Stepping Stones or Stumbling Blocks? The EU's Approach Towards the Problem of Multilateralism vs Regionalism in Trade Policy

This short paper will argue: 1. Multilateralism and regionalism are not mutually exclusive, but are complementary Instruments to manage the complexities of an interdependent world. 2. Traditional Free Trade Areas are unlikely to be of great benefit, particularly for developing countries. 3. Regionalism, if it is to support multilateralism effectively, needs to be deployed in the right way. In particular, the EU favours the model of deep integration whereby market access liberalisation is underpinned by new and better rules. 4. The WTO's rules governing regionalism need to be updated in the current round of trade negotiations, the Doha Development Agenda. 5. In conclusion, while we have a policy of multilateralism first, the EU will continue to be an active player in regional trade policy.