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Free trade talks between Australia and the European Union have been postponed due to the submarine issue

Free trade talks between Australia and the European Union have been postponed due to the submarine issue

An unnamed EU official working in Canberra said on Friday that the submarine case would delay the 12th round of free trade talks between Australia and the European Union, which had been scheduled for October 12, by one month. Australian Trade Minister Dan Tehan confirmed the fact of the delay, but the reason was not given.

The United States, Australia and the United Kingdom entered into a security partnership agreement on September 15 under the name AUKUS, without prior notification to France. In this context, Australia decided to buy nuclear-powered submarines from the United States, while it terminated its contract with France for the production of diesel and electric-powered submarines.

Scott Morrison is the Prime Minister of AustraliaSource: AFP / 2021 Getty Images / Drew Angerer

As a result, France was unable to conclude a $56 billion treaty that caused a diplomatic crisis between France and the United States, and Paris recalled its ambassadors to Washington and Canberra for consultations.

The European Union expressed its solidarity with France. European Commission President Ursula von der Leyen asked directly if the EU could strike a free trade agreement with Australia.

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