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PRIORITIES FROM CIP 
Ref. Ares(2021)292979 - 13/01/2021 1
PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
PRIORITIES FROM CIP 
CONFEDERATION OF PORTUGUESE BUSINESS
PORTUGUESE PRESIDENCY 
OF THE COUNCIL OF THE EU
January 2021


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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU





PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
MESSAGE FROM 
THE PRESIDENT
António Saraiva
Portugal will hold the Presidency of the Council  clearly insufficient, in face of a situation that has 
of the European Union at a very difficult moment.  been dragging for several months now. 
The COVID-19 pandemic generated a health crisis 
and, with it, serious and long-lasting social and  At European level, funds from the European recovery 
economic consequences worldwide. Furthermore,  plan must be channelled into the real economy 
we are witnessing, as a result, permanent changes  as soon as possible. But not all is about financial 
in work relations, in the way companies’ function,  support: more than ever, companies must be spared 
on how supply chains are organised, on how trade  from unnecessary administrative and compliance 
is constructed. In some cases, the pandemic has  costs, existing barriers in the EU single market must 
only accelerated existing trends. In others, we are  be addressed, and a level playing field ensured. 
witnessing disruption.  
CIP supports the priorities of the Portuguese 
The European Union must be ready to face the new  Presidency: to achieve a resilient Europe, a social 
order. We need solid actions to address the post- Europe, a green Europe, a digital Europe, and a 
pandemic world. 
global Europe. The question is HOW to achieve these 
goals. In this paper, we present our views in these 
Companies must be placed at the centre of the  five broad areas, and share recommendations as 
recovery. Business have revealed major responsibility,  well as concerns from the business community. 
managing to broadly maintain employment over the 
initial COVID wave, and have demonstrated creativity  I wish you a pleasant reading. 
and flexibility in adapting to the situation. However, 
many have collapsed, and many more are using all  Yours sincerely,   
available reserves to stay afloat. Public support, so 
far, has been welcomed and well targeted. But it is  António Saraiva 

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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU

PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
INDEX
1. A RESILIENT EUROPE 6
2. A SOCIAL EUROPE 7
3. A GREEN EUROPE 9
4. A DIGITAL EUROPE   
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5. A GLOBAL EUROPE  12

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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU
 1. A resilient Europe
Europe has been seriously hit by the pandemic. The EU economy is expected to fall by 7,4% in 2020 and 
bounce back by 4,2% in 2021 and 3% in 2022. Output in the EU is expected to only recover its pre-pandemic 
level in 2022. By then, many companies will have closed its doors and many jobs will be lost. 
With the vaccination against COVID, a progressive return to normal life will be possible over the coming 
months. But it will take time until economic activity can fully resume. Most companies have used all 
available reserves to stay afloat, and it is therefore necessary that measures to support businesses and 
workers are not prematurely unwind. 
• The European recovery funds must reach the  concept, avoiding distortions and misconceptions. We 
real economy without delay:  With a welcomed deal  stress the need to continue implementing the necessary 
reached by the 10 December European Council on the  horizontal conditions for all companies and all sectors 
Multiannual Financial Framework and Next Generation  to flourish and to be part of the solution, attracting 
EU, it is now absolutely necessary to ensure funds reach  investment and companies’ comeback.
the real economy quickly.
• Deepening the economic and monetary union:  It 
Speed must however not compromise quality. National  is particularly important to accelerate the work to 
Recovery and Resilience Plans must effectively direct  reach a full Banking Union, in its three pillars, with the 
resources, not only in view of the recovery, but also  rapid establishment of a European Deposit Insurance 
ensuring a vision for the future. This unprecedented  Scheme and assuring that the common backstop to 
amount of EU funds must be used to transform our  the Single Resolution Fund can start operating at the 
economies and improve their resilience. National social  beginning of 2022, as agreed last November by euro 
partners must be fully involved. Investment in education,  area ministers of finance.
training, and our youth, must be a priority bearing in 
mind the need to adapt the skills and the training system   
to the new reality.  Young people are definitely the ones  • Ensure a quick finalisation of the cohesion policy 
who will suffer the most in the near future. 
files and a swift start of programmes: The importance 
of cohesion policy for all EU countries is increasingly 
• Industrial policy: The way the EU will position itself  recognise, and this policy proved of fundamental 
in the world in the medium to long term, is dependent  importance when the pandemic crisis hit – it was 
on the decisions it takes today regarding its industrial  possible to quickly mobilise cohesion funds and redirect 
strategy. The crisis has exposed fragilities regarding  programmes to quickly act where needs became more 
the way our value chains are organized and, if we are to  pressing. It is now of fundamental importance for the 
find responses to societal challenges, then we need to  Presidency to bring to a speed conclusion the legislative 
ensure excellence in its industry, in its human resources,  dossiers to allow for operational programmes to 
and associated services. The definition of industrial  start as soon as possible. We cannot delay important 
ecosystems should be revised, coherently with its base  investments that can be done through these funds.

PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
• Investment: We have witnessed a massive fall in  • Ensuring a level playing field within the EU 
private investment in recent months. We must pursue  Single Market: We believe the temporary state aid 
public policies supporting the overall investment  framework, relaxing existing rules in response to the 
levels or we will never be able to achieve the so wished  crises, was a necessary decision. But this is creating 
leadership in the digital and green transition. It is also  major imbalances given the wide differences in the 
important to progress towards the capital markets  ability of different Member States to provide support 
union and to take measures to make it easier for capital  to their companies. These imbalances clearly distort 
markets to support economic recovery. The better  competitive conditions in the internal market and will 
regulation agenda is crucial to recover the investment  have to be monitored and corrected. We must ensure 
climate at EU and national levels, and the quality of  these measures will not undermine the level playing 
impact assessments must be improved. 
field in the single market in the medium to long term.
• Address existing barriers in the EU Single Market:  • Taking into account SMEs: SMEs play an important 
The Portuguese Presidency must relaunch the agenda  role in the EU economy and so also in the EU economic 
for the internal market, lift barriers imposed during  recovery. All EU policies targeting companies in 
the pandemic, and continue working to eliminate pre- the Single Market should take into account SMEs’ 
existing barriers. In particular, we must tackle long- vulnerabilities, namely within the EU present driving 
standing obstacles to cross-border labour mobility,  forces of sustainability and digitalization. Other EU 
address regulatory barriers for cross-border provision  policy domains, such as access to finance, better 
of services, address the over-prescriptive Commission’s  regulation and internationalisation, should also regard 
policy for harmonised European standards for goods,  SMEs as a specific target, while applying adjusted/
and remove barriers to the free flow of data.
specific measures. 
 2. A social Europe 
Job losses and the rise in unemployment has been contained compared to the drop in economic activity, 
according to the latest available forecast from the European Commission. Companies have made 
remarkable efforts in maintaining employment, supported by government measures, which helped 
cushion the impact of the pandemic in labour markets. This being said, unemployment is still expected 
to rise to a maximum of 9,4% in 2021, and the social consequences from the pandemic are already 
visible. 
We must ensure a strong, sustainable and inclusive recovery. We need to make the most of innovative 
and flexible solutions that allow active labour market policies, to promote redeployment of workers 
from more affected sectors to others which suffer labour shortages. Measures to be adopted must take 
into consideration the difficult moment that private companies, the main source of job creation, are 
facing and therefore avoid additional burdens. A business-friendly environment is needed, now more 
than ever.      

