The EU is taking steps to ensure affordable access to COVID-19 vaccines and testing kits.
The Council today adopted amendments to the directive on the common system of value added tax (VAT) to allow member states to temporarily exempt COVID-19 vaccines and testing kits, as well as closely related services, from VAT.
Member states may also apply a reduced VAT rate to testing kits and closely related services, if they choose to do so. This possibility is already available for vaccines.
The measures decided today only concern COVID-19 vaccines authorised by the Commission or by the member states and COVID-19 test kits that comply with the applicable EU legislation.
They will apply until 31 December 2022.

Amendments to directive 2006/112/EC as regards VAT applicable to COVID-19 vaccines and in vitro diagnostic medical devices

Compliments of the Council of the European Union.
The post EU Council greenlights temporary VAT relief on COVID-19 vaccines and test kits first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

The Council reaffirms the strategic importance of the European Union’s partnership with the United States of America as the world’s foremost and closest relationship, rooted in shared values and common interests, cultural and historic ties, as well as geopolitical reality. A strong transatlantic partnership is vital to ensure and to contribute to our common security, stability and prosperity. We also believe that transatlantic relations are the bedrock of the rules-based international order, reinforcing international peace and security, freedom, prosperity, human rights, gender equality, multilateralism, rule of law and democracy, not just for those living on our shores but also for the rest of the world.
The Council believes in a strong mutually beneficial long-term strategic partnership with the United States, in a strengthened multilateral order, which will promote a shared vision of the world and can achieve tangible results. A renewed transatlantic agenda is necessary to find joint answers to global challenges, in order to safeguard the health and wellbeing of our people and our planet, to protect democracy and make it deliver for our citizens. By pursuing its strategic course of action and increasing its capacity to act autonomously, a stronger European Union will actively contribute to strengthening the transatlantic partnership and its ability to deliver.
Given the devastating effects of Covid-19, there is an even more pressing need to fight the pandemic together, to fully implement the United Nations 2030 Agenda for Sustainable Development, to ensure a green economic recovery and to expedite green energy and digital transitions as well as to strengthen our shared values. In this context, the Council welcomes president-elect Biden’s intention for the United States to re-join the Paris Agreement on climate change as soon as possible. The Council stands ready to engage in a transatlantic climate dialogue in the run-up to COP26, building upon the Commission communication on the European Green Deal, and to jointly implement concrete measures to fight climate change and achieve climate neutrality. In order to boost economic recovery, we should work together towards deepening our economic relations, including settling trade differences. The EU and the US should aim to achieve a more effective and coordinated use of restrictive measures, as well as to address the issue of measures with extraterritorial effect.
It is time to deliver on our support for multilateralism, including through much-needed reforms in international organisations, in a way that preserves founding principles – enshrined in the Charter of the United Nations – and human rights. In this context, the Council welcomes the incoming Administration’s commitment to multilateral diplomacy and international alliances. The European Union looks forward to working closely with the United States to strengthen the United Nations’ ability to address global challenges. It is time to renew joint EU-US efforts aimed at strengthening as well as reforming international organisations such as the World Health Organisation and the World Trade Organisation, and to work together to reinforce the global non-proliferation, disarmament and arms-control architecture. We need to work together to preserve the Joint Comprehensive Plan of Action as endorsed by United Nations Security Council Resolution 2231 (2015), a key pillar of the global non-proliferation architecture, and to further its achievements and to address future challenges. The Council remains committed to reinforcing cooperation in international fora and protecting human rights, democracy and the rule of law.
The Council recalls that the democratic societies and market economies of the transatlantic partners face common threats and challenges presented by the growing international assertiveness of various actors. Together with the United States, we need to strengthen our strategic resilience, energy security, counter hybrid threats including disinformation, withstand economic coercion and attacks on critical infrastructure, step up our efforts to combat unfair trading practices and ensure that we maintain our technological edge. Wherever possible our cooperation should be broadened to include like-minded democracies around the world. The EU stands ready to continue working with the US in all areas, be it in the EU Eastern and Southern neighborhood, the Western Balkans, the Eastern Mediterranean, the Middle East, Africa, Latin America and the Caribbean, or the Indo-Pacific. Furthering our common agenda on sustainable connectivity will be equally essential.
The European Union and the United States should continue to maintain close cooperation and dialogue in the area of security and defence and further enhance their common efforts, including through enhanced, mutually-reinforcing and beneficial strategic EU-NATO partnership in areas of shared interest in the framework of the 2016 Warsaw and 2018 Brussels Joint Declarations. This will enable us to effectively address various traditional and emerging threats and challenges. In line with the Council conclusions of 17 June 2020, EU security and defence initiatives will enhance the European contribution to transatlantic security. This will also contribute to strengthening the rules-based international order with the United Nations at its core.
Ultimately and most importantly, we believe that our partnership is deeply rooted in relations between people. Promoting strong people-to-people connections can play a fundamental role in fostering a positive and ever closer EU-US relationship. Continued investment in people-to-people contacts, through cooperation in science, research and development, education, the Internet and information society, business and culture will be essential to building on our partnership. The Council also recognises the need to advance links between our young people and future leaders to promote mutual understanding for the benefit of EU-US cooperation, and the values and principles that we share. In order to enable all EU citizens to benefit seamlessly from people-to-people contacts, achieving full visa reciprocity with the United States for all its Member States remains a priority for the European Union.
The Council underlines its interest to engage in a regular, comprehensive and strategic political dialogue with the United States, including at the highest level, in order to reach the full potential of the transatlantic partnership. Cherishing the past while embracing the future, the Council stands ready to discuss the strategic direction of all policies of shared interest and looks forward to expanding cooperation with the United States.

