On behalf of the European Union, I warmly welcome the Delegation of Australia, led by Mr Paul Wojciechowski, Acting First Assistant Secretary.  I would also like to thank the WTO Secretariat and Australia for their reports that form an excellent basis for our discussions. Allow me also to welcome the Discussant, H.E. Mrs Pimchanok Pitfield (Thailand) whose introduction helped to guide us to the main policy decisions and achievements that marked the review period.

I would like to start by applauding Australia’s record of 33 years of continuous economic growth, which is the result of successful economic policies combined with the fostering of an outward-looking economy. As also acknowledged by the Secretariat report, trade policy in Australia is founded on a broad understanding that international trade and investment are critical to the economy, providing jobs and prosperity. 

The EU and Australia are like-minded on trade policy, providing for a sound basis for our relationship. Such a relationship based on close cooperation is even more important in the current geopolitical and geoeconomic context, when economic security, the access to critical raw materials as well as the respect of high sustainability standards are of undeniable importance.

The EU is the second biggest investor in Australia, worth 18% of Australia's total Foreign Direct Investment. The EU is currently Australia’s third largest trading partner in goods and the second largest trading partner in services. The value of total trade in goods between the EU and Australia amounted to €52 Bn, and trade in services amounted to an additional €34 Bn. 

The EU welcomes Australia’s autonomous MFN tariff liberalisation measure, which moved 457 tariff lines to zero duty in July 2024, thereby reducing compliance costs and prices for consumers.

The EU appreciates Australia's significant contribution to the multilateral trading system, going above and beyond what would be expected looking at the size of Australia’s external trade. I would like to thank Ambassador James Baxter and his team here in Geneva for the excellent work. Australia is amongst the members who play a leading role in reform efforts in many areas. Even when that means Ministers and Australian officials must participate in on-line meetings in the middle of the night Down Under.

The EU and Australia converge on the need to reform the Organization to address the root causes of today’s trade tensions and fill the gaps in the rulebook. 

Restoring a fully functioning dispute settlement system remains top priority for both of us. In the meantime, Australia joined the EU and others in the Multi-party interim appeal arbitration (MPIA) arrangement that provides a temporary framework for resolving WTO disputes. 

The EU also notes the active role of Australia in the fisheries subsidies negotiations.

The EU underscores Australia’s full support for the various ongoing plurilateral initiatives in the WTO. The EU trusts Australia will continue to exert its positive influence in this Organisation and continues the excellent cooperation with the EU.

We also commend Australia’s leadership during 2024 as the lead co-convener of the E-commerce Joint Statement Initiative, which allowed the Membership to achieve the decisive milestone of concluding the negotiations of the E-commerce agreement in July 2024. The EU is a firm supporter of the agreement, which is the first global set of rules on digital trade and hopes that it can soon be integrated in the WTO as an Annex 4 agreement.

The EU welcomes Australia’s participation in, and contributions to, joint statement initiatives. In addition, we would welcome Australia joining other initiatives, such as on Fossil Fuel Subsidy Reform.

Mister Chairman, despite Australia's strong record, I would like to refer to some of the EU questions submitted for this TPR that we find particularly important:

The EU appreciates the high sanitary and phytosanitary standards that Australia is applying. At the same time, the EU encourages Australia to ensure compliance with the WTO SPS agreement and the associated international standards, in a way, which does not constitute unjustified market access barriers to EU exports.

The EU also continues to be concerned about the Australian Luxury Car Tax, which puts EU car exporters at a clear disadvantage. Furthermore, the lack of a level playing field resulting from the application of the Australian wine equalization tax rebate remains a matter of concern. 

In the area of investment, the Australian Government applies wide grounds for the screening of foreign direct investment going beyond “national security”. While the EU appreciates the recent steps Australia is taking for applying a lighter procedure, this screening, and in particular, its thresholds continue to discriminate against EU investors. 

Mr Chairman, to conclude on a positive note, the EU applauds the transparency of Australia's trade policies and welcomes the close cooperation on WTO related and bilateral matters. 

We welcome that Australia applied the "alternative timeframe", which allowed us to get their replies in a timely manner. We wish Australia an excellent review. Thank you.