Today, despite the recent global economic upheaval, the United States and the 27-member European Union (EU) continue to share a comprehensive, dynamic, and mutually beneficial economic partnership. Transatlantic markets are among the most open in the world and are deeply integrated through investment flows, affiliate sales and related-party trade. The current global economic crisis has had a negative impact on the transatlantic economy. A key measure of the strength of the transatlantic relationship has been the ability of both sides to work with each other throughout the current financial storm in such a way that would permit further integration and would promote expanded regulatory cooperation, as both sides of the Atlantic begin to experience an economic recovery. This report is intended to serve as a companion piece to CRS Report RL34717, Transatlantic Regulatory Cooperation: Background and Analysis , by [author name scrubbed], which provides an introduction and primer on the issue of transatlantic regulatory cooperation. There have been a number of previous attempts to reduce existing non-tariff and regulatory barriers to trade. Building on the Merkel initiative, the April 2007 U.S.-EU Summit adopted a Framework for Advancing Transatlantic Economic Integration . A recent report co-authored by the Atlantic Council and the Bertelsmann Foundation has recommended that the United States appoint the Vice President as the U.S. co-chair of the TEC and that the EU place responsibility for the TEC in the office of the EU President in an effort to upgrade the visibility and effectiveness of the TEC. The existing transatlantic dialogues include the Transatlantic Legislators' Dialogue TLD, (the U.S. Congress-European Parliament exchange), the Transatlantic Business Dialogue (TABD), and the Transatlantic Consumers Dialogue (TACD). The Role of the Legislatures

Since it began nearly two decades ago, transatlantic regulatory cooperation has been mostly limited to the executive branches and regulatory bodies on both sides of the Atlantic except when the U.S. Congress has adopted legislation with significant regulatory impact such as was the case with passage of the Sarbanes-Oxley reform bill. However, the idea of legislators assuming a more proactive role in transatlantic economic and regulatory cooperation is not a new issue. At the 1995 launch of the New Transatlantic Agenda, the leaders of the United States and EU acknowledged that they "attached great importance to enhanced parliamentary links" and agreed to "consult with parliamentary leaders on both sides of the Atlantic regarding consultation mechanisms, including building on existing institutions, to discuss matters related to our transatlantic partnership." Advocates of the effort to achieve a more barrier-free transatlantic marketplace believe that ultimate success cannot be achieved without the strong commitment and active engagement of the U.S. Congress and the European Parliament. In announcing the formation of the TLD, the two delegations stated that the Dialogue "will constitute the formal response of the European Parliament and the U.S. Congress to the commitment in the New Transatlantic Agenda to enhance parliamentary ties between the European Union and the United States." There is, however, uncertainty about the role of Congress and its representative, the TLD. Whether any of these options, or others are pursued, some observers of the TEC process who support Congressional participation in the Advisory Group believe the TEC would receive a real boost if the Obama Administration sent a clear signal to the Congressional leadership that the role of the Congress in the transatlantic regulatory cooperation process was important and that a stronger representation from the Congress through an enhanced TLD participation in the TEC Advisory Group would be welcome.
The United States and the European Union (EU) share a comprehensive, dynamic, and mutually beneficial economic relationship. Transatlantic markets are among the most open in the world and are deeply integrated. Although the global economic crisis has had a significant negative impact on the transatlantic economy, the great stake each side has had in the other's economy has afforded both sides the ability to withstand the worst of each other's current economic downturn. The key measure of the strength of the transatlantic relationship has been the ability of both sides to work with each other to weather the financial storm.
One issue that has worked against an even stronger economic relationship is the existence of regulatory barriers that limit a more integrated market from materializing. The United States and the EU have engaged in a number of attempts to reduce remaining non-tariff and regulatory barriers to trade. In the most recent effort, then President Bush and German Chancellor Merkel, serving as President of the EU, at the April 2007 U.S.-EU Summit agreed to establish the Transatlantic Economic Council (TEC). The TEC was directed to "advance the work of reducing or eliminating non-tariff barriers to transatlantic commerce and trade." The leaders also created an advisory group to "provide guidance and direction" to the TEC and invited the U.S. Congress, along with the European Parliament, to accept a new, more substantive role in transatlantic regulatory cooperation by becoming part of the advisory group. The Transatlantic Legislators' Dialogue (TLD), the formal exchange between Congress and the Parliament, was appointed to represent the legislatures in the TEC advisory group.
Since it began nearly two decades ago, transatlantic regulatory cooperation has been mostly limited to the executive branches and regulatory bodies on both sides of the Atlantic. However, the idea of legislators assuming a more proactive role in transatlantic economic and regulatory cooperation is not a new issue. At the 1995 launch of the New Transatlantic Agenda, the leaders of the United States and EU acknowledged that they "attached great importance to enhanced parliamentary links" and agreed to "consult with parliamentary leaders on both sides of the Atlantic regarding consultation mechanisms, including building on existing institutions, to discuss matters related to our transatlantic partnership." Advocates of the effort to achieve a more barrier-free transatlantic marketplace believe that ultimate success cannot be achieved without the strong commitment and active engagement of the U.S. Congress and the European Parliament.
Although the Transatlantic Legislators' Dialogue has been in existence formally since 1999, only recently have observers from both inside and outside of Congress gained familiarity with its structure, membership, and function. With respect to the role of Congress in the TEC process, several questions have been raised including the composition of the TLD, the role of the standing committees in both the Congress and the Parliament, the staff, and the role of the U.S. Senate. A number of options for enhancing the role of Congress and the structure of the TLD have been proposed.
This report provides background and analysis on the TEC process, the role of the Congress, and the TLD. For additional information see CRS Report RL34717, Transatlantic Regulatory Cooperation: Background and Analysis, by [author name scrubbed], and CRS Report RL30608, EU-U.S. Economic Ties: Framework, Scope, and Magnitude, by [author name scrubbed].