Contact:

Maria Daniela Lenzu, Press officer | maria-daniela.lenzu[at]consilium.europa.eu

Compliments of the Council of the European Union.
The post EU Council conclusions on European Union – United States relations first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

Today the Commission adopted an Action Plan to support the recovery and transformation of the media and audiovisual sector. These sectors, particularly hit by the coronavirus crisis, are essential for democracy, Europe’s cultural diversity and digital autonomy. The Action Plan focuses on three areas of activity and 10 concrete actions, to help the media sector recover from the crisis by facilitating and broadening access to finance, transform by stimulating investments to embrace the twin digital and green transitions while ensuring the sector’s future resilience and empower European citizens and companies.
Recover
Under the Recovery and Resilience Facility, each National Recovery and Resilience Plan will earmark a minimum level of 20% of expenditure for digital. Measures to boost the production and distribution of digital content, such as digital media, will count towards this target. In addition, the Action Plan aims to:

1) Facilitate access to EU support via a dedicated tool for media companies to find all relevant EU funding opportunities for them. This will offer guidance on how to apply for relevant EU support, in the context of the 2021-2027 Multiannual Financial Framework, but also through national recovery and resilience plans;

2) Boost investment in the audiovisual industry via a new initiative MEDIA INVEST whose target is to leverage investments of €400 million over a 7-year period;

3) Launch a “NEWS” initiative to bundle actions and support for the news media sector. The initiative includes a pilot NEWS invest project with foundations and other private partners, access to loans to be backed by the InvestEU guarantee, grants, and a European News Media Forum with the sector. Particular attention will be paid to local media.

Transform
The Action Plan seeks to support the green and digital transformation of the sector:

4) Encourage European media data spaces for data sharing and innovation;

5) Foster a European Virtual and Augmented Reality industrial coalition to help EU media benefit from these immersive technologies and Launch a VR Media Lab on projects for new ways of storytelling and interacting;

6) Facilitate discussions and actions for the industry to become climate neutral by 2050.

Enable and Empower
Finally, citizens and companies are at the centre of the efforts outlined in the Action Plan to enable and empower Europeans. Actions include:

7) Launch a dialogue with the AV industry to improve access to and availability of audiovisual content across the EU, to help the industry scale up and reach new audiences and consumers to enjoy a wide diversity of content;

8) Foster European media talents including by promoting diversity before and behind the camera, and by scouting and supporting media startups;

9) Empower citizens including by strengthening media literacy and supporting the creation of independent alternative news aggregation;

10) Strengthen cooperation among regulators within the European Regulators Group for Audiovisual Media Services (ERGA) to ensure the proper functioning of the EU media market.

