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EU postpones free trade talks with Australia for second time in wake of simmering multibillion-dollar submarine deal row — RT World News

A month after Canberra renounced a deal with France over nuclear-powered submarines, it was announced that the European Union had postponed their trade negotiations with Australia.

This time the talks have been delayed until February 2022, Australia’s Trade Minister Dan Tehan said. The October talks had originally been scheduled to take place in October, but were postponed this month. They were then rescheduled again for November. 

“The European Union has advised Australia that Round 12 is possible under the FTA.” [free trade agreement]“Negotiations will take place now in February.”Tehan said this to Reuters. The EU Commission, which over sees the bloc’s trade, did not confirm the new date but limited itself to saying that resumption of the talks was no longer scheduled for November. 



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EU-Australia trade talks delayed following France’s AUKUS submarine snub


First time, the talks were postponed amid tensions between Canberra and Paris provoked by Australia’s decision to opt out of the 2016 submarine deal with France and instead strike a new one with London and Washington. As a result, France’s Naval Group lost a $40-billion contract.

It was announced that the AUKUS alliance, which is dedicated a united United States of America (the three countries) had been formed. “free and open Indo-Pacific” – a move that appears to be aimed at countering Beijing’s growing influence in the region.



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Canberra declares that Australia-EU would benefit Brussels, Indo-Pacific, from a trade agreement after it was scrapped by the French submarine contract


Canberra’s sudden change of heart certainly did not sit well with Paris that described it as a “stab in the back”It recalled the ambassadors of Australia and the US. The late September return of a French ambassador to America saw the return of a French envoy. For Australia, the French ambassador was only there for a week. 

Ursula von der Leyen (head of the EU Commission) questioned whether a union with Canberra could be reached. The EU Commission also supported France during this dispute. Australia tried to repair the relations with the bloc, sending Scott Morrison’s senior adviser as an envoy.



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France unwilling to set aside submarine dispute with Australia, minister says, stressing it’s also an EU matter


However, it is not clear if this second delay could also be linked to the submarine row. This is because talks in November were occurring at the same time as global climate change negotiations are ending in Scotland. According to media, the EU wants Australia’s climate commitments increased as part of its trade deal. 

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