Le Monde diplomatique, deutsche Ausgabe, 8.11.13 TAFTA / TTIP - die große Unterwerfung
 
Le Monde diplomatique Next
 TAFTA - the great submission
 by Lori Wallach
 Excited politicians from Berlin to Brussels seen through the NSA 
scandal, the Transatlantic Free Trade Agreements in jeopardy. About what
 should be in the intended contract, they do not talk so much. A look at
 the first blueprints foreshadows what will not learn too early European
 citizens.
 Lready fifteen years ago tried large companies in the 
negotiations on the Multilateral Agreement on Investment (MAI), secretly
 and quietly expand their authority to an unbelievable degree. At that 
time, the project failed because of the stubborn resistance of the 
public and parliaments. Thus was prevented, among other things, that 
individual companies could gain the same legal status as nation-states. 
That would have some means that companies can sue a government "lost 
profits" balance of tax money.
 But now those plans are on the 
table again, in much stricter version. The official name of the new 
project is TTIP "Trans-Atlantic Trade and Investment Partnership", 
abbreviated. This transatlantic trade and investment agreement is 
similar to the earlier MAI protect the privileges of corporations and 
investors, and even expand yet. Thus, the EU and the U.S. want to unify 
their respective standards in "non-trade" areas. This target 
"harmonization" is based, as expected, to the interests of corporations 
and investors. Whose standards are not met, perpetual trade sanctions 
can be imposed. Or it will be due compensation for the giant company.
 The negotiation of this type coup d'etat in slow motion began in July 
this year in Washington - with the declared intention to sign in two 
years, a deal that will create a transatlantic free trade area 
(Transatlantic Free Trade Area, Tafta). The entire TTIP Tafta project 
resembles the monster from a horror movie, that's userbase by anything. 
Because the benefits that the company would offer such "economic NATO" 
would be binding, durable and virtually irreversible, because each 
provision can be amended only with the consent of all the signatory 
countries.
 Economic NATO with limitless powers
 Because the 
globally operating U.S. corporations seek a similar partnership 
agreement for the Pacific (Trans-Pacific Partnership, or TPP), we would 
be heading for a system that cemented the rule of the most powerful 
capitalist groups over the majority of the world and legally secures. It
 appears that other states would be forced to dock at the TTIP or TPP. 
You would have to engage in trade with the U.S. and the EU under the 
rules set.
 React in the U.S. voters who have President Obama 
removed his promise of a "credible change," partly depressed, sometimes 
angry. For what he them as rules for the global economy on the level of 
21 Wants to sell century, boils down to that of the social movements of 
the 20th Century advances are enforced largely undone.
 
Negotiations on the TTIP Tafta project will take place behind closed 
doors. This ensures that no one will notice beyond the closed circle of 
"trade policy" in time, what actually is at stake. (1) On the other 
hand, have 600 official advisor to corporations privileged access to the
 documents and to decision makers. Draft text is not published, the 
public and the media are left out until the final deal is signed and 
sealed.
 Who resigned in June, U.S. Secretary of Commerce Ron Kirk
 had declared in July 2012 in a fit of honesty, why such secrecy is 
necessary. In an earlier case, the draft has been published for a 
comprehensive trade agreement, and therefore it had failed at the end ( 
2) Kirk was referring to the first port to the North American Free Trade
 Agreement, NAFTA, the text of which had been placed in 2001 on the site
 of the government. The Democratic Senator Elizabeth Warren said: A 
paper must shun the public, should not be signed (3).
 For 
secrecy, there is a simple reason. Such an agreement would require 
national governments down to local governments to adapt their current 
and future domestic policy the comprehensive rules. In this agreement, 
negotiated legal requirements would be at the diplomatic level is 
committed, the concern also many non-trade areas by the desire of 
companies: about the safety and labeling of foodstuffs, the limits of 
chemical and toxic pollution, health and medicine prices, the right to 
privacy in Internet, energy and cultural "services", patents and 
copyrights, the use of land and resources, the rights and the 
opportunities for working immigrants, public procurement, and much more.