This Media and Audiovisual Action Plan goes hand in hand with the European Democracy Action Plan, which aims at strengthening media freedom and pluralism across Europe, with a focus on the protection of journalists. This Action plan is also fully aligned with the Commission’s upcoming proposals on the Digital Services Act and Digital Markets Act, which will aim at modernising the legal framework applicable to digital services in the EU.
Member of the College said
Executive Vice-President for A Europe Fit for the Digital Age, Margrethe Vestager said: “We are committed to help the media sector weather the current storm and challenges brought by the crisis, and to take full advantage of the opportunities offered by the digital transformation in both the short-term and long-term.”
Vice-President for Values and Transparency, Věra Jourová, added: “Media are not only an economic sector, they are a pillar of our democracy. This is why this plan is so important. It builds on our greatest assets, Europe’s diversity and talent, and has at its heart the protection of freedom of expression and artistic freedom. We rely on Member States to do their part and use the tools at their disposal to support the sector, while fully respecting its independence and media pluralism.”
Commissioner for Internal Market Thierry Breton added: “The media and audio-visual industry are severely affected by the crisis we are going through. There is urgency to act now. This industrial plan will be our roadmap for media recovery, transformation and strengthening its resilience. It will give the industry the means to contribute and benefit from the digital and green transitions.”
Next steps
As time is of the essence for the EU media sector, most of the actions outlined in the Action Plan will be launched already in the first months of 2021. Consultations with stakeholders will be carried out to best implement the actions on the ground.
Background
Longstanding issues, particularly its market fragmentation, have weakened the European audiovisual and media sector vis-à-vis their global competitors. These weaknesses have been exacerbated by the coronavirus crisis, with falling advertising revenues, the collapse of cinemas (with losses estimated at €100,000 per screen per month during lockdown), and production on ‘standby’. This situation, in a moment when online non-EU platforms are gaining large market shares, may jeopardise the strategic autonomy of the EU media and audiovisual sector. As regards news media, falling revenues (advertising revenues dropped between 30% and 80%) and online disinformation coupled with the emergence of ‘news deserts’ in certain parts of Europe are particularly worrisome. In general, there is also a limited uptake of digital technologies by the sector.
The Commission put forward a series of measures to support the economy during the crisis and has called on Member States to make the most of them to support media sector. A temporary state aid framework has been put in place rapidly and extended and additional cohesion funding has been made available through REACT-EU, where the culture sector has been recognised as a priority. The temporary Support to mitigate Unemployment Risks in an Emergency (SURE) is also an important instrument available for Member States to fight the negative economic and social consequences of the coronavirus outbreak.
In parallel, the Commission has adapted existing tools, for example the existing guarantee facility for SMEs in the cultural and creative sectors, including media, to allow for more flexibility in repayments of loans and to facilitate lending by giving more security to the financial institutions.
Compliments of the European Commission.
The post Digital Decade: EU Commission launches Action Plan to support recovery and transformation of the media and audiovisual sectors first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

The COVID-19 crisis has compounded the challenges facing retirement savings and old-age pension arrangements and added new ones, according to a new OECD report.
The OECD Pensions Outlook 2020 says that population ageing, low growth, low returns and low interest rates were already weighing heavily on funded and pay-as-you-go pension plans, defined benefit and defined contribution schemes, as well as private and public retirement provisions before the outbreak of the pandemic. The shocks from the global health and economic crisis will likely keep economic growth, interest rates and returns low long into the future, putting many people at risk of not being able to save enough for retirement.
Governments have taken a range of swift measures to improve the sustainability and resilience of pension arrangements in response to COVID-19. These include extending job-retention schemes and unemployment benefits that allow workers to keep accruing retirement benefit entitlements, or providing flexibility around pension plans
“Countries need to strike a balance between the short-term income support provided by measures like granting people access to their retirement savings before they reach retirement age, and the potential negative effect of such measures on future retirement incomes,” said OECD Secretary-General Angel Gurría. “Allowing access to retirement savings should be a measure of last resort, and based on hardship circumstances rather than being granted widely and unconditionally.”
“The COVID-19 crisis has also underlined the importance of having long-term savings for emergencies,” he added. “Introducing long-term savings arrangements that combine a savings account earmarked for retirement and a savings account for emergencies could make retirement savings more resilient.”
The report recommends that policy makers:

