Chapter, ESPO Report

Project: US and the Americas Programme

Myriam Zandonini

The global economic and financial crisis has shown that the transatlantic partners remain at the centre of the global economy and of international negotiations. But it has also highlighted the role and importance of emerging market economies within the world economy.

The first section of this paper examines the current status of the transatlantic partnership and assesses recent developments that have resulted from the global financial crisis. The US was severely hit in the initial phases of the crisis and has been showing signs of recovery since late 2010. Europe, on the other hand, has experienced multiple crises since summer 2011.

The next section reviews the challenges currently faced by the EU and the US and the risks of spillovers and crisis transmission within the partnership.

The paper concludes with a discussion of the role and weight of the transatlantic relationship in global institutions, particularly within the G-20 and the IMF.

The chapter is extracted from the report Partners in Crisis: EU Strategic Partnerships and the Global Economic Downturn, published by FRIDE, Edited by Giovanni Grevi and Thomas Renard. Full report.