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THE EUROPEAN UNION IN INTERNATIONAL AFFAIRS
A Geo-Economic Turn
in Trade Policy?
EU Trade Agreements in the Asia-Pacific
Edited by
Johan Adriaensen
Evgeny Postnikov
The European Union in International Affairs
Series Editors
Sebastian Oberthür, Vrije Universiteit Brussel, Brussels, Belgium
Knud Erik Jørgensen, Aarhus University, Aarhus, Denmark
Philomena B. Murray, University of Melbourne, Parkville, Australia
Sandra Lavenex, University of Geneva, Geneva, Switzerland
This Book Series aims to be a central resource for the growing community
of scholars and policy-makers who engage with the evolving inter-
face between the EU and international affairs. It provides in-depth,
cutting edge and original contributions of world-class research on the
EU in international affairs by highlighting new developments, insights,
challenges and opportunities. It encompasses analyses of the EU’s inter-
national role, as mediated by its own Member States, in international
institutions and in its strategic bilateral and regional partnerships. Books
in the Series examine evolving EU internal policies that have external
implications and the ways in which these are both driven by, and feed
back into, international developments. Grounded in Political Science,
International Relations, International Political Economy, Law, Sociology
and History, the Series reflects a commitment to interdisciplinary schol-
arship. We welcome book proposals relating to the changing role of the
EU in international affairs across policies and the Union’s relations with
different parts of the world, as well as relations with states and multi-
lateral institutions. We are interested in research on values and norms,
interests and global governance and welcome both theory-informed
studies and studies comparing the EU with other major global actors. To
submit a proposal, please contact Commissioning Editor Ambra Finotello
ambra.finotello@palgrave.com. This series is indexed by Scopus.
A Geo-Economic
Turn in Trade Policy?
EU Trade Agreements in the Asia-Pacific
Editors
Johan Adriaensen Evgeny Postnikov
Faculty of Arts & Social Sciences School of Social & Political Sciences
Maastricht University University of Melbourne
Maastricht, Limburg Melbourne, VIC, Australia
The Netherlands
© The Editor(s) (if applicable) and The Author(s), under exclusive license to Springer
Nature Switzerland AG 2022
This work is subject to copyright. All rights are solely and exclusively licensed by the
Publisher, whether the whole or part of the material is concerned, specifically the rights
of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on
microfilms or in any other physical way, and transmission or information storage and
retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology
now known or hereafter developed.
The use of general descriptive names, registered names, trademarks, service marks, etc.
in this publication does not imply, even in the absence of a specific statement, that such
names are exempt from the relevant protective laws and regulations and therefore free for
general use.
The publisher, the authors and the editors are safe to assume that the advice and informa-
tion in this book are believed to be true and accurate at the date of publication. Neither
the publisher nor the authors or the editors give a warranty, expressed or implied, with
respect to the material contained herein or for any errors or omissions that may have been
made. The publisher remains neutral with regard to jurisdictional claims in published maps
and institutional affiliations.
This Palgrave Macmillan imprint is published by the registered company Springer Nature
Switzerland AG
The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland
Preface
The idea for this book emerged in the wake of an academic conference on
EU external relations. We noted that contrary to the trade policy literature
with its penchant for scrutinizing trade negotiations or the design of a
trade agreement; foreign policy scholars interpreted decisions on trade in
a much larger context not eschewing from invoking bigger strategic ques-
tions. The idea of engaging with both perspectives that do not always talk
with one another formed the initial drive behind the book. And as the US
president Trump catapulted trade policy to the arena of high politics, we
felt we need to empirically assess the policy impact of the geo-economic
discourse.