 The signatory States must ensure that "comply with its laws, 
regulations and administrative procedures" agreed upon in the Agreement 
requirements. When in doubt, they would be forced to: If there are any 
violations of the contract, the respective state would have to submit a 
dispute settlement procedure, after which the recalcitrant country may 
be subject to trade sanctions.
 That this is no exaggeration, a 
look at other trade agreements with the attractive label of "free 
trade": 2012, under the WTO said the U.S. a label for canned goods, 
which guarantees the protection of dolphins or prove the origin of meat 
products. Subject to the WTO and the EU in the conflict over genetically
 modified foods. And they have to pay on WTO Decision tens of millions 
euros penalty because it prohibits growth hormones for animals for 
slaughter.
 If the TTIP Tafta project would states,, any investor 
who is engaged in one of the countries involved could take all sorts of 
"non-trade" provisions under attack - exactly as it was provided in the 
failed MAI 1998 .
 This alone makes the TTIP project a threat of 
entirely new dimensions. And since any subsequent contract amendment 
requires the consent of all signatories, the reactionary content of the 
Agreement by democratic control mechanisms such as elections, political 
campaigns and public protests were not more vulnerable.
 
Politically sensitive, the role of the tribunal, which should enable 
each group to oppose a state speak at eye level. The three-member 
chambers would be organized under the supervision of the World Bank and 
the UN and could arrange state compensation payments if they are that 
certain measures of a government policy or reduce the "expected future 
profits" of a company. This arbitration regime makes clear that the 
rights of companies to be more significant than the sovereignty of 
States. It would empower companies to pull the governments of the U.S. 
or an EU state on a non-judicial tribunal. And with the simple argument 
that the health or financial or environmental or other policies of this 
government affects their rights of investors.
 This system is an 
extreme favoring corporate interests that were in the case of the MAI 
failed yet, has since been enshrined in several "free trade agreement" 
of the United States. This brought more than $ 400 million in taxpayer 
money to companies against bans toxic substances, licensing rules, laws 
on water protection or forest use and other "hampering investment" had 
complained regulations. (4) Prior to these tribunals are currently 
lawsuits from companies with a value of 14 billion pending that relate 
about the drug approval, the liability for environmental damage or 
climate and energy legislation.
 The TTIP Tafta project would give
 this to the state Drohinstrument a whole new range of investors. 
Because then could thousands of companies that do business in the U.S. 
as in the EU, take all possible state laws to protect the community 
interests on the grain. 3300 EU companies have more than 24 000 
affiliates in the United States, each of which could be interest from 
investors sue against the state. Conversely, could play the part of the 
50 800 subsidiaries that maintain 14 400 U.S. companies in the countries
 of the European Union on a wave of investor lawsuits. A total of 75 000
 on both sides would be so registered companies are able to undermine a 
political system that have been left to the citizens.
 The system 
of investor-state dispute settlement (investor-state dispute settlement,
 ISDS) was supposedly invented with regard to developing countries 
without reliable legal system. That is, investors should be able to 
enforce a compensation in case of expropriation of their factories, 
mines or plantations compared to the native state. Now, the U.S. and the
 EU are by no means under-developed regions. And they have judicial 
systems, which are among the most stable in the world; also a lack of 
protection of property rights can be no question. If the ISDS regime 
emerges in an agreement between the U.S. and the EU, this is a clear 
indication that it's not about better protection for investors, but to 
the power of the company.
 Investors right to national laws
 
The arbitration chambers can override their decisions on government 
policies and state laws that consist of three lawyers from the private 
sector arbeiten.5 Many of them are usually in their normal working life 
of company lawyers that sue governments. The exclusive club of "judge" 
such international arbitration chambers is dominated by 15 law firms 
that were involved in 55 percent of all past investment suits against 
states. A possibility of appeal against their decisions do not exist.
