EU-Australia talks to strike a trade pact\u00a0were in their “last mile” Monday, Brussels said as European Union chief Ursula von der Leyen arrived in Sydney raising hopes for a deal.<\/p>\n\n\n\n
Years in the making, the accord would be the latest inked by Brussels in a push to diversify trade as Europe faces challenges from the United States and China.<\/p>\n\n\n\n
“Clearly there is mutual interest, and a positive hunger from both economic communities for having this new framework,” EU trade commissioner Maros Sefcovic said.<\/p>\n\n\n\n
Von der Leyen’s visit with Sefcovic in tow comes as the 27-nation bloc and import-reliant nation navigate renewed energy vulnerability sparked by the war in the Middle East.<\/p>\n\n\n\n
She arrived in Sydney Monday for a meeting with Australia’s governor-general, before heading to Canberra, where she is expected to meet Prime Minister Anthony Albanese.<\/p>\n\n\n\n
“The goal is to tie down the final details,” commission spokesman Olof Gill told a press conference in Brussels, cautioning that “the last mile is the hardest”.<\/p>\n\n\n\n
Improved access to the EU market for Australia’s lamb and beef — a big no-no for some European farmers — was understood to be among the last sticking points.<\/p>\n\n\n\n
Australia’s luxury car tax on European vehicles was another.<\/p>\n\n\n\n
Australia’s largest export market is China and the United States is its largest source of investment.<\/p>\n\n\n\n
But Canberra has redoubled efforts to diversify export markets for farmers since a 2020 dispute with Beijing saw agriculture exports blocked for several years, and then last year’s global imposition of US trade tariffs.<\/p>\n\n\n\n
Likewise, the European Union is on a drive to strike new partnerships in the face of US levies and Chinese export controls.<\/p>\n\n\n\n
The bloc, which is seeking greater access to Australia’s critical raw materials, is the resource-rich country’s third largest two-way trading partner and second largest source of foreign investment.<\/p>\n\n\n\n
A deal could boost EU exports to Australia by more than 30 percent and save exporters about one billion euro a year ($1.15 billion), Brussels said.<\/p>\n\n\n\n
Australian Trade Minister Don Farrell last week said a pact would add Aus$10 billion (US$7.1 billion) in trade for Australia in the first year.<\/p>\n\n\n\n
“They are potentially our second largest trading partner if we can pull this off,” he told Sky News Australia.<\/p>\n\n\n\n
Front and centre in meetings will also likely be the war in the Middle East, which has sent oil prices soaring.<\/p>\n\n\n\n
In Canberra, International Energy Agency chief Fatih Birol said on Monday the world faced an energy crisis not seen in decades if the conflict was not resolved.<\/p>\n\n\n\n
And von der Leyen this month said the conflict had served as a “stark reminder” of the continent’s vulnerabilities.<\/p>\n\n\n\n
Australia — which is heavily reliant on fuel from abroad — has also felt the pressure from the global energy squeeze.<\/p>\n\n\n\n
While conceding that some petrol stations had run out of fuel, Energy Minister Chris Bowen said Monday the country was a “long way” from rationing.<\/p>\n","protected":false},"excerpt":{"rendered":"
EU-Australia talks to strike a trade pact\u00a0were in their “last mile” Monday, Brussels said as European Union chief Ursula von der Leyen arrived in Sydney raising hopes for a deal. Years in the making, the accord would be the latest inked by Brussels in a push to diversify trade as Europe faces challenges from the […]<\/p>\n","protected":false},"author":255,"featured_media":87461,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[106,7993],"tags":[8074,11796,11897],"class_list":["post-87460","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australia","category-europe","tag-australia-3","tag-eu-en-2","tag-trade-2"],"yoast_head":"\n