EP Trade Committee: Hearing of Commissioner-designate Maroš Šefčovič

Sehr geehrte Vorsitzende,

Sehr geehrte Abgeordnete des Europäischen Parlamentes,

It is an honour to appear before you today, opening these days of European democracy in action.

Soon, we will mark 15 years since the Treaty of Lisbon entered into force – a step change in the governance of our Union, which enhanced the European Parliament’s role as a fully recognised co-legislator.

Therefore, I appreciate that President von der Leyen wants to entrust me with Trade and Economic Security as well as Interinstitutional Relations and Transparency.

These elements are mutually reinforcing.

As an exclusive EU competence, trade has been a true success story, turning our Union into an economic powerhouse, with the largest network of trade agreements globally.

So, if confirmed as Commissioner, my overarching priority– across all my duties – will be fostering EU unity,

including by continuously strengthening our partnership with the European Parliament – a partnership essential for the effective functioning of our Union.

Because unity not only brings us better trade deals but makes us better off – stronger at home and globally.

A set of principles – agreed by Parliament President Roberta Metsola and Commission President Ursula von der Leyen to underpin the revision of the Interinstitutional Framework Agreement – lays down a sturdy stepping stone for us on this path.

From day one, I will roll up my sleeves and engage with Parliament negotiators to turn these principles into reality – strengthened cooperation at its best.

Honourable Members,

The story of trade is the story of civilisation. Trade has always had a lasting impact on the world – and today, trade has become a geostrategic tool.

Our European Union is built on free trade between its members. Our commitment to opening up world trade is therefore part of our DNA.

The EU accounts for 16% of world imports and exports, more than anyone else.

Alongside 76 free trade agreements, the EU is the number one trading partner for 54 countries, accounting for 48 percent of global GDP.

Over 30 million European jobs are supported by exports.

Put simply, trade helps the EU prosper, including by enabling our clean and digital transitions – essential for strengthening the EU’s social model.

But while just a decade ago, the EU and our main partners were largely aligned, today’s international trade environment is marked by stark competition over disruptive new technologies, and the weaponisation of economic dependencies.

Given this seismic shift, my priorities for trade would centre around three Ds.

The first D: driving the EU’s competitiveness.   

Trade – as the external arm of our powerful Single Market – remains vital. But a series of recent crises has led to a major re-think of supplier relationships.

In the balance between economic efficiency and security of supply, the pendulum is swinging towards the latter.

So, if confirmed by this House, I will focus:

• on opening new markets, notably by bringing key FTA negotiations across the finish line, so that EU businesses can grow;
• on supporting EU investment in third countries, for instance through stronger direct support measures;
• and I will focus on promoting the EU’s approach to rules and standards, especially under our twin transitions, so that EU standards become global.

Turning tothe second D: defending EU businesses against unfair practices.    

Trade today is driven less by market forces alone. Unfair practices and state interventions are increasingly widespread, especially in the absence of a modernised global rulebook and dispute settlement system.

So, it is time to double down on our efforts to safeguard a level playing field. EU industry must get rapid and effective relief when faced with dumped or unfairly subsidised imports, non-market overcapacities, or negative spillovers from foreign industrial policies.

So, if confirmed:

• I will make assertive use of our robust system of trade defence instruments, while ensuring that our response is legally sound and everyone is on board.
• And I will examine the extent to which we need to review these defence instruments.

My overarching message will be clear:

Yes, the EU will continue to champion free and fair trade.

But we will also be firm and forceful when our businesses get the short end of the stick.

Now,the third D: deepening our alliances.    

The EU continues to have a strategic interest in supporting rules-based trade, despite current fragmentation. I see my prospective mission here as two-fold:

• First, leading efforts to reform the World Trade Organisation, including by investing in the plurilateral track.
• Second, complementing our traditional FTA-based approach with more compact and agile trade agreements.

This includes new Clean Trade and Investment Partnerships – to help us ensure that raw materials, clean energy and clean tech flow freely, while supporting the industrial development our partners seek, through enhanced EU investment.

Honourable Members,

The transatlantic bondis the most natural for us.    

The EU and the United States account for 29 percent of global trade. We enjoy mutual investment of 5 trillion euros.

Undoubtedly, it remains advantageous for the EU and the US to work together, rather than against each other.

So, regardless of the outcome of the US elections, I will put forward an offer of cooperation, including a revamped EU-US Trade and Technology Council. At the same time, I will be ready to stand up for our interests if faced with disruptive scenarios.

Turning toChina, our third biggest and most challenging trading partner – we need to rebalance this relationship around transparency, predictability and reciprocity.

This means being more assertive in challenging China’s structural imbalances and unfair practices, such as non-market policies driving overcapacity. We need a level playing field.

I will also advance our de-risking strategy. We cannot afford costly dependencies – old or new – nor will we tolerate coercive practices from anyone.

