President Sarkozy’s comments spark fears of protectionism within the EU

Nicolas Sarkozy, photo: CTK

French President Nicolas Sarkozy sparked anger in the Czech Republic last week when he suggested that French car companies currently based in this country should relocate to home ground. The Czech Prime Minister Mirek Topolánek, who currently heads the EU presidency, warned against using the global crisis to bring in various forms of protectionism and accused the French president of threatening the ratification of the Lisbon treaty by the Czech Parliament by pushing measures that go against the basic principles on which the EU operates. Earlier today Radio Prague spoke to Petr Drulák, head of the Institute for International Relations, about President Sarkozy’s comments and the chances of preventing national protectionism within the EU.

“His (President Sarkozy’s) remarks are extremely dangerous because they signal a return to protectionism and what is even worse to national protectionism which could undermine the European Union as such, so the issue is much more serious than the EU presidency or the Lisbon treaty. In this respect I think it is perfectly in order that Czech leaders have voiced criticism, however they should be careful to realize what is at stake.”

What should the Czech Republic - as EU president - do at this point?

“One of the main objectives is to protect the EU against protectionist instincts – both in terms of national protectionism and European protectionism – and to try to keep a leveled playing field. Naturally much more intervention into the economy is needed but these interventions must be done according to the rules. These rules are given and we have to curb the temptation of some of the big counties – especially of France – to rewrite these rules according to their own national needs.”

Petr Drulák
Can a country the size of the Czech Republic, fairly inexperienced, hope to achieve this?

“Yes, it can. Because it is not the Czech Republic versus the rest of Europe. It will be the Czech Republic using the mechanisms – the institutional and legal mechanisms – of the European Union. The mechanisms are given, all we need to do is apply them. From this perspective we have enough experience. Of course it is not a political struggle between small and big countries because such a struggle we would lose. This is about enforcing what everybody has approved and what is given.”

The European Commission has just warned against protectionism – in the wake of President Sarkozy’s remarks and similar signals from Italy – what are the real chances of stopping national protectionism in Europe?

“I think the chances are pretty big, you know, because national protectionism is something that puts in doubt the whole European project. And I am not sure whether President Sarkozy was quite aware of what he was saying, he is known to sometimes talk faster than he thinks. And the reactions which came from all over Europe show that national protectionism is a threat of which people are aware and are ready to tackle it.”

Is there a danger that this global crisis will divide the EU into eurozone and non-eurozone members or divide it in other ways?

“Of course, there is a danger - the crisis can either unite Europe or it can divide Europe. I am not sure if it would divide it specifically into eurozone and non-eurozone. But it seems to me rather that the crisis may make the eurozone more attractive and at the end of the day, may strengthen it.”