Australia leads to save the TPP

Asia-Pacific trade ministers gathered in Hanoi to talk about the future of the Trans Pacific Partnership (TPP) Trade Pact, as many countries are now in doubt after the United States had withdrawn in January.

The TTP originally included 12 nations; Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam and the United States. It would be the biggest pact as it includes 40 per cent of the global economy. Unlike other trade pacts, it not only includes taking down trade barriers, but it will boost labour rights, environmental protections and Intellectual Property (IP)  rights. It aims to prohibit human trafficking, including child labour and forced labour, with Malaysia already taking steps to stop human trafficking in their construction industry. All signatories must fulfill their obligations under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), which prohibits harmful fisheries and stop overfishing.

However on the 23rd of January, the United States had withdrawn from the TTP, and is looking for bilateral agreements with countries over multilateral agreements.

With the biggest economy leaving the pact, some countries feel the TTP will be meaningless without them. Now Australia, New Zealand and Japan hopes to save the pact, in fear of a new global era of protectionism. The TTP ministers are hoping to gather support from ministers of the Asia-Pacific Economic Cooperation (APEC).

SOURCE ‘Australia leads fight to save Trans-Pacific Partnership trade pact’

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13 Comments

  1. Perhaps this will end up similar to the brexit domino effect; nothing will change. Although I’d like to see the reasoning for America favouring bilateral trade agreements over multilateral agreements.

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  2. I don’t really understand why the US would be favoring bilateral agreements over multilateral agreements?
    I don’t know enough about this but I think this trade pact would be good in regards to labour rights and environmental protection.

    Liked by 2 people

  3. Well Trump’s pulled the US out officially now so the shit has most definetly hit the fan. Screw them honestly, they’ll suffer far more than they’ll gain from laving it and with any luck it’ll make trump look worse in the process, if that’s even possible at this point.

    Liked by 1 person

  4. Trade liberalisation in the long term lifts allocative, technical, dynamic and intertemporal efficiency, grows productive capacity and increases AS. And with the TTP focusing on boosting labour rights and environmental protection it would be beneficial to all countries involved. US leaving the TTP shouldnt mean the agreement shouldnt go on as it will still greatly help all other countries participating.

    Liked by 1 person

  5. Another classic example of politics getting in the way of economic policy. I hope Japan, NZ and Australia can keep the pact alive because if it is successful it can lead the way for other countries to create similar partnerships and also be a strong example of a successful multilateral agreement. This should increase the popularity around trade liberalisation.

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    1. Me neither, I feel like the decision was not thought through properly. Maybe the US government thinks that they’ll have more power in bilateral agreements compared to multilateral agreements? or it might be a trust thing

      Liked by 1 person

  6. TPP is definitely beneficial for all nations involved as mentioned boosting labour rights and etc. US chose to leave the pact doesn’t mean the end of this pact. Other countries could still benefit from this.

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  7. The TPP was coordinated behind closed doors, with corporations having exclusive access to negotiations. This raises the question, why would governments aim to hide the details about such an important agreement if it truly benefited the population? Many of the signatories are democracies, and are meant to be transparent. Clearly there was something in the TPP that would anger the general population (but not backing corporate interests), and so it is probably a good thing that the deal wasn’t agreed to.

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  8. The TPP will overall be beneficial for all economies involved but with politics tensions remaining high, hopefully the pact can be kept alive

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  9. Free trade is overall a more beneficial to consumers as they have more acces to goods and services at a cheaper price which can help boost the world economy

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  10. My main issue with the tpp is that it was a deal made behind closed doors. Even most of the MPs who voted on it had no idea on what was on it. This type of international dealing for me is a massive problem, and should not be allowed in democratic nations.

    Liked by 1 person

  11. TPP is foucusing on boost labour right, environmental protections and intellectual property. It lead to benefit for economic growth, cause improve the unemployment rate and still achieve sustainable environment development. I through the TPP have to keep running.

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