Small and medium-sized enterprises in Estonia stand to gain from the Transatlantic Trade and Investment Partnership (TTIP), the trade agreement being negotiated between the European Union and the US. Estonia’s exports to the United States could rise by as much as 13 per cent when the agreement is concluded.

Small and medium enterprises will benefit from the reduction in tariffs resulting from the agreement, especially in sectors where such businesses make up a large portion of businesses such as in the food, garment and textile industry. The reduction in non-tariff barriers will also be good, since small companies have less money to deal with red tape.

Estonian small and medium enterprises are champions in transatlantic trade compared with businesses in other member states, as among the companies exporting to the US they account for 65 per cent of total exports – the highest indicator in the EU.

The EU-United States transatlantic economy represents the largest economic relationship in the world, accounting for more than 40 per cent of world trade. Negotiations on the TTIP opened in July 2013, with the goals of eliminating duties and other restrictions on trade in goods; freeing up commercial services; and providing the highest possible protection, certainty, and level playing field for American and European investors.