At the beginning of the 21st century, the international system is characterised by ever increasing interdependence, forcing actors to re-organise their relations. The new overlapping foreign policy instruments and cooperation formats on a bilateral, (sub)regional, interregional and multilateral level, in which states pursue different strategies for the assertion of interests, result in constellations that can be favourable but are often problematic for the conclusion of free trade agreements (FTAs).
The EU, only recently having started to develop a common foreign policy and institutionalising relations with partners on a bilateral, interregional and multilateral level, is not free from this problem. Following an incoherent foreign trade policy, in which it shifts from bilateral (South Africa) to interregional (South East Asia) an mixed strategies (South America), the Union faces challenges in the conclusion of interregional FTAs. A current example is the ongoing bloc-to-bloc trade negotiations with the MERCOSUL (Mercado Comum do Sul in Portuguese or Common Market of the South in English) countries and the recent establishment of a bilateral SP with the MERCOSUL member Brazil that aims at cooperation on several topics, including trade.
In the literature, attention has been paid to regionalisation and interregionalism, as well as the duality of the EU’s biregional relations and bilateral SPs creating chances and limits of global policy-making. But although trade has played a prominent role in the study of interregional relations, attempts to link the duality of biregional and bilateral approaches in EU foreign policy with foreign trade policy-making have been modest. This study provides an in-depth analysis of the impact of the EU’s bilateral SP with third states on the Union’s ability to conclude FTAs with economic blocs the SP is integrated with. A single case study, focusing on the coexistence of interregional EU-MERCOSUL FTA negotiations and the bilateral SP between the EU and Brazil, analyses the SP’s value as an EU foreign policy instrument for the enhancement of negotiations on interregional FTAs.
Table of Contents
Introduction
Theoretical considerations
(Neo)Liberal Institutionalism
Interregionalism
Research Design
Interregionalism between the European Union and Latin America
The European Union’s foreign policy: interregionalism and trade
Latin America and Brazilian foreign policy: regional leadership and global aspirations
The European Union’s relations towards Latin America:
the broader region, MERCOSUL and Brazil
The role of the EU’s Strategic Partnerships in negotiations on interregional free trade agreements – the case of Brazil and MERCOSUL
Independent variable one: Extent of interdependence
MERCOSUL – a regional integration project falling short of expectations
The low level of intraregional trade within MERCOSUL
Interdependence and the EU
Independent variable two: Mutuality of interests
Interests within MERCOSUL – economic and foreign trade policies between open trade and protectionism
Change in government – change in economic and trade policies: new chances for cooperation
Interests and the EU – the problem of agriculture and the long-awaited window of opportunity
Independent variable three: Distribution of power
Brazil as an emerging power – implications of becoming a Strategic Partner for Brazil as well as for the other MERCOSUL states
Strategic Partner Brazil’s role in the re-launch of EU-MERCOSUL trade negotiations
The EU’s Strategic Partnership with Brazil and its role in EU-MERCOSUL trade negotiations
Conclusion
Bibliography
Research Objectives and Themes
The thesis examines the impact of the European Union’s bilateral Strategic Partnerships (SP) with third countries on its capacity to conclude interregional free trade agreements (FTAs), specifically focusing on the EU-Brazil partnership within the context of EU-MERCOSUL trade negotiations.
- (Neo)Liberal Institutionalism as a theoretical framework for international cooperation.
- The duality of EU biregional and bilateral foreign policy strategies.
- The influence of economic interdependence, mutuality of interests, and distribution of power on trade negotiations.
- Case study of the EU-Brazil Strategic Partnership and its role in interregional EU-MERCOSUL negotiations.
- The impact of political shifts in MERCOSUL countries on regional integration and trade policy.
Excerpt from the Book
The role of the EU’s Strategic Partnerships in negotiations on interregional free trade agreements – the case of Brazil and MERCOSUL
The following analytical part will be subdivided into three parts referring to the independent variables ‘extent of interdependence’, ‘mutuality of interests’ and ‘distribution of power’ and guided by the accordingly derived hypothesis. Based on the bathtub model, it is to be analysed to what extent the bilateral SP between Brazil and the EU influenced the MERCOSUL states’ cost-benefit analysis and thus functioned as a driver of EU-MERCOSUL trade negotiations.
Chapter Summary
Introduction: Outlines the research problem regarding the dual nature of EU cooperation strategies and the resulting difficulties in concluding interregional FTAs.
Theoretical considerations: Discusses (Neo)Liberal Institutionalism and Interregionalism as the conceptual basis for analyzing the effectiveness of international institutions.
Research Design: Details the qualitative case study method, including the process-tracing technique and the variables used to explain the effectiveness of the Strategic Partnership.
Interregionalism between the European Union and Latin America: Provides the historical and political context of EU foreign policy towards Latin America and the evolution of Brazil's regional leadership.
The role of the EU’s Strategic Partnerships in negotiations on interregional free trade agreements – the case of Brazil and MERCOSUL: Analyzes how interdependence, mutuality of interests, and the distribution of power influenced the EU-MERCOSUL trade negotiations.
Conclusion: Summarizes the findings, highlighting the limits of the Strategic Partnership as a driver for regional trade agreements and the critical importance of domestic political alignment within the MERCOSUL bloc.
Keywords
European Union, MERCOSUL, Brazil, Strategic Partnership, Interregionalism, Free Trade Agreement, Foreign Policy, Trade Negotiations, Regional Integration, Institutionalism, Economic Interdependence, Mutuality of Interests, Distribution of Power, Latin America, Bilateralism
Frequently Asked Questions
What is the primary focus of this thesis?
The thesis investigates whether the European Union’s bilateral Strategic Partnerships with individual countries, which are part of regional economic blocs, act as drivers or blockers in the conclusion of interregional free trade agreements.
What are the central thematic areas covered?
The study centers on the complex relationship between biregional and bilateral EU foreign policy, the institutional dynamics of MERCOSUL, and the specific trade interests of Brazil versus the smaller member states.
What is the core research question?
The research asks: "Do the European Union’s bilateral Strategic Partnerships with third states integrated with regional economic blocs enhance or block the ability to conclude interregional free trade agreements?"
Which scientific methodology is employed?
The work utilizes a qualitative single-case study (small-N) employing process-tracing and the Coleman "bathtub" model to link macro-level institutional context to micro-level actor behavior.
What is covered in the main analytical section?
The main part analyzes the impact of the EU-Brazil Strategic Partnership using three independent variables: the extent of interdependence, the mutuality of interests, and the distribution of power.
Which key terms define this work?
The work is defined by concepts such as interregionalism, strategic partnership, institutionalism, regional integration, and political economic interdependence.
How did Argentina's political shift in 2016 impact the negotiations?
The move toward a more liberal, pro-trade government in Argentina under Mauricio Macri helped align economic interests within MERCOSUL, reducing the internal obstacles that had previously hindered a joint bloc position in trade talks with the EU.
Why has the Brazil-EU partnership not acted as a simple "driver" for an EU-MERCOSUL FTA?
The partnership failed to act as a definitive driver because it lacked sufficient institutional and content-related alignment with the interregional goals, and because Brazil often prioritized its own national economic interests or faced internal limitations in leading the MERCOSUL bloc.
- Arbeit zitieren
- M.A. Josephine Susan Götze (Autor:in), 2018, The EU's bilateral Strategic Partnerships. Drivers or blockers of interregional free trade agreements?, München, GRIN Verlag, https://www.grin.com/document/432533