 The "investor rights", foreign firms can sue after the scheduled TTIP 
Tafta Treaty against government measures are vaguely defined and also 
very broad. The previous arbitration chambers have these rights tend to 
be interpreted far more generous than they are granted domestic 
companies under national law. They have postulated about the right to a 
broad protection trust, which ultimately means: the regulatory 
environment must not be changed upon completion of your investment.
 Was protected by law and the right to compensation for "indirect 
expropriation": A State must pay accordingly if its new regulations 
reduce the value of the investment - even if these apply equally to 
domestic and foreign companies. This guarantee would extend to new 
regulations the purchase of land, natural resources, energy sources, 
factories and other investment properties.
 By means of such 
privileged regulations in the previous agreements, foreign investors 
already demanded in various cases, compensation for their "indirect 
expropriation", with respect to health and safety standards of consumer 
goods, laws on environmental protection and land use decisions in the 
tendering of public projects, climate change - and energy policies, laws
 on water protection or restrictions of resource extraction.
 Some
 examples: Raising the Egyptian minimum wages and a Peruvian law for 
control of toxic emissions are currently being fought by companies in 
the U.S. and the EU, citing their investors privileges (6) Other 
companies complained, referring to the NAFTA agreement to guarantee 
prices for feed. renewable energy and against a fracking moratorium. The
 tobacco giant Philip Morris has an arbitration against progressive 
anti-smoking laws in Uruguay and Australia intently after he had failed 
to overturn this law in domestic courts. Similarly, the U.S. 
pharmaceutical company Eli Lilly has complained having regard to the 
NAFTA agreement, however, that Canada is the licensing of drugs 
according to their own criteria in it (to make affordable medicines 
accessible to all people as possible). And the Swedish energy company 
Vattenfall is trying to collect billions of dollars in compensation from
 Germany because of restrictive regulations for coal-fired power plants 
and the gradual decommissioning of nuclear power plants (see article on 
page 14).
 In the set of the Chamber of Arbitration payments to 
foreign corporations, there may be huge amounts of money, in one of the 
most recent cases, there were more than 2 billion dollars (7) Even if 
governments attract, they often have to bear the legal costs, on 
average. $ 8,000,000 are. In any case, they are often alone, scared by a
 complaint from the industry. The example shows the behavior of the 
Canadian government, which has withdrawn the ban a toxic additive for 
automotive gasoline.
 Monsanto morning air smells
 The number 
of cases submitted to arbitration has grown rapidly in recent years, 
according to UNCTAD data it is now ten times higher than in 2000. And 
2012 more complaints were filed than ever before. As a result, a whole 
new legal industry has arisen: Today, many law firms are specialized on 
behalf of the industry engaged in plundering the public coffers by such 
actions.
 This Economic NATO is the stated goal of the 
Transatlantic Business Dialogue (TABC), which takes place twice a year 
in the Trans-Atlantic Council for some time. TABC was founded in 1995 on
 the initiative of the U.S. Department of Commerce and the European 
Commission to the high official dialogue entrepreneurs and top managers 
from the U.S. and Europe are also involved. Thus, the Forum provides a 
basis for major corporations coordinated attacks on political projects 
on both sides of the Atlantic, in the interest of consumer protection, 
the environment, global climate, and other public interests. His stated 
interest is to eliminate "trade confounders" (trade irritants), so that 
they can operate on both sides of the Atlantic by the same rules - and 
as free from government interference. The key euphemistic term 
"regulatory convergence" here covers the most important goal: They want 
vergattern governments in the name of "equivalence" and "mutual 
recognition" to also allow such products and services which do not meet 
the relevant local standards.
 The public interest committed to 
standards "lids", is a second object of the TTIP Tafta project. During 
the negotiations, wants to develop new "transatlantic" standards. To 
request the U.S. Chamber of Commerce and Business Europe, two of the 
largest business associations, the representatives of big industry would
 work together with the governments of a new framework for key future 
decisions.
