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Belgium takes case against Opel to next level

Belgium has stepped up its offensive against German state aid to auto manufacturer Opel's planned new owners, demanding that the slightest hint of protectionism be slapped down by Brussels.

Belgium takes case against Opel to next level
Flemish Minister President Kris Peeters talks to the press. Photo: DPA

The European Commission must approve €4.5 billion of aid offered by German Chancellor Angela Merkel’s government, currently less than two weeks away from a general election.

Amid fears shared by other European Union member states that plants elsewhere may be sacrificed to keep 25,000 German Opel staff in work, the head of Belgium’s Flanders regional government took the case for an Antwerp factory threatened with closure to the EU’s executive arm on Monday.

Seeking assurances that politics would play no part in Brussels’ decision on whether or not to approve the aid and the takeover, Kris Peeters told EU Commission vice-president Günter Verheugen of Germany that Antwerp would win out on purely economic and commercial considerations.

“For Commissioner (Verheugen), there can be no question of protectionism and he will keep a close eye on this to make sure economic parameters lie behind decisions on whether to close or keep sites open,” the Flemish leader told reporters.

Peeters fears that the plant in northern Belgium, which employs around 2,700 people, is to be sacrificed by Canada’s Magna and Russia’s Sberbank, who were on Thursday named by General Motors as preferred buyers for its European division.

Magna and Sberbank were also Germany’s preferred buyer.

Peeters said submissions on aid and on the comparative merits of the different plants within Europe which may be affected have yet to be submitted.

“But when these reports are received, it has been confirmed to us that (only) economic arguments will be taken into account,” he added.

Speaking at the European parliament in Strasbourg, EU Social Affairs Commissioner Vladimir Spidla stressed that EU rules “exclude economic nationalism.”

His colleague Neelie Kroes, the bloc’s competition commissioner, promised to establish “whether non-commercial protectionist conditions are attached to the public financing.”

Peeters’ call for a level playing field came as Magna’s co-chief executive Siegfried Wolf said the Canadian auto parts maker planned to cut 10,500 posts at loss-making Opel once it completes its takeover.

Previously, the figure reported was 10,000 job cuts throughout the Opel business which employs some 50,000 workers across Europe.

Wolf did not say where the job cuts would be made.

German news magazine Der Spiegel has reported that a comparative analysis of competing sites gave Antwerp a higher productivity rating than one of the four Opel factories in Germany, in Bochum.

A Commission spokesman denied being in receipt of any such material and stressed that politics would play no part in its decision.

“Decisions such as these must only be taken on economic and commercial grounds, and not for political reasons,” said a Commission spokesman, who added that the dossier would be checked to ensure competition rules were “scrupulously respected.”

On Sunday, Belgium’s Foreign Minister Yves Leterme raised the issue with his counterpart from Spain, where 7,000 workers in GM’s European operations are also fretting over their futures.

Under the deal announced Thursday, GM will sell a 55-percent stake in Opel to a consortium equally owned by Magna and state-owned Russian lender Sberbank. GM will retain 35 percent and employees the rest.

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BREXIT

OPINION: Pre-Brexit Brits in Europe should be given EU long-term residency

The EU has drawn up plans to make it easier for non-EU citizens to gain longterm EU residency so they can move more easily around the bloc, but Italy-based citizens' rights campaigner Clarissa Killwick says Brits who moved to the EU before Brexit are already losing out.

OPINION: Pre-Brexit Brits in Europe should be given EU long-term residency

With all the talk about the EU long-term residency permit and the proposed improvements there is no mention that UK citizens who are Withdrawal Agreement “beneficiaries” are currently being left out in the cold.

The European Commission has stated that we can hold multiple statuses including the EU long-term permit (Under a little-known EU law, third-country nationals can in theory acquire EU-wide long-term resident status if they have lived ‘legally’ in an EU country for at least five years) but in reality it is just not happening.

This effectively leaves Brits locked into their host countries while other third country nationals can enjoy some mobility rights. As yet, in Italy, it is literally a question of the computer saying no if someone tries to apply.

