BusinessEurope Headlines No. 2020-04

B7 emphasises the role of business in addressing global problems

Leading business associations from G7 countries (B7) met in Washington D.C. on 4 February to discuss and develop recommendations for the G7. This year, the B7 recalled the important role businesses play in addressing global challenges and urged close collaboration of the G7 to promote economic prosperity and global stability. In this context, the B7 recommends: (1) restoring confidence in the World Trade Organisation (WTO), recognising the need for reform, (2) levelling the global playing field to allow non-subsidised companies to compete fairly, (3) leveraging the power of business and business innovation to address sustainability challenges and climate change and, (4) advancing economic inclusion to ensure that everyone has a fair chance to benefit from growth and prosperity. Markus J. Beyrer, BusinessEurope’s Director General, stated that “business leaders sent a clear message to the political leadership: today’s challenges cannot be addressed without the will and joint efforts of the G7. Multilateral solutions are the preferred path for businesses, as they ensure that the same rules are followed by all and can be better enforced”. This was also an opportunity to meet US Administration officials and Congress to present BusinessEurope's strategy paper on China and to discuss EU-US relations.

Contact: Luisa Santos

European business sets priorities for the future EU-UK relations

BusinessEurope today published its position paper on the future EU-UK relations. The paper sets out the priorities of the European business community for the most important areas of the future trade and economic relationship with the UK. In order to contribute to an informed discussion, it also describes what the European Single Market offers in these areas, juxtaposing this to what is included in existing Free Trade Agreements (FTAs). “European business wants to maintain strong economic ties with the UK while preserving the integrity of the Single Market and we are ready to play an active role in the negotiations”, Markus J. Beyrer, Director General of BusinessEurope, commented on the publication of the paper. “There is no time to waste and both sides need to move quickly to reach a comprehensive deal that works for business”, he added.

Contact: Benedikt Wiedenhofer

The new EU SME strategy: 50 actions to make it work

The European Commission plans to publish a renewed EU SME strategy at the beginning of March. We welcome this intention and believe that a comprehensive and action-oriented initiative is essential to improve the operating environment for SMEs and for the economic and social wellbeing of our societies. We have identified 50 SME-specific actions essential to support SMEs which we trust should be considered in this new SME strategy. This is a great opportunity to bolster the number of vibrant SMEs in the EU and help them fully grasp the opportunities and respond to the challenges brought by a rapidly changing business environment. To reach these goals, the strategy should be based on a set of result-oriented principles, be driven by a clear, structured and effective governance monitoring its concrete implementation both at the European and national level and ensure that all growth-related EU strategies include clear aims in terms of promoting SME growth. Read our position paper.

Contact: Daniele Olivieri

New capital requirements for banks: how to avoid financing problems

New prudential rules for EU financial institutions should strike the right balance between ensuring financial stability and supporting companies’ financing needs for investments and business activities. This requires a tailored implementation of the final Basel III reforms in the EU. BusinessEurope on 30 January published a position paper in which it makes recommendations on how to achieve this balance and ensure that the rules function effectively, encouraging growth and preventing damage to businesses in the wider economy.

Contact: Erik Berggren

Competition rules on vertical cooperation need to be clarified

BusinessEurope published on 29 January a position paper in view of the ongoing work regarding the evaluation of the vertical block exemption regulation and guidelines on vertical restraints. Cooperation between companies is becoming increasingly necessary to provide customers with complete solutions. The existing block exemption regulation and the guidelines provide a valuable guidance for undertakings, both small and large, but the legal certainty that these rules provide can be undermined by the often very dynamic reality of the current market and the decision-making practice of authorities or courts.