New European Parliament reflects divided policy options

The results of the elections for the European Parliament are broadly in line with expectations.

Although pro-European Union parties have won a majority of the seats, the EP is more fragmented than before with traditional center-right and center-left parties losing seats to Liberals and Greens, and Euroskeptic parties increasing their vote share.

This is likely to make it more difficult for the EU to agree new trade deals and choose new leaders for EU institutions.

The heads of government of EU states met on Tuesday to discuss who will fill the top jobs.

The new EP and the EU leadership face a difficult international environment, especially on the trade front.

The United States administration, already engaged in a tariff war with China, has its sights on the EU as well, describing the bloc as "a foe".

The US has imposed 25 percent tariffs on European steel and aluminum and threatened to slap similar tariffs on European cars unless the EU opens up its agricultural market.

So far EU ministers have only agreed a modest mandate to discuss reductions in tariffs in industrial goods and to seek agreement on conformity assessments.

EU Trade Commissioner Cecilia Malmstrom is opposed to any quota agreement on cars and has lambasted the national security excuse put forward by the White House.

The most prominent supporter of free trade is the center-right European People's Party which lost seats largely to right-wing parties opposed to free trade, and to the Greens which want tougher conditions attached to trade deals.

The center-left Socialists are also broadly in support of free trade but lost seats, while the pro-trade Liberals (the Alliance of Liberals and Democrats for Europe) gained seats.

But the Liberals are now aligned with French President Emmanuel Macron's En Marche which, under threat from Marine le Pen's National Front, has taken a tougher line on protection of agriculture. France, for example, is opposed to including agriculture in transatlantic trade talks.

The Greens are one of the big winners in the elections (even beating Germany's Social democrats into second place), and they will seek to impose strict conditions regarding climate change, the environment and human rights on future trade deals. This attitude will also make it difficult to agree a new trade deal with the US, as it has not endorsed the 2015 Paris climate agreement.

Although the nationalist and populist parties now have more seats, it does not mean they will form a united front in the EP. There are divisions on trade, on the environment and on dealing with China.

Some of these parties, such as the National Front, are seen as firm opponents of free trade, whereas Alternative for Germany and Matteo Salvini's Lega Nord in Italy tend to be more supportive (depending on the content of the trade agreement).

These parties tend to look at trade agreements purely from a nationalist point of view and if a trade agreement is seen as overall beneficial for their country, they could support it. For instance, Italy voted in favor of the EU agreement with Japan but against the agreement with Canada.

The content of the agreement is key. For instance, these parties do not like clauses that curtail the powers of single EU member states, such as the establishment of new regulatory or arbitration bodies.

Another uncertainty is Brexit. Whether it will happen or not? And what might change under a new British prime minister? The new Brexit Party under Nigel Farage was the clear leader in the EP election in the United Kingdom, but the UK's 73 EP members have to leave the EP as soon as Brexit takes place.

Still, the victory of the Brexit Party could prompt the Conservatives to choose a new leader to campaign on a "no-deal" Brexit. But this has little or no chance of being accepted by the British parliament, which means the Brexit stalemate will continue until there is a general election or a second referendum. In any case, the normally profree trade voice of the UK will be reduced in the new European Parliament.

The author is director of the EU-Asia Centre. The views don't necessarily represent those of China Daily.