Asia-Europe cooperation, not competition, is key to defending social welfare

Asia-Europe cooperation, not competition, is key to defending social welfare
TNI Press Release, 4 September 2006

Spanish version - Dutch version

Unbridled competition between Asia and Europe is destroying the European social model. That is the stark warning delivered by Susan George, author and Fellow of the Amsterdam-based Transnational Institute, to the Asia-Europe People's Forum (AEPF) in Helsinki.

"European leaders who tell us that the EU needs to accept open markets, labour flexibility and deregulation are pretending we can do the impossible - compete with China and other low-wage, but high-skill, high-tech countries", says George. She argues that Asia-Europe relations must be based on cooperation rather than competition if a race to the bottom on wages and social welfare standards is to be avoided.

George is also concerned that the European Commission is using trade negotiations to undermine the development of public services and greater equality within Asia.

Charles Santiago, Director of Monitoring Sustainability of Globalisation, a Malaysia-based advocacy group, and member of the AEPF International Organising Committee, agrees. "With WTO discussions stuck somewhere between the intensive care unit and the crematorium, there is fear and concern from the Asian side that the EU will aggressively pursue its trade and investment objectives through bilateral agreements" he says. "These would further exacerbate existing asymmetries between Asia and Europe, and within Asia."

The AEPF is a meeting of over 400 civil society representatives from Asia and Europe, held in advance of the Asia-Europe Meeting (ASEM) between 38 Asian and European leaders and the European Commission. "The AEPF provides an opportunity to discuss how Europeans and Asians can cooperate rather than accepting competition as a way of life", says Susan George.

More Information:
Sirpa Pietikäinen, Chair of the AEPF6 National Organizing Committee, tel. + 358 (0)50 4666222, sirpa.pietikainen@yk-liitto.fi
Salla Nazarenko, AEPF6 Information Officer, tel. + 358 (0)45 111 7321, salla.nazarenko@kepa.fi