Ensure people continue saving for retirement and avoid selling assets and materialising losses when markets suffer sharp declines.
Adopt a framework to assess retirement income adequacy and conduct assessments regularly, identifying groups at risk and responding to their specific adequacy shortfalls.
Consider targeted measures to make sure that workers in non-standard forms of work – part-time and temporary employees, self-employed workers and informal workers – have the opportunity to save for retirement.
Address the potential negative consequences of frequent switching of investment strategies on future retirement income and the stability of financial markets.
Have in place a regulatory framework that ensures that risk sharing arrangements are sustainable and promote fairness among participants, allowing all to enjoy the benefits of risk sharing in terms of risk mitigation and higher expected retirement income.
Ensure communication about investment strategies, their associated risks, rewards and costs, is consistent and standardised, adapted to the target audience, and avoids jargon and complex metrics.

Contact:

Spencer Wilson of the OECD’s Media Office | spencer.wilson@oecd.org

Compliments of the OECD.
The post OECD | COVID-19 crisis adds pressure to private and public pensions systems first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

December 03, 2020 |
Tax revenues fell across the OECD for the first time in a decade during 2019, but a much larger decrease is expected in 2020 as the COVID-19 pandemic drives down economic activity and consumption tax revenues, according to new OECD research published today.
The 2020 edition of the OECD’s annual Revenue Statistics publication shows that the average tax-to-GDP ratio has fallen to 33.8% in 2019, a decrease of 0.1 percentage points since 2018. This was due to decreases in 15 OECD countries that were larger, on average, than the increases in the 20 remaining countries for which 2019 data were available.

Graph courtesy of the OECD.
The COVID-19 crisis is likely to significantly hit tax revenues in 2020, particularly from consumption taxes, due to the sharp fall in economic activity and consumption following lockdowns and the forced closure of many businesses. Drawing on the lessons from the global financial crisis of 2008, new analysis in Revenue Statistics shows that increases in government consumption and in households’ consumption of essential goods will exacerbate this fall in the short- to medium-term.
“Since the global financial crisis of 2008, we have seen a consistent trend of increasing tax revenues in the OECD, which have decreased slightly in 2019 for the first time,” said Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration. “We expect to see much sharper decreases next year when the impact of COVID-19 starts to become more apparent. At some point, when the health crisis has passed and the economic recovery is underway, governments will need to reconsider whether their tax systems are up to the challenges of the post-pandemic environment.”
Revenue Statistics confirms the longstanding diversity in tax-to-GDP ratios among OECD countries, which remained the case in 2019, ranging from 16.5% in Mexico to 46.3% in Denmark. The largest fall was seen in Hungary (1.7 percentage point), partially due to a decrease in corporate income taxes following the removal of the compulsory tax advance supplement on business taxes. Other large decreases were seen in Iceland (1.1 p.p.), Belgium and Sweden (both 1.0 p.p.). Only one increase of over one percentage point was seen, in Denmark (2.0 p.p.), which overtook France as the country with the highest tax-to-GDP ratio.
The data show that corporate income taxes in the OECD have continued to increase, from 9.2% of total tax revenues on average in 2014 to 10.0% in 2018. However, this is still lower than the peak recorded share of corporate income taxes at 11.5% of total tax revenues in 2007 and are expected to fall again as a result of the current crisis. In 2018, average revenues from taxes on goods and services declined in OECD countries: although revenues from VAT remained steady at 20.4% of total tax revenues, excise tax revenues fell by 0.4 percentage points to 7.2%.
Consumption Tax Trends highlights that standard VAT rates remained stable between 2017 and 2020, at a record high of 19.3% on average. Only one country increased its standard VAT rate (Japan, from 8% to 10%) in 2019, and no reductions were recorded until the COVID-19 outbreak in early 2020, when Germany and Ireland temporarily reduced their standard VAT rate as part of their economic stimulus packages (from 19% to 16 % and from 23% to 21%, respectively). Many countries have also introduced a range of VAT measures to support businesses and the healthcare sector during the crisis, as detailed in a special section of Consumption Tax Trends.

