The Denver Post

Europeans should say “thank you” to U.K.’s Boris Johnson

- By Lionel Laurent Lionel Laurent is a Bloomberg Opinion columnist.

One surprising knock-on effect of the U.K.’s departure from the European Union, which became official last week, was to bind the bloc’s 27 remaining members closer together. The British had expected the red-carpet treatment from national government­s desperate to keep selling Italian prosecco, German cars and French wine. They were instead shown the door by a united EU more focused on preserving the integrity of the single market, avoiding a return to a hard border in Ireland and settling the U.K.’s bill.

While you’d be hard-pressed to describe the EU as united on other issues, such as the budget, enlargemen­t policy or fiscal harmonizat­ion, the solidarity around Brexit is still there. The bloc’s top negotiator, Michel Barnier, is leading the charge for a regulatory “level playing field” to govern any future trade deal with the U.K. — backed by similar calls from politician­s in France, Germany, Italy, Ireland and the Czech Republic. National priorities such as fisheries for France and Gibraltar for Spain have become European ones.

U.K. Prime Minister Boris Johnson has been quick to accuse Brussels of overplayin­g its hand. His response to demands for commitment­s on labor, the environmen­t and state-aid rules has been to threaten a bare-bones “Australia” deal — what’s basically close to no deal at all. That’s a calculated move to divide and conquer EU member states facing tariffs on goods worth some 47 billion euros ($52 billion).

Yet these threats are more likely to remind the Europeans why they should keep sticking together. The EU feels both existentia­lly imperiled by Brexit and innately more powerful as a trading power.

While the worry is always there that the common front will eventually crumble — say, with a side deal brokered to protect one member’s interests over those of the 27 all together — it hasn’t happened yet for a few reasons. Professor Thierry Chopin of Lille’s Universite Catholique points to three drivers of unity: An attachment to the single market that’s shared even by very different member states; public opinion that’s more positive on the EU and less keen on politician­s calling to leave the bloc; and the power imbalance between the U.K.’s 60 million consumers and the EU’s 450 million. It’s hard to see how Johnson can overcome the latter unless he knocks a U.S. trade deal out of the park.

Preserving unity is also a way to preserve global influence. As a regulatory superpower, one that relies on trade deals and soft power to export its rules, Brussels is keen to ensure that having a U.K.-shaped gap in its single market won’t poke holes in flagship rules such as GDPR for data privacy or MiFID II for financial markets. This ability to influence regulation outside the single market is known as the “Brussels Effect,” a term coined by Columbia Law School professor Anu Bradford, whose latest book argues that Brexit will likely strengthen the EU’s hand. Brexit has put both the U.K. and the EU’s dreams of regulatory autonomy on a collision course.

To be sure, there is always the risk of taking too tough a position in a negotiatio­n, or of becoming overconfid­ent. Brussels will have to bear in mind its need to stay close to the U.K., for access to London’s markets and to defense and security partnershi­ps. The economic cost of an abrupt return to tariffs would unleash a race for state support. It’s not clear the EU is ready for that.

Right now, though, there’s no reason to call for a climb down. The 11-month deadline for these talks doesn’t play in Johnson’s favor, and the U.K. and EU economies aren’t likely to be any less intertwine­d at the end of this year than at the start of it. The rhetorical saber-rattling conceals room for compromise on both sides. With the U.S. and China increasing­ly assertive on the world stage, Johnson’s antics mustn’t reverse Brussels’ Brexit togetherne­ss.

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