EU prepared to fund sectors impacted by coronavirus outbreak, says Phil Hogan
EU trade commissioner Phil Hogan has said that the bloc stands ready to release emergency funds to countries and sectors, including in Ireland, where economies are impacted by the spread of coronavirus.
Speaking in Dublin at a discussion on trade and global uncertainty, Mr Hogan was also more optimistic about the EU doing a trade deal with the US amid the turbulent economic times ahead.
His remarks come as the cases of confirmed coronavirus in Ireland reached 13 overnight and as health authorities today decide on new guidelines for mass gatherings to stop the virus spreading
Mr Hogan set out how businesses, sectors and member states impacted by the spread of Covid-19 could apply for emergency funds.
The virus was likely to impact strongly on Ireland, he warned, saying: “Obviously it is going to have an economic impact on the country and a global impact and with a small open economy, has implications for Ireland more than most.
“We are ready in the European Commission to help sectors that in trading terms and economic terms are going to have some difficulties. It is a matter for the member states to provide us with the detail on this.
And to relax the state aid rules is one of the options we have if we are asked to do so based on the evidence provided by the member state.
“If there is an exceptional circumstance which brings about an exceptional situation for any of our trading entities or sectors, we have an obligation to look at this and to invoke any options under law in order to give those countries and sectors a chance to survive. And this is what we intend to do."
Elsewhere, Mr Hogan spoke about expected progress with the US about trade amid efforts to end a standoff between the two giant economic blocs.
“I feel that there is now political good will to make every possible effort in these turbulent economic difficult times to reach some understanding on some of the issues that have bedevilled us in recent years’
But there would be red lines, he said, adding: “Clearly there are regulations in respect of food safety and those issues, pathogen treatments, that we will not be in a position to change. Equally we are not asking congress to change their regulations in some of the asks we are making of the United States.
"The agenda is around trade, technology and energy”
Mr Hogan, in a speech to business leaders at the Royal Irish Academy this morning, also spoke about Brexit and said he was concerned at “the decreasing focus” on it in Ireland. This was despite “repeated attempts by the government to flag it”.
He said the difficult part of the Brexit talks were only beginning.
The Irish commissioner also had a warning for the UK if it tried to renege on commitments made in the Brexit Withdrawal Agreement.
“International commitments are international commitments and serious governments honour their treaty obligations. If the UK wants to be taken seriously when forging other trade deals around the world, it has to honour its commitments."