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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU
 •  The European Commission’s proposal for a directive  information and consultation and social protection. 
on minimum wages and collective bargaining in the  The informal meeting of EU leaders regarding the 
European Union promotes disunity: Such proposal  Social Pilar in May in Porto must take in mind the 
is contrary to the letter and spirit of the EU Treaty, as  inputs of the civil society organizations in a balance 
these matters are the responsibility of Member States  way. And the outputs of the meeting should be clear.
and Social Partners in accordance with the principle of 
subsidiarity. The proposal disrespects the diversity of  • Respect the autonomy of social dialogue: The 
existing industrial relations systems, the autonomy of  existence of active and responsible Social Partners, 
the Social Partners and goes against the strict division of  with national or supra-national objectives in the 
competences between the EU and the Member States.
design and implementation of solutions is critical 
for the survival and development of companies 
The proposal will further promote the division between  and, consequently, employment, as well as for the 
Member States, especially in a time of crisis where  sustainability and growth of the economy.
unity and cohesion are required, and is contrary to the 
majority opinion of Member States who are in favour  The implementation of such solutions must respect 
of a non-binding instrument, i.e. a recommendation.
the competences of the EU and the Member States 
and adequately involve the European and national 
The choice of a legally binding text, as is the case  social partners. In this context, the Portuguese 
with a Directive, means that Member States will  Presidency must ensure that the Action Plan for the 
have to transpose it to the national level, and the  implementation of the European pillar of social rights 
European Court of Justice will therefore have  recognise that the main responsibility for the delivery 
jurisdiction over exclusively national collective of its principles lies in the hands of Member States.
agreements, thus undermining a fundamental feature 
of the best performing social dialogue systems in  It is also important to respect and give space for 
Europe: independent collective bargaining between  solutions created by social partners as well as by 
organizations representing employers and unions.
individual companies and workers to find the best 
solutions to their needs. In other words, it is crucial to 
• Realism is required in the Action Plan for the  respect the autonomy of social dialogue. 
implementation of the European Pillar of Social 
Rights: 
CIP naturally supports Social Europe and the  •  Improve preparedness of Health Systems to 
need to promote measures that respond to the current  respond to public health threats: The covid-19 
crisis. However, the support and development of such  pandemic has shown that vulnerable and fragile 
a Model depends on improving the performance of  health systems result in inadequate health responses 
labour markets and social systems in all Member  with consequences on social cohesion and economic 
States, giving the necessary and natural space to the  growth. Investment in health is needed to strengthen 
solutions achieved by social dialogue at community  the capacity of health systems to provide effective 
and national levels.
patient care and reduce the pressure on health 
systems. This can be achieved through investment 
The Action Plan cannot ignore that the economic  in primary care and collaborative models of care, 
dimension is essential to ensure the European Social  fostering interprofessional and inter-sectoral 
Model. Europe’s social problems are not due to a deficit  collaboration in several areas such as vaccination, 
in social policy, but to a lack of competitiveness. It is  non-urgent health situation and chronic diseases, 
necessary to bear in mind that the EU social acquis  among others. 
is already well developed, covering more than 70 
Directives that protect workers and give them rights  While respecting the subsidiarity of Member 
in several key areas, including, among others, equal  States, building a strong European Health Union 
treatment, working conditions, health and safety,  can contribute to find new and innovative solutions 

PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
to better prepare health care systems, improve  the integrity of the pharmaceutical chain, from 
people’s health, and promote a sustained economic  production to dispensing.
recovery. More than ever, resilient, and sustainable 
pharmaceutical supply chains are key to ensure  A top priority is the digital transformation of the 
timely and safe access to medicines and vaccines. 
health sector, including telemedicine and the 
interoperability of electronic health records, as a key 
Financing and pricing policies must be balanced  to improving the quality of healthcare and increasing 
and incorporate in its objectives affordability and  access to healthcare. As such, the High-Level 
accessibility factors, as well as the sustainability  Conference on Digital Health (Portugal eHealth 
of the pharmaceutical chain. This must be  Summit) which will be held in June, in Lisbon, is 
addressed in the Pharmaceutical Strategy for  expected to be one major event of the Portuguese 
Europe. There is an urgent need to preserve  Presidency.
 3. A green Europe
The objectives of the Green Deal and the aim of reaching climate neutrality by 2050 are as relevant as ever. 
CIP believes there are important opportunities to be explored from the green economy. However, it must 
take into account the effects of the crisis in the capacity of companies to act, reinvent themselves, and 
invest. 
We must balance our ambitions against the new reality. The way we will accomplish the green transition 
must take into consideration an economy in tatters. Targets must be realistic to be meaningful, and we need 
to have an adequate strategy with the right instruments and framework in order to reach them. We must 
also underpin the Green Deal and its new targets with a credible industrial strategy.
• The success of the Green Deal and its new targets  well sustained review of the Effort Sharing Regulation, 
depend strongly on reaching a credible industrial  so that the efforts demanded for each Member State 
strategy that can restore the company’s capacity  are just and possible, taking account of the previous 
to invest in green and low carbon technologies. To  commitments and real achievement trends.
become climate-neutral in a cost-effective way, we 
must ensure that there is enough affordable green  • To preserve the EU companies’ competitiveness, 
energy available: namely improving the development  we need to have effective carbon leakage 
of the essential interconnections and improve the  measures: this means that should a Carbon Border 
EU level playing field regarding carbon emissions  Adjustment Mechanism (CBAM) be introduced, it must 
reductions, between industry, energy, buildings, and  be done so in a complementary way to existing ETS 
transport activities, whilst working for more ambition  carbon leakage protection measures and in a fully 
from third countries. The new and more ambitious  WTO-compatible way, to ensure the impact of both 
EU target on decarbonisation for 2030, needs a very  imports and exports.