The lack of access to the EU long-term permit to pre-Brexit Brits is an EU-wide issue and has been flagged up to the European Commission but progress is very slow.

READ ALSO: EU government settle on rules for how non-EU citizens could move around Europe

My guess is that few UK nationals who already have permanent residency status under the Withdrawal Agreement are even aware of the extra mobility rights they could have with the EU long-term residency permit – or do not even realise they are two different things.

Perhaps there won’t be very large numbers clamouring for it but it is nothing short of discrimination not to make it accessible to British people who’ve built their lives in the EU.

They may have lost their status as EU citizens but nothing has changed concerning the contributions they make, both economically and socially.

An example of how Withdrawal Agreement Brits in Italy are losing out

My son, who has lived almost his whole life here, wanted to study in the Netherlands to improve his employment prospects.

Dutch universities grant home fees rather than international fees to holders of an EU long-term permit. The difference in fees for a Master’s, for example, is an eye-watering €18,000. He went through the application process, collecting the requisite documents, making the payments and waited many months for an appointment at the “questura”, (local immigration office).

On the day, it took some persuading before they agreed he should be able to apply but then the whole thing was stymied because the national computer system would not accept a UK national. I am in no doubt, incidentally, that had he been successful he would have had to hand in his WA  “carta di soggiorno”.

This was back in February 2022 and nothing has budged since then. In the meantime, it is a question of pay up or give up for any students in the same boat as my son. There is, in fact, a very high take up of the EU long-term permit in Italy so my son’s non-EU contemporaries do not face this barrier.

Long-term permit: The EU’s plan to make freedom of movement easier for non- EU nationals 

Completing his studies was stalled by a year until finally his Italian citizenship came through after waiting over 5 years.  I also meet working adults in Italy with the EU long-term permit who use it for work purposes, such as in Belgium and Germany, and for family reunification.  

Withdrawal agreement card should double up as EU long-term residency permit

A statement that Withdrawal Agreement beneficiaries should be able to hold multiple statuses is not that easy to find. You have to scroll quite far down the page on the European Commission’s website to find a link to an explanatory document. It has been languishing there since March 2022 but so far not proved very useful.

It has been pointed out to the Commission that the document needs to be multilingual not just in English and “branded” as an official communication from the Commission so it can be used as a stand-alone. But having an official document you can wave at the immigration authorities is going to get you nowhere if Member State governments haven’t acknowledged that WA beneficiaries can hold multiple statuses and issue clear guidance and make sure systems are modified accordingly.

I can appreciate this is no mean feat in countries where they do not usually allow multiple statuses or, even if they do, issue more than one residency card. Of course, other statuses we should be able to hold are not confined to EU long-term residency, they should include the EU Blue Card, dual nationality, family member of an EU citizen…

Personally, I do think people should be up in arms about this. The UK and EU negotiated an agreement which not only removed our freedom of movement as EU citizens, it also failed to automatically give us equal mobility rights to other third country nationals. We are now neither one thing nor the other.

It would seem the only favour the Withdrawal Agreement did us was we didn’t have to go out and come back in again! Brits who follow us, fortunate enough to get a visa, may well pip us at the post being able to apply for EU long-term residency as clearly defined non-EU citizens.

I have been bringing this issue to the attention of the embassy in Rome, FCDO and the European Commission for three years now. I hope we will see some movement soon.

Finally, there should be no dragging of heels assuming we will all take citizenship of our host countries. Actually, we shouldn’t have to, my son was fortunate, even though it took a long time. Others may not meet the requirements or wish to give up their UK citizenship in countries which do not permit dual nationality.  

Bureaucratic challenges may seem almost insurmountable but why not simply allow our Withdrawal Agreement permanent card to double up as the EU long-term residency permit.

Clarissa Killwick,

Since 2016, Clarissa has been a citizens’ rights campaigner and advocate with the pan-European group, Brexpats – Hear Our Voice.
She is co-founder and co-admin of the FB group in Italy, Beyond Brexit – UK citizens in Italy.

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