Lack of reform will impede Kosovo’s EU bid

Significance The EU and Kosovo signed a Stabilisation and Association Agreement (SAA) in 2015 but Kosovo has not taken the next step, of applying for membership, out of a well-founded fear of rejection. However, February's election has changed its calculations. Impacts To support its application, Prishtina could accelerate efforts in the next few months to meet various benchmarks for reform set by Brussels. A failed application would strengthen Serbia’s position in the status debate by denying Kosovo a chance to consolidate its independence. Kosovo’s low standard of living and high unemployment will continue to push migration to the EU.

Significance Turkey's faltering EU accession process looks more at risk than ever, following Enlargement Commissioner Johannes Hahn's warning that Ankara had "clearly chosen to move away from Europe, not closer to it". Hahn was presenting the European Commission's 2016 Enlargement Package, which is much more critical of Turkey than of the six Western Balkans countries that are either accession candidates like Turkey or potential candidates. Yet when it comes to terminating Turkey's candidacy, both the Turkish and EU authorities want the other to make the move. In the short term, some EU capitals fear a wave of migrants should Ankara stop cooperating in policing the Aegean; in the longer term, Turkey's economy could suffer. Impacts The EU's interest in Western Balkan security, stability and prosperity will keep enlargement to these countries on track, at least formally. However, the Dutch referendum vote against Ukraine's association agreement shows popular feeling spreading in the EU against enlargement. Turkey's customs union with the EU underpins its recent economic upturn; it is hard to see it continuing without the prospect of membership. Resumed use of the East Mediterranean route depends on Turkey but also on migrants' hopes of being able to cross borders further north.


Significance The Kosovan government imposed a 10% tariff on imports from Serbia and Bosnia-Hercegovina (BiH) on November 6, frustrated at their refusal to recognise Kosovo’s independence except on terms it sees as unacceptable. The move will not make Serbia back down but will increase pressure on Kosovo’s president to abandon discussions with his Serbian counterpart about border adjustments. Impacts In the short term, Kosovan consumers must bear the extra cost of imports from Serbia and BiH, mainly food and building materials. Trade could reroute elsewhere, increasing Kosovo’s separation from Serbia, unless Serbian exporters cut their prices to compensate. The impact on Serbia should be minor: exports to Kosovo at 400 million euros a year are just 3% of total goods exports. The EU will be irked at Prishtina’s failure to uphold good regional relations under its Stabilisation and Association Agreement.


Significance Months of negotiations between the government, parliament and EU member states on the Netherlands’ approval of the EU-Ukraine Association Agreement -- which Dutch voters rejected in a referendum last April -- damaged the electoral prospects of Rutte's Liberal Party (VVD). However, he reached a provisional deal in December. His success in temporarily parking this contentious issue comes amid the unfolding of a two-party race between the VVD and the PVV in the final weeks before the elections on March 15. Impacts If the VVD stays in power for another term, a referendum on EU membership is highly unlikely. The VVD’s tougher stance on immigration and integration could attract right-wing voters and make it a more tempered alternative to the PVV. The Labour Party may shift its focus from economic to social issues to differentiate itself from the VVD and attract left-wing voters.


Significance This does not mean reimposing pre-Schengen border controls, Dijkhoff said. However, last September, mobile patrols initiated random checks for smugglers and those ineligible for asylum. Amid increasing pressure to close its borders to control the entry of refugees, the Netherlands is meanwhile the only EU member state to hold a referendum on Ukraine's Association Agreement (AA). This springs from public discontent about what some consider further 'expansion' of Europe. Impacts A major rise in Ukrainian workers entering the Netherlands is unlikely post-ratification because employment permits would still be required. The AA would benefit Dutch investors, in the agri-food, horticulture, energy, logistics, water, hi-tech and retail industries in particular. Rejecting the AA could play into the hands of the Kremlin, by driving a wedge between Ukraine and the EU.


Subject Euratom and Brexit. Significance The UK government on July 13 put forward its proposals on handling its exit from the European Atomic Energy Community (Euratom). The document was published amid growing consensus between parliamentarians, the nuclear industry and the scientific and medical communities that the considerable risks associated with leaving Euratom made transition arrangements essential. Impacts Exiting Euratom and the EU will exacerbate the United Kingdom's problems of an ageing nuclear workforce and skills shortages. A UK association agreement with Euratom could be derailed by a veto by the anti-nuclear Austrian government. The problems presented by exiting Euratom will be replicated in other areas where the United Kingdom relies on EU expertise and oversight.


2019 ◽  
Author(s):  
Theresa Bachmann

How does the EU respond to its proximity to its neighbours? This study’s normative approach to the much-discussed issue of European neighbourhood relations analyses the potential Article 8 of the TEU holds for these special relations. Looking at Article 8 of the TEU as largely detached from the European Neighbourhood Policy (ENP) opens up a new perspective on the political concept of European neighbourhood relations. This norm analysis shows a neighbourhood area that is unique in the system of European external relations.
Within this system, the ENP represents the status quo of neighbourhood relations. Using the Association Agreement with Ukraine as its basis, the study argues that in the current status quo the full potential of Art. 8 of the TEU has not been achieved.


Significance The agreement is designed to fall short of a full EU association agreement because Armenia remains in the Russia-led Eurasian Economic Union (EEU). All parties say they are comfortable with the arrangement. Armenia is the only EEU member to obtain such a partnership deal with the EU. Impacts Armenia has a chance to rebuild its international standing, compromised after its U-turn in 2013. The deal will test the Armenian government's political will to reform. Moscow may try to showcase the deal as a sign of willingness to compromise with the West.


Subject Labour remittances and the Ukrainian economy. Significance Ukrainians account for one of the largest migration waves to the EU, thanks to visa-free travel arrangements under the Association Agreement. As emigration has risen since 2014, remittances sent home by workers abroad have risen to 8-9% of GDP. Ukraine does not depend on remittances to same extent as some regional countries, but the inflows are now important for economic stability. Impacts Migrants may become an important constituency pushing for political change. Increased migration to EU states is reorienting Ukraine away from Russia. Ukrainians are contributing to economic performance in host countries in Central-Eastern Europe.


Significance Ukraine's new education law was designed to reduce the role of Russian in schools but has enraged EU states with minorities in the country as well as Moscow. Hungary has threatened to obstruct Ukraine's European aspirations. Impacts The EU is unlikely to bow to Hungarian pressure to alter the Association Agreement with Ukraine. The deals offered to ethnic minorities will be shaped by the pressure applied by their 'patron' external states. Crimean Tatars living in areas under Ukrainian control will be given special treatment.


Significance The speech is being flagged as a major statement of government policy. It comes at a crucial time in the Brexit negotiations, with one month to go before an important European Council summit in October which comes one year before the scheduled end of the negotiations as a whole. Impacts Talks on the EU-UK longer-term relationship may be pushed back until after a European Council summit in December. Despite the time constraints, it appears unlikely that the two-year negotiating period will be extended. The EU will want any transitional period to look like the status quo or the EU-UK longer-term relationship to minimise disruption. May could face a leadership challenge after the Conservative Party conference in October.


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