Graph courtesy of the OECD.
With VAT rates at an all-time high, governments may need to explore base broadening options to restore VAT revenues after the crisis, according to the report. The surge in e-commerce following the COVID-19 outbreak has emphasised the importance of reform to ensure that VAT is properly applied to digital trade.
All OECD countries with a VAT have now implemented or committed to the OECD standards for collecting VAT on online sales of services and digital products. Many OECD countries are further expanding these e-commerce VAT regimes to include online sales of small parcels that are often imported from abroad by foreign electronic marketplaces and other digital vendors.

To access the Revenue Statistics report, data, overview and country notes, go to http://oe.cd/revenue-statistics.
To access the report on Consumption Tax Trends, visit https://www.oecd.org/tax/consumption-tax-trends-19990979.htm.

Contacts

Lawrence Speer, Press Officer | Lawrence.Speer@oecd.org

Pascal Saint-Amans in the OECD Centre for Tax Policy and Administration | pascal.saint-amans@oecd.org

David Bradbury in the OECD Centre for Tax Policy and Administration | David.Bradbury@oecd.org

Compliments of the OECD.
The post OECD tax revenues fall slightly before the COVID-19 pandemic, but countries face much larger decreases ahead, particularly from consumption taxes first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

Joint communication to the European Parliament, the European Council and the Council | December 02, 2020 |
1.      Introduction
The relationship between the European Union and the United States is unique and built on shared history, shared values and shared interests. The transatlantic partnership was born of a promise of collective peace, progress and prosperity. After the Second World War, the Marshall Plan helped rebuild Europe’s communities and economies. The North Atlantic Treaty Organisation (NATO) ensured our collective security. Together, Europe and the US helped design and build the multilateral rules-based system to tackle global challenges. For people on both sides of the Atlantic, transatlantic ties are a vital element in our societies, identities, economies and personal lives.
Today, our combined global power and influence remains unrivalled. We are home to nearly a billion people and are the two largest blocs of advanced democracies. We account for about a third of the world’s GDP and trade, and 60% of foreign direct investment. The density and openness of transatlantic trade and investment creates millions of jobs and shapes large parts of the global economy. We have the reach to set regulations and standards that are replicated across the world. We are the primary drivers of innovation and the world’s research powerhouses, developing technology from 5G to vaccines.
This combined power and influence is indispensable to anchor global cooperation in the 21st century – whether it be on health, security, climate, trade and technology, or on the multilateral rules-based order. Our joint commitment is essential in a world where authoritarian powers seek to subvert democracies, aggressive actors try to destabilise regions and institutions, and closed economies exploit the openness our own societies depend on.
Just as this need for cooperation has become all the more important, so has the transatlantic partnership become in need of maintenance and renewal. In recent years, our relationship was tested by geopolitical power shifts, bilateral tensions and retreats to unilateral policies.
With a change of administration in the US, a more assertive Europe and the need to design a post-corona world, we have a once-in-a-generation opportunity to design a new transatlantic agenda for global cooperation – based on our common values, interests and global influence. This should be the linchpin of a new global alliance of like-minded partners. This comes at a time when there is a commonality of outlook and priorities on domestic and international agendas between the incoming US administration and the European Union.
As we set about defining this new agenda, we should not embark on a nostalgic search for the global order of past decades or the transatlantic partnership of past generations. The US and the EU have changed, as have power dynamics and geopolitical and technological realities.
We should also not fall into the trap of false debates that seek to oppose a stronger Europe and a stronger transatlantic partnership. A united, capable and self-reliant EU is good for Europe, good for the transatlantic partnership and good for the multilateral system – they are mutually reinforcing not mutually exclusive.
It is in this spirit that the EU is putting forward a proposal for a new, forward-looking transatlantic agenda for global cooperation, centred on areas where our interests converge, our collective leverage can best be used and where global leadership is required.
The guiding principles of a new transatlantic agenda