 The business side of their goals formulated remarkably
 open, for example, the dispute over the designation "genetically 
modified organisms" (GMOs). While half of U.S. states currently 
considering a mandatory labeling of GM products, by the way, endorse 
more than 80 percent of the domestic consumer, the genetic urge 
producing and processing companies on the GMO labeling on the TTIP Tafta
 agreements to dismantle it.
 Most hotly complained the 
Association of Biotechnology Companies (BIO), which also includes the 
industry giant Monsanto heard about "the significant and growing gap" 
between "the release of new biotechnology products in the United States 
and the approval of these products in the EU '. (8) Monsanto and other 
organic companies hope these "resolve backlog of acceptance / use of 
genetically modified crops" as part of a Transatlantic Free Trade Area 
to (9).
 A second important issue is the use or the protection of 
private data. An anonymous coalition of Internet and IT company, called 
Digital Trade Coalition, wants the EU data protection rules do not 
impede the flow of personal data in the United States. This lobby the 
Internet industry, explains the current assessment of the EU that the 
U.S. would not provide appropriate protection of privacy, for it was 
"not clear". Given the ever-new revelations about the massive data theft
 is such a statement especially revealing. Even the powerful U.S. 
Council for International Business (USCIB) reminds us of the Tafta 
Agreement must take exception clauses in security and privacy very 
tight, "so they can not be used as disguised barriers to trade." (10) 
You should know that USCIB members of the company like Verizon, which 
have the NSA mass supplied to personally identifiable information.
 A third target is food safety. Here, the U.S. meat industry wants to 
use the negotiations to overturn the EU ban on treated with chlorine and
 other disinfectants chicken. While the stricter EU standards reduce the
 risk of contamination of products during slaughter and processing 
process, the U.S. rules address the risk of contamination by a 
disinfectant that will kill coliform and other bacteria on the chicken 
pieces. So asks the parent company of the restaurant chain Kentucky 
Fried Chicken, the agreement would change the EU standards for food 
safety so that Europeans can buy their chicken chlorine.
 Another 
example: The American Meat Institute (AMI) is outraged, the European 
Union insist on their "unjustified" ban of meat that has been produced 
using growth hormones. These agents, such as ractopamine are, because of
 the health risks to humans and animals in 160 countries - including all
 EU countries, but also Russia and China - are prohibited or restricted.
 The Association of American pork producers (NPPC) has his wishes: "The 
U.S. pork producers will only accept an outcome if it eliminates the EU 
ban on the use of Ractopoamin in the production process."
 On the 
other side of the Atlantic fought Business Europe, the EU's largest 
trade association, the U.S. law on the modernization of food safety as 
one of the "central non-trade barriers to EU exports to the U.S.." This 
groundbreaking Act of 2011 authorizes the U.S. supervisory authority to 
take the Food and Drug Administration, contaminated food from the 
market. This right to do away using the TTIP Tafta agreement European 
companies apparently.
 The fourth objective is the elimination of 
climate policy. Airlines for America, the largest association for the 
U.S. airline industry, published a list of "unnecessary regulations that
 significantly impede our industry" - and you want to abolish the 
transatlantic negotiations. At the top of that list is the most 
important instrument of the Europeans on climate change, the EU 
emissions trading system. Means of emission trading should airlines be 
forced to pay for the damage they have CO (2) emissions. Airlines for 
America sees in this system a 'progress obstacle "and wants to ensure 
that the inclusion of airlines from non-EU countries in this system, 
which is currently suspended from the EU, comes from the final table. 
(11)
 Fifth, it is also about the withdrawal of controls and 
restrictive rules for the financial sector. Even in the face of the 
global financial crisis, the delegations of the USA and the EU have 
agreed on a framework for the chapter on financial services, which 
continues to focus on liberalization and deregulation. The negotiated 
approach would exclude not only the prohibition of risky financial 
products and services. It would even provide the opportunity to 
challenge restrictive laws of individual states that prohibit certain 
risky products and services of financial institutions or windy legal 
structures.
