The TTIP: What’s at Stake for U.S.-Turkey Relations?
Jun 19, 2015 Written by Eli K. Lovely, Guest Contributor
As the U.S. and EU advance towards adoption of the Transatlantic Trade and Investment Partnership (TTIP), the West’s relationship with NATO ally Turkey has seemingly fallen by the wayside. The TTIP, a proposed free trade agreement that would integrate the world’s largest economies, risks excluding Turkey unless its current European Customs Union Agreement with the EU is modified accordingly. Turkey’s exclusion from the TTIP would prevent it from imposing a customs duty on U.S. imports, while allowing the U.S. to continue imposing such duties on Turkish imports, further imbalancing the bilateral economic relationship. An agreement without Turkey’s participation would negatively impact the U.S.-Turkey overall relationship at a time when common challenges between the two countries demand their close cooperation. While the TTIP will bolster U.S.-EU trade ties, with estimated gains amounting to USD 134 billion a year for the EU and USD 107 billion a year for the U.S., Turkey’s absence from the agreement would be a devastating economic and diplomatic loss for the U.S.
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