The transatlantic partnership should work to advance global common goods, providing a solid base for stronger multilateral action and institutions. It will support all like-minded partners to join.
The EU and the US should pursue common interests and leverage our collective strength to deliver results on our strategic

We should always look for solutions that respect our common values of fairness, openness and competition – including where there are bilateral

Access FULL Joint communication to the European Parliament, the European Council and the Council: A new EU-US agenda for global change
Compliments of the European Commission.
The post EU Commission | A new EU-US agenda for global change first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

November 26, 2020 |
Governments should continue providing support to the philanthropic sector while taking steps to safeguard tax systems and ensure that the activities of philanthropic organisations continue to align with the public interest, according to a new report from the OECD.
Taxation and Philanthropy reviews the tax treatment of philanthropic entities and charitable donations in 40 countries worldwide. The report points out the significant impact of philanthropy – the non-profit sector represents as much as 5% of GDP in many countries – as well as the wide range of potential tax policy options countries can consider to improve the effectiveness of tax concessions for philanthropy.
Produced in collaboration with the University of Geneva’s Centre for Philanthropy, Taxation and Philanthropy is the most exhaustive review of the tax treatment of the philanthropic sector undertaken to date. It details the various types of favourable tax treatment countries provide to encourage philanthropy, both to donors as well as the philanthropic entities themselves, and assesses how tax incentives are and can be used to increase philanthropic activity in areas prioritised by government to raise overall social welfare.
The report, which will be presented during a virtual conference hosted by the University of Geneva, highlights broad support amongst countries for the provision of tax support for philanthropy, while drawing attention to emerging concerns in some countries that current practices could give a small number of wealthy donors disproportionate influence over how public resources are allocated. This concern is highlighted by the rise in the number of very large private philanthropic foundations established by ultra-high-net-worth individuals, who are able to channel substantial resources into the priorities of their choice, while significantly minimising their tax liabilities. While risks of abuse should be addressed, this concern should not overshadow the overwhemingly positive spillovers of philanthropy in general, according to the report.
“Philanthropy plays an important role in most countries, providing private support to a range of activities for the public good, and this is especially evident in the current context of the COVID-19 crisis,” said Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration. “Looking ahead, governments need to strike the right balance between safeguarding tax systems while continuing to provide support to the sector.”
The report underlines important considerations for policy makers as they seek to strike this appropriate balance. The report discusses a range of tax policy options, suggesting that policy makers:

Reassess the activities eligible for tax support, and ensure that favourable treatment is limited to those areas consistent with underlying policy goals.
Consider providing tax credits rather than deductions, and fiscal caps, to ensure that tax support does not disproportionately benefit higher income taxpayers.
Reassess the extent of tax exemptions for commercial income of philanthropic entities, to minimise the risk of putting for-profit businesses at a competitive disadvantage.
Reduce the complexity of tax laws that disproportionately affect low-income donors and smaller philanthropic entities.
Improve oversight and boost transparency, to safeguard public trust in the sector and ensure that tax concessions used to boost philanthropy are not abused through tax avoidance and evasion schemes.
Reassess restrictions currently imposed on cross-border philanthropic activity.

Contacts:

Pascal Saint-Amans, Director of the OECD Centre for Tax Policy and Administration | pascal.saint-amans[at]oecd.org

Lawrence Speer in the OECD Media Office | Lawrence.Speer[at]oecd.org

Compliments of the OECD.
The post OECD | Governments should strike a balance between encouraging philanthropy through tax support and ensuring effective public policy first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