 Freedom for chlorine chicken and pork hormone
 
These framework agreements would exclude many recipes, which could 
address the problems in the financial sector in the grip of politics. 
These recipes include controls and restrictions on institutions that are
 "too big to fail" - so as to big to go bankrupt can, or the 
construction of a risk-reducing firewall within the major banks, which 
should foreclose the retail business from the risks of investment 
banking , or mandatory clearing houses for derivatives trading. The 
agreements would therefore be tantamount to that certain types are 
absolutely prohibited from legal regulations, which means that the 
states concerned will neither introduce new still maintain such 
arrangements.
 What is behind these plans is evident a statement 
by the Federal Association of German Banks (BdB). It states that certain
 regulatory proposals of the U.S. financial regulator would have thrown 
in the EU official and private institutions with serious concerns. 
Calls, therefore, the Banking Association in relation to the ongoing 
U.S. financial market reform their coordination with the reforms in the 
EU and other major countries and a maximum recognition of home country 
rules for operating in the U.S. market German and European banks. (12)
 Decisive influence in the BdB, the German bank that cashes $ 8 billion 
during the crisis of the U.S. central bank. (13) The German financial 
giant is aimed primarily against the heart, adopted in July 2012 U.S. 
financial market reform. Especially it is strongly criticized the 
so-called Volcker Rule. It contains certain restrictions on high-risk 
financial products, which are too heavy a burden for foreign banks 
operating in the United States, in the opinion of the BdB.
 The 
European Services Forum, at which the German bank is also involved, 
describes itself as "the voice of the European service economy in 
international trade negotiations." This voice rises the demand that 
Tafta should prevent the U.S. regulators classify an active foreign bank
 in the United States as too big to fail and thus impose stricter 
requirements than those in their own country. The reason: It was not 
acceptable that a global company under foreign law is defined as 
"systemically important financial institution" (Sifi), while it is not 
considered under local law as such.
 A counterpart to this agenda 
of Europeans is the opposition of the United States against the 
financial transaction tax, which is envisioned as a tool against 
speculation in Europe. The U.S. financial institutions want to achieve a
 ban on legal restrictions on the free movement of capital across the 
TTIP Tafta negotiations. Meanwhile, however, the IMF has already called 
on the EU, the financial transaction tax as not to introduce. Would in 
Europe only a modified, milder form of this tax would likely lose the 
theme for the U.S. negotiators in importance (14).
 The service 
includes but not only the financial services industry. Under the 
relevant chapter of transatlantic negotiations is also about medical 
services or education programs to energy supply. It is the goal of the 
business side of it, the regulatory intentions of governments by roughly
 formulated as "parameters" zurückzustutzen. That would apply to both 
cross-border services as well as on the treatment of foreign service 
providers that operate on the territory of the State. And with the aim 
to abolish any domestic room for the "regulation" of areas such as 
transport, health, energy and water supply to the regional or local 
land-use and land use planning laws.
 An agreement, but no recovery
 In these negotiations, it would even go to the immigration and visa 
requirements for people who want to offer a service. Whatever one's 
views on border management and immigration policy for certain countries:
 It is obviously a very bad idea to define the relevant rules behind 
closed doors in the negotiation of trade agreements. Especially when the
 result can only be changed or, if all parties agree.
 But why 
this agenda is being pursued now? In Washington, after consulting the 
theory that European politicians are desperate for it, some a 
distinguished, which they can spend as impetus for economic growth. 
Therefore, they now demonstrated a new level of flexibility and be 
willing to give all the important instruments for the protection of 
public interests from the hand of this goal.
