While the original goal was to complete the TTIP negotiations in 2014, EU and US officials have recently called for a “fresh start” on the negotiations, as “an opportunity for both sides at the table to look anew at the outstanding issues and figure out how best to take them forward.” Further, EU Trade Commissioner Malmstrom has held open the possibility of a deal on TTIP being finalized before the 2016 US Presidential elections.
The TTIP is of significant geopolitical importance – it will generate jobs and economic growth in the US and the EU markets, in addition to regulatory compatibility and harmonization. However, the negotiations have also brought to light several challenges in the EU-US trade relationship. One of the contentious issues in the TTIP negotiations is the inclusion of a financial services chapter. While EU officials have pressed for inclusion of financial services regulations to be part of TTIP, the Obama Administration has been hesitant to include financial services in TTIP given fears that the negotiations may pare back US financial regulatory reforms established in the aftermath of the Dodd-Frank Act.