The European Commission and the High Representative are today putting forward a proposal for a new, forward-looking transatlantic agenda. While the past years have been tested by geopolitical power shifts, bilateral tensions and unilateral tendencies, the victory of President-elect Joe Biden and Vice-President-elect Kamala Harris, combined with a more assertive and capable European Union and a new geopolitical and economic reality, present a once-in-a-generation opportunity to design a new transatlantic agenda for global cooperation based on our common values, interests and global influence.
Ursula von der Leyen, President of the European Commission, said: “We are taking the initiative to design a new transatlantic agenda fit for today’s global landscape. The transatlantic alliance is based on shared values and history, but also interests: building a stronger, more peaceful and more prosperous world. When the transatlantic partnership is strong, the EU and the US are both stronger. It is time to reconnect with a new agenda for transatlantic and global cooperation for the world of today.”
Josep Borrell, EU High Representative/Vice-President, said: “With our concrete proposals for cooperation under the future Biden administration, we are sending strong messages to our US friends and allies. Let’s look forward, not back. Let’s rejuvenate our relationship. Let’s build a partnership that delivers prosperity, stability, peace and security for citizens across our continents and around the world. There’s no time to wait – let’s get to work.”
A principled partnership
The EU’s proposal for a new, forward-looking transatlantic agenda for global cooperation reflects where global leadership is required and is centred on overarching principles: stronger multilateral action and institutions, pursuit of common interests, leveraging collective strength, and finding solutions that respect common values.
The new agenda spans four areas, highlighting first steps for joint action that would act as an initial transatlantic roadmap, to address key challenges and seize opportunities.
Working together for a healthier world: COVID-19 and beyond
The EU wants the US to join its global leadership role in promoting global cooperation in response to the coronavirus, protecting lives and livelihoods, and reopening our economies and societies.
The EU wants to work with the US to ensure funding for the development and equitable global distribution of vaccines, tests and treatments, develop joint preparedness and response capacities, facilitate trade in essential medical goods, and reinforce and reform the World Health Organization.
Working together to protect our planet and prosperity
While the coronavirus pandemic continues to pose significant challenges, climate change and biodiversity loss remain the defining challenges of our time. They require systemic change across our economies and global cooperation across the Atlantic and the world.
The EU is proposing to establish a comprehensive transatlantic green agenda, to coordinate positions and jointly lead efforts for ambitious global agreements, starting with a joint commitment to net-zero emissions by 2050. A joint trade and climate initiative, measures to avoid carbon leakage, a green technology alliance, a global regulatory framework for sustainable finance, joint leadership in the fight against deforestation, and stepping up ocean protection all form part of the EU’s proposals.
Working together on technology, trade and standards
Sharing values of human dignity, individual rights and democratic principles, accounting for about a third of the world’s trade and standards, and facing common challenges makes the EU and US natural partners on trade, technology and digital governance.
The EU wants to work closely with the US to solve bilateral trade irritants through negotiated solutions, to lead reform of the World Trade Organization, and to establish a new EU-US Trade and Technology Council. In addition, the EU is proposing to create a specific dialogue with the US on the responsibility of online platforms and Big Tech, work together on fair taxation and market distortions, and develop a common approach to protecting critical technologies. Artificial Intelligence, data flows, and cooperation on regulation and standards also form part of the EU’s proposals.
Working together towards a safer, more prosperous and more democratic world
The EU and the US share a fundamental interest in strengthening democracy, upholding international law, supporting sustainable development and promoting human rights around the world. A strong EU-US partnership will be crucial to support democratic values, as well as global and regional stability, prosperity, and conflict resolution.
The European Union is proposing to re-establish a closer transatlantic partnership in different geopolitical arenas, working together to enhance coordination, utilise all available tools, and leverage collective influence. As initial steps, the EU will play a full part in the Summit for Democracy proposed by President-elect Biden, and will seek joint commitments with the US to fight the rise of authoritarianism, human rights abuses and corruption. The EU is also looking to coordinate joint EU-US responses to promote regional and global stability, strengthen transatlantic and international security, including through a new EU-US Security and Defence Dialogue, and strengthen the multilateral system.
Next steps
The European Council is invited to endorse this outline and proposed first steps as a roadmap for a new transatlantic agenda for global cooperation, ahead of its launch at an EU-US Summit in the first half of 2021.
Compliments of the European Commission.
The post EU-US: A new transatlantic agenda for global change first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.