 The usual argument 
for free trade agreements is that these lower tariff barriers, which in 
turn is boosting trade, so that all people can buy cheaper imported 
goods. This benefit is greater than the downside for people who lose 
their job. However, customs tariffs between the U.S. and the EU are, 
according to the Commerce Department in Washington "already quite low" 
(.15) The politicians of both parties that operate the Tafta project 
grant also is readily apparent that it is not primarily in order to 
tariff reductions is, but rather "the elimination, reduction or 
prevention of unnecessary, non-tariff barriers" (16) - which are all 
trade restrictions meant that there may be still out on tariffs. Say, 
it's about or against legal requirements for financial transactions, 
measures against climate change, against standards of food and product 
safety.
 This also explains why studies on the economic impact of 
tariff reductions assess the successes as rather poor. A study of 
Tafta-friendly European Centre for International Political Economy comes
 to the finding that the GDP of the USA and the EU - would grow by at 
most a few thousand, and from 2029 (17) - even under extremely blue-eyed
 assumptions.
 Most previous predictions based on the assumption 
that tariff cuts always cause a severe economic dynamism - which is 
empirically disproved long ago. When you remove this dubious assumption,
 then - clear the authors of the study, a shrinking of the potential GDP
 growth of 0.06 percent, statistically irrelevant.
 Various other 
studies that peddle politicians and business associations, is therefore 
limited to the central goal of the transatlantic project: the 
elimination of non-tariff barriers to trade, as they call it cutting 
down all kinds of laws and regulations to protect the public interest 
euphemistically. These studies are based on one and all the unproven 
mantra that the abolition of welfare achievements somehow bring economic
 benefits for all. However, even with such a slanted calculations for 
the project Tafta they only come in a very poor economic balance. Where 
they still beat the quantifiable costs that are incurred for the 
consumers and for the economy as a whole if all the achievements in the 
public interest, from health to environmental protection to the welfare 
state in the broadest sense, can be reversed.
 But the good news 
for last: All previous attempts to use international trade agreements as
 a Trojan horse to dismantle the welfare state and the return to a 
neoliberal night-watchman state are failed miserably. This will happen 
if the citizens, the media and some politicians finally wake up and 
bring the clandestine attempts to undermine democracy, to fail this 
time.
 Footnotes:
 (1) The Government circles that know about 
it, are proponents of this kind of free trade policies. Many were 
already involved in the NAFTA negotiations between the U.S., Canada and 
Mexico.
 (2) The statement referred to the TPP negotiations, see Reuters, 13 May 2012.
 (3) See "Huffington Post, June 19, 2013.
 (4) A list of these cases, "Public Citizen, September 2013: www.citizen.org - 
 
 .
 (5) Andrew Martin, "Treaty Disputes roiled by Bias Charges", Bloomberg, 10 July 2013.
 (6) See "Public Citizen, November 28, 2012.
 (7) was affected in the case of Ecuador. See Agence France-Presse, 13 October 2012.
 (8) Opinion of BIO in May 2013.
 (9) ec.europa.cu .
 (10) leads the USCIB On its website the motto: "The Power to Shape 
Policy 'and boasts a" unique global network, "which helps him," turn the
 vision into reality. "
 (11) The collection of the levy for flights 
from foreign companies from the EU and has been suspended by Climate 
Commissioner Connie Hedegaard to the Conference of ICAO international 
aviation company, which takes place this month.
 (12) bankenverband.de / theme / subject information / international / us financial market regulation . See also the (U.S.)
 (13) See Ulrich Schäfer, "Mr. Stockhausen's heritage", "Süddeutsche Zeitung, October 30, 2013.
 (14) Already in 2010, was warned in a memorandum to the European 
Commission warned that the introduction of a financial transaction tax 
with obligations under the WTO could collide.
 (15) Note to John Boehner, the Republican leader of the House of Representatives, 20th March 2013: ec.europa.eu .
 (16) "Final Report, High level working group on jobs and growth", 11 February 2013: ec.europa.eu .
 (17) "Trade Tafta's Benefit", "Public Citizen, July 11, 2013.
 Translated from English by Niels Kadritzke
 Lori Wallach heads the world's largest consumer advocacy group Public Citizen's Global Trade Watch in Washington, DC: 
 