We could not foresee at the time that the European Commission
would soon come to brand itself as “geo-political”. Beyond this boost
to the timeliness of the book, we are also extremely grateful for the
Commission’s support provided through the Erasmus+ programme. In
the context of the Jean Monnet Network “Europe-Asia Security and
Trade” (EAST) we were able to organize two conferences and a work-
shop. Special thanks goes out to the local organizing teams at Stiftung
Wissenschaft und Politik (SWP) in Berlin, S. Rajaratnam School of Inter-
national Studies at Nanyang Technological University in Singapore and
School of Social and Political Sciences at The University of Melbourne
for facilitating our fruitful discussions. We would also like to extend our
gratitude to Thomas Christiansen who coordinated the Jean Monnet
Network, offered useful advice and guidance, and supported our efforts.
v
vi PREFACE
Part I Introduction
1 Geo-economic Motives and the Negotiation of Free
Trade Agreements: Introduction 3
Johan Adriaensen and Evgeny Postnikov
vii
viii CONTENTS
Part V Conclusion
15 Geo-Economic Motives in EU FTA’s
with the Asia–Pacific: More Discourse Than
Design? 345
Evgeny Postnikov and Johan Adriaensen
Index 361
List of Contributors
ix
x LIST OF CONTRIBUTORS
xi
xii LIST OF FIGURES
xiii
xiv LIST OF TABLES
Introduction
CHAPTER 1
Introduction
Often seen as a technical, de-politicized area, the regulation of interna-
tional trade has re-entered the realm of high politics. Public mobilization
of contentious mega trade deals played no small part in this trend.
However, the increasing use of trade policy as a strategic instrument
reflects perhaps a more fundamental shift rather than a response to
increased contestation of trade. Initial fears of rising protectionism during
J. Adriaensen
Faculty of Arts and Social Sciences, Maastricht University, Maastricht, The
Netherlands
e-mail: j.adriaensen@maastrichtuniversity.nl
E. Postnikov (B)
School of Social and Political Sciences, University of Melbourne, Melbourne,
VIC, Australia
e-mail: evgeny.postnikov@unimelb.edu.au
the financial crisis pale in comparison with outright trade wars common
in recent years.
Whether shaking down long-trusted allies, or starving the Appellate
body of the World Trade Organization (WTO) dispute settlement mech-
anism off its judges, trade wars initiated under the Trump presidency
symbolize a return of the law of the jungle to global trade, making
power politics and competition trump cooperation and the multilateral
rules-based system sustaining it. Still, it would be too simple to view
this geo-economic turn in trade policy as an aberration and reduce it
to a by-product of US domestic politics. Indeed, trade conflicts, rivalry
among major powers, and realist concerns were already venting through
the cracks of the multilateral trading system for years. Discontent over
China’s market economy status masks the distinction between states and
firms fuelling further disputes in the WTO and creating concerns over
the nature of Chinese investments in strategic sectors. Likewise, the
EU’s active pursuit of preferential trade agreements has inspired polit-
ical discourse on ‘competitive liberalization’ and the view of trade policy
as regulatory competition between big powers aiming to set global stan-
dards. It underscores that trade remains a key tool of economic statecraft
(Bradford, 2020; Dür, 2010; Evenett & Meier, 2008; Garcia, 2013;
Sbragia, 2010). The abdication of the United States from its traditional
role of a global leader has brought these trends to the fore, leaving a
power vacuum in the trade system and creating profound uncertainty
for other actors including those whose economic security traditionally
depends on it.
These observations suggest that contemporary trade policy is increas-
ingly used to achieve greater geo-economic objectives. The gradual ascent
of geo-economic frames used to interpret trade policy is perhaps most
strongly reflected in public news reporting on trade across the world.
Figure 1.1 indicates the frequency in news articles that use such geo-
economic frames when reporting on the course of trade negotiations.
Importantly, beyond the steep increase, it also shows that the rhetoric
did not start and will not end with the US Presidency of Donald Trump.
The presence of a geo-strategic dimension in trade news reporting has
become a ubiquitous feature of this new landscape. But does this rhetoric
correspond to a more fundamental shift in trade policy dynamics and
outcomes?
The overt ambition of the Von der Leyen Commission to become a
‘geopolitical’ actor with a special role for a ‘trade enforcer’ (European
1 GEO-ECONOMIC MOTIVES AND THE NEGOTIATION OF FREE TRADE … 5
3000
2500
2000
1500
1000
500
0
2000 2002 2004 2006 2008 2010 2012 2014 2016 2018
Fig. 1.1 Number of newspaper articles covering trade negotiations using geo-
economic language (Source Database search in NexisUni [We used the following
search terms ‘geopolitic* OR geo-economic OR geostrategic’ which we narrowed
down to articles mentioning “trade negotiation”])