On November 25, 2020, the European Commission approved a sixth contract under the EU Vaccines Strategy, this time with the pharmaceutical company Moderna. The contract provides for the initial purchase of 80 million doses on behalf of all EU Member States, plus an option to request up to a further 80 million doses, to be supplied once a vaccine has proven to be safe and effective against COVID-19.
The contract with Moderna will enlarge the already broad portfolio of vaccines to be produced in Europe, including the contracts signed with AstraZeneca, Sanofi-GSK, Janssen Pharmaceutica NV, BioNTech-Pfizer and the contract approved with CureVac. This diversified vaccines portfolio will ensure Europe is well prepared for vaccination, once the vaccines have been proven to be safe and effective. Member States can also decide to donate the vaccine to lower and middle-income countries or to re-direct it to other European countries.
President of the European Commission, Ursula von der Leyen, said: “I’m very happy to announce today’s agreement with the company Moderna to purchase up to 160 million doses of their future vaccine. This is our sixth contract with a vaccine producer, and we are working on yet another one. We are setting up one of the most comprehensive COVID-19 vaccine portfolios in the world, providing Europeans access to the most promising future vaccines under development so far. A safe and effective vaccine can help us end the pandemic, and return gradually to normal life.”
Stella Kyriakides, Commissioner for Health and Food Safety, said: “Today’s agreement with Moderna is yet another important milestone of our EU Vaccines Strategy. I am happy that we have now concluded six vaccine agreements so far. This is a clear demonstration of the European Health Union in action: a European Union that delivers tangible results for its citizens and a blueprint for our cooperation in the area of health in the future. A safe and effective vaccine is more important than ever in helping to restore normality and overcome this pandemic. No one is safe until everyone is safe.”
Moderna is a U.S. based company pioneering the development of a new class of vaccines based on messenger RNA (mRNA) transported into cells by lipid nanoparticles. The vaccine platform has been developed over the last decade. The basic principle is the use of this molecule as a data carrier, with the help of which the body itself can make proteins and trigger lasting immunity to COVID-19.
The Commission has taken a decision to support this vaccine based on a sound scientific assessment, the technology used, and its production capacity in Europe to supply the whole of the EU.
Background
The European Commission presented on 17 June a European strategy to accelerate the development, manufacturing and deployment of effective and safe vaccines against COVID-19. In return for the right to buy a specified number of vaccine doses in a given timeframe, the Commission finances part of the upfront costs faced by vaccines producers in the form of Advance Purchase Agreements. Funding provided is considered as a down-payment on the vaccines that will actually be purchased by Member States on the basis of the Advance Purchase Agreements.
Since the high cost and high failure rate make investing in a COVID-19 vaccine a high-risk decision for vaccine developers, these agreements will therefore allow investments to be made that otherwise might not happen.
Once vaccines have been proven to be safe and effective and have been granted market authorisation by the European Medicines Agency, they need to be quickly distributed and deployed across Europe. On 15 October, the Commission set out the key steps that Member States need to take to be fully prepared, which includes the development of national vaccination strategies. The Commission is putting in place a common reporting framework and a platform to monitor the effectiveness of national vaccine strategies.
The European Commission is also committed to ensuring that everyone who needs a vaccine gets it, anywhere in the world and not only at home. No one will be safe until everyone is safe. This is why it has raised almost €16 billion since 4 May 2020 under the Coronavirus Global Response, the global action for universal access to tests, treatments and vaccines against coronavirus and for the global recovery and has confirmed its interest to participate in the COVAX Facility for equitable access to affordable COVID-19 vaccines everywhere. As part of a Team Europe effort, the Commission announced is contributing with €400 million in guarantees to support COVAX and its objectives in the context of the Coronavirus Global Response. On 12 November, the European Union announced the contribution of an additional €100 million in grant funding to support the COVAX Facility.
Compliments of the European Commission.
The post Coronavirus: EU Commission approves contract with Moderna to ensure access to a potential vaccine first appeared on European American Chamber of Commerce New York [EACCNY] | Your Partner for Transatlantic Business Resources.