Moreover, I will contribute to developing a strategicEU-Indiaagenda and strengthen our economic links in theIndo-Pacificregion, withLatin America and the Caribbean. I will also work withAfrican partnersto facilitate trade and promote sustainable investment.

Here, I want to make an unwavering commitment.

I will always engage with this House on agreements in the making – in a forthcoming, thorough and factual manner.

And I will never sign off on a deal that is not in the EU’s collective interest.

As many of you know, this is no empty promise.

During this mandate, I have always kept you abreast of major developments in our relations withthe United Kingdom and Switzerland.

I will strive to further consolidate EU relations with ourWestern partners, including the European Economic Area, given our shared values – not least after the return of war to European soil.

Mesdames et Messieurs,

Le commerce est un composant déterminant de la puissance économique de l’Union européenne. Et sans puissance économique, il n’y a pas de sécurité économique possible.

C’est pourquoi je partage la vision de la présidente von der Leyen, selon laquelle nous devons mettre ces deux piliers sous un seul et même toit.

L’Union européenne s’est vue exposée à laweaponisationde nos liens économiques.

Notre stratégie de sécurité économique est conçue de façon à mieux comprendre ces risques et à trouver un juste équilibre dans les réponses politiques.

If confirmed, my priorities will include:

• Enhancing our understanding of risks, especially in relation to critical infrastructure, technologies, supply chains, and dependencies;
• Deploying risk mitigation measures, by developing, revising, or making use of our tools, such as the Foreign Direct Investment screening, export controls or outbound investment.

This includes the work on a new economic security doctrine, outlining the strategic use of our autonomous tools.

And I will also focus on improving the exchange of information and potential responses, as well as on designing joint economic security standards for key supply chains, in particular with the G7.

Economic security will require deepened engagement with the European Parliament, Member States, and all stakeholders. I will work towards strengthened governance in this area.

This brings me tothe EU’s customs policy, which holds significant weight in both trade and economic security.   

If confirmed, my priority will be to see the comprehensive Customs reform done and dusted – ideally under the Polish Presidency of the Council.

Establishing an EU Customs Authority, followed by an EU Customs Data Hub – a state-of-the-art engine working 24/7 – will be a game changer.

It will fully integrate customs data, providing us with a complete picture of goods entering the EU.

And it will save up to 2 billion euros annually in operational costs.

Given these benefits, I will throw my weight behind advancing the start date for this new customs authority from 2028 to 2026.

This would help us address e-commerce challenges, in particular – in line with the European Parliament’s Opinion.

But we want to aim even higher, towards the most profound modernisation of our customs policy. Because as a key enabler of cooperation as well asa first line of defence against risks, it can be a key driver of our strategic autonomy.

Honourable Members,

We can make a real difference, provided we all work together. That is particularly true in interinstitutional terms– and if confirmed, I wish to build on what I consider outstanding cooperation with this House.

I began today by highlighting the revision of our Interinstitutional Framework Agreement – a compass guiding our action.

In this context, I will continue strengthening Parliament’s right of initiative under Article 225 of the Treaties, by enhancing the Commission’s follow-up to corresponding resolutions.

During this mandate, I have made sure that the Commission keeps President von der Leyen’s promise, by responding positively and promptly to all 24 Parliamentary resolutions that required a response. This was thanks to our joint efforts to foster understanding on substance and a sense of collaboration.

Going forward, I will continue to uphold the principle of equal treatment of the Parliament and the Council, especially through the timely flow of comprehensive information.

I will also engage with fellow Commissioners to ensure their presence in the Parliament to strengthen our joint political responsibility.

This includes providing comprehensive justification on the exceptional cases where Commission proposals are based on Article 122 of the Treaties.

In the spirit of our special partnership, the Commission will also facilitate progress on the Right of Inquiry, by seeking the best way to break the deadlock with the Council.

Turning totransparency– an essential ingredient for fostering citizens’ trust and a principle to which I fully subscribe.

It is our institutions’ duty under the Treaties to conduct our work and take decisions as openly as possible, while maintaining regular dialogue with civil society.

Therefore, if confirmed, I will use the opportunity of next year’s review of the Interinstitutional Agreement on the Transparency Register to perform a fitness check. I will engage with you closely during that process.

In the Commission, we will strengthen the system by extending the requirements of the Transparency Register to all managers.

As the Commission’s prospective representative in the new EU Ethics Body, I will contribute to defining minimum ethical standards.

This body is a milestone in our institutional landscape, and I am ready to work jointly to make it a success.

Honourable Members,

Today holds an emotional element for me.

Next week, we will celebrate thirty-five years of freedom in Slovakia, following the Velvet Revolution. I often say that it is this experience – of growing up behind the Iron Curtain – that has made my work for a united Europe a passion, an honour, a commitment.

Ukraine’s heroic fight for the very same freedom adds a sense of urgency to that commitment.

I assure you that in me, you will always have someone who is committed:

• to building bridges;
• to seeking solutions;
• and to defending our Union’s values and interests.

Thank you.