoped the new GSP scheme would start operating on April 1, to help Thailand minimise the economic impact of the Dec 26 tsunami. It has been held up due to opposition by Italy to lowering tariffs on textiles from India.