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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU
• Promote a strong and real dialogue with  • Promote the development and successful 
European industry: 
this is particularly important in  implementation of the sustainable finance 
the preparatory phase of the numerous legislative  agenda:  criteria and disclosure obligations from 
initiatives foreseen in 2021, such as the revision of  the taxonomy regulation should be proportionate, 
ETS, the Renewable Energy Directive, the Energy  practicable and fit for purpose. These should be 
Taxation Directive, the Energy Efficiency Directive,  broad enough to ensure that activities with no 
the Eco-design Directive, and the Industrial  direct impact on low carbon goals but having an 
Emissions Directive.
indirect and important role in several value chains 
essential for the green transition, are taken into 
• The new Circular Economy Action Plan must  account. It is also essential that lessons are drawn 
deliver a functioning market for quality secondary  from the just-adopted (and not yet implemented) 
raw materials and circular products:  without  taxonomy, before considering using this private-
raising more bureaucracy, especially for SMEs,  sector tool for other purposes such as EU funding 
in terms of compliance with new reporting and  instruments or policies.
communication platforms such as SCIP or setting the 
right methodology for substantiating green claims.
 4. A digital Europe1 
It is essential to ensure that Europe is on an equal footing with other global competitors. Without an adequate 
legislative environment, the right skills and the necessary investments in very high-speed broadband 
infrastructure, Europe will continue to lose prominence in this crucial sector of the economy.
We need to support the digital transformation of our economies and societies by creating the conditions 
for the safe deployment of new technology such as AI and 5G as well as for the industrial data economy, 
developing digital skills and incentivising voluntary data sharing through collaborative European data 
spaces. Europe must be able to compete with other world leaders in these critical technologies. 
It is time to reinforce Europe as a relevant digital player in the global economy, supporting an innovative and 
business-oriented ecosystem, but also leveraging a European approach funded on openness to different 
cultures and new markets. That would mean new opportunities for European companies – notably SMEs – 
to find new markets and to attract technology and capital.  We need an autonomous Europe opened to the 
World. Due to its historical and cultural heritage and to its global multicultural and political background, 
Portugal can play a very important role bridging European values to constructive partnerships. 

PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
The European Union has an important role to play in coordinating a common approach to the challenges 
of digital transformation and in the development of a true Digital Single Market, which will enable it to 
successfully face the challenges of globalization and facilitate the development of this market, both on the 
supply and demand. As for an adequate taxation system for the digital age, it is essential that any proposals 
in this area are agreed internationally within the framework of the OECD.
1 Some policy messages from this section reflect BusinessEurope’s own position, which CIP fully endorses.
• A risk-based AI framework that would focus on  out activities that impede effective competition. 
where the highest and most widespread societal  Contestability of these platforms by others through 
damage is likely to arise: We agree with the  truly open markets should be the goal. Clarity as to 
Commission’s two-step test of defining high-risk in  which platforms are considered “gatekeepers” as well 
its White Paper, yet believe immaterial risks, as too  as the criteria as to how these characteristics should 
broad a concept to legally define or otherwise covered  be measured are required.
by existing legislation, should not feature in the final 
definition. Only material risk (death, injury and property  • Implementing 5G: 5G technology is a great 
loss) should feature. We also have strong reservations  opportunity, if properly used, for the consolidation of 
in relation to “exceptional instances” as defined by the  an innovative and strong national business ecosystem, 
Commission which seem to negate the entire benefit  leveraged by the multiple and promising applications 
and legal clarity of this two-step test.
of this technology in the different domains, whether 
in business reinforcement, reindustrialization, 
• Support the Data Governance Act: it is important  digitalization of all sectors, namely retail and 
to incentivise more data sharing between businesses  distribution, logistics or the food supply chain that 
and further opportunities to re-use public sector data.  involves producers and a series of actors that can 
Businesses need legal clarity, standards supporting  benefit greatly from the investment. The public sector 
interoperability and affordable data sharing agreements  itself, at central, regional, and local levels, should 
that either monetise data provider participation or enable  leverage the potential of 5G to accompany and mobilize 
“give and take” schemes for this initiative to be a success. a modernization effort that best serves citizens. Any 
climate of conflict and litigation around this theme 
• Start discussions on the Digital Services Package:   must be overcome in order to take full advantages of 
including clear, fast and harmonised notice and  the potential of 5G. 
takedown provisions to support the removal of illegal 
goods and content online. Further, novel measures,  • Fair competition and clear rules: Digital market and 
such as transparency reporting, “know your business  online platforms are part of a new economy. These are 
customer” and new enforcement powers to regulators  crucial for Europe, but there is the need to set clear and 
should be considered to incentivise platforms into  fair rules. Characteristics such as vertical integration, 
maintaining diligent processes of active engagement.  lack of transparency for users, lock-in and network 
The notion of legal but “harmful” content should not  effects coupled with high concentration levels result 
be defined or legislated for at the risk of breaching  in structural competition problems, affecting both 
fundamental rights. Platforms achieving a so called  consumers and workers. The Portuguese Presidency 
“gatekeeper” position are not necessarily abusing that  must see the Digital Services Act as an opportunity to 
position. However, it can take place through carrying  complete the process in order to boost competition. 


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PRIORITIES FROM CIP 
PORTUGUESE PRESIDENCY  OF THE COUNCIL OF THE EU
 5. A global Europe
Europe must continue to drive international free trade, with an ambitious negotiation agenda, fighting 
protectionism. We must promote effective implementation of existing trade agreements and ratification of 
agreements that have been concluded such as the one with Mercosur. The EU also has a key role to play 
in the process of globalization, in order to ensure that the benefits are well distributed and to reinforce the 
capacity of Member States and their companies to face global competition. Acting together, the EU and 
their Member States have the necessary capabilities and means to find solutions to problems and make a 
difference globally. 
• Trade: EU Trade policy will have an ambitious  – Mercosur, Africa and India – should be firmly targeted.
international trade agenda. The objective is to increase 
access to third markets and, on the other hand,  • Rapid ratification of the EU-Mercosur agreement: 
ensuring that products, services, and investments  We need a rapid ratification and implementation of 
entering the EU market do not create distortions of  the agreement between the EU and Mercosur, as a 
competition, either because their origin is subsidized  further delay can jeopardise the full potential of the 
and/or because they do not meet EU standards. While  opportunities given by the agreement. The completion 
these cases of distortion affect EU companies, the  of the largest agreement ever concluded by either the 
EU has to reinforce its Trade Defence Instruments,  European Union or Mercosur will give the two regions 
and complement them with the future instrument to  the opportunity to overcome the difficulties we are 
address foreign subsidies. 
experiencing, but also to project the future beyond the 
pandemic. Implementing the new agreements with 
The success of trade policy strongly depends on a well- Mexico and Chile would complete the most needed 
regulated trade framework at world level. It’s essential  stronger ties with Latin America. 
that the EU gather all its efforts and all its partners 
around the reform of the World Trade Organisation. 
• Further deepening EU Africa relations: 2021 is 
expected to be a decisive year for EU-Africa relations 
It is important to ensure the right revision of the  through the adoption of a partnership with the 
Generalized System of Preferences (GSP) scheme.  African Union, after the postponement of the last EU-
This revision should, on one hand, adjust the GSP  Africa summit due to COVID. Africa is facing its first 
criteria enabling a better distribution of benefits –  recession in 25 years because of the effects of the 
more on least developed countries and less on mono- pandemic, which will affect the goals for sustainable 
producer countries that have reached top world market  development (SDG). Promoting trade and investment 
shares and, on the other hand, make GSP+ beneficiary  in and with Africa must be a priority to truly deliver 
countries comply with international conventions on  on growth, jobs, and sustainable development. In this 
environment and climate change. 
context, regional economic integration through the 
African Continental Free Trade Area (AfCFTA) and the 
Ensuring a global Europe implies focusing trade and  Economic Partnership Agreements (EPAs) should be 
investment policies in the relationships with the EU  put high on the agenda, as well as the post-Cotonou 
most important partners – US, China, and UK – each  agreement between the EU and the Organisation of 
representing different kinds of challenges. Other  African, Caribbean and Pacific States (OACPS). EU 
relationships representing today a significant potential  external financing instruments must be well known 


PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
to companies as private investment in areas such as  for our companies, combining good market access with 
infrastructures, connectivity and energy is key to create  a level playing fields will be a permanent objective. It is 
more and better jobs in Africa. Education and training  important to address main disruptions after 1 January 
have to be a priority to meet the local market needs of  2021, for which a strong cooperation with business will 
skilled labour.
be needed. 
• Support the greater engagement between the EU  • Open Strategic Autonomy must be pursued 
and India: 
The next EU-India Summit in May in Porto is  by market forces and reject protectionism: The 
an opportunity to reaffirm both sides commitments to  pandemic alerted for the weaknesses of the system 
multilateralism and to launch firm basis for EU-India  due to an excessive rigidity characterized global value 
cooperation in trade and investment.
chains and made evident the excessive dependencies 
in certain sectors or in relation to certain countries. In 
• Relaunch the transatlantic agenda: We must seize the  its efforts to ensure “strategic autonomy”, Europe must 
opportunities that the new US presidency raises to renew  not close itself. We need to have companies that can 
and improve the EU-USA relationship, and deepen the  lead in areas called strategic, but this process must be 
transatlantic agenda in terms of trade and investment. 
conducted by market forces and not predetermined by 
governments.
• Approaching China: Europe should aim at reinforcing 
the economic ties with China, while levelling the  In the new revised EU Trade Strategy, the European 
playing field. The ratification of the recently concluded  Union must continue to lead by the example it sets 
Comprehensive Agreement on Investment and the  in terms of action and the values it defends. It cannot 
implementation of the Geographical Indications  yield to protectionist tendencies, which will inevitably 
Agreement should be the main objectives.
close its foreign markets, nor allow an international 
order that encourages indiscriminate subsidizing 
• Continue working on the EU-UK relations: The UK will  practices by companies. Europe has a responsibility to 
always be an important EU’s economic partner. Within  lead this process, persisting in a commercial strategy 
the framework of the EU-UK Trade and Cooperation  of opening up to the world, framed by prudent rules 
Agreement, concluded on the 30th December 2020, the  and appropriate internal policies, within the framework 
pursuit of the best possible competitive environment  of its Recovery Plan. 











CIP – CONFEDERATION OF PORTUGUESE BUSINESS represents more than 150.000 
enterprises, which employ 1,8 million employees and generate a summed turnover 
equal to 71% of the Portuguese GDP.
CIP is a national social partner and the most representative Employer’s Association
in Portugal, firmly committed to champion progress and well-being in Portugal.
CIP integrates the following international organisations:
Organização Internacional do Trabalho
International Labour Organization 







PRIORITIES FROM CIP 
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PORTUGUESE PRESIDENCY OF THE COUNCIL OF THE EU
Brussels Office
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