The greatest challenge is keeping on board Vietnam and Malaysia, which joined largely to benefit from better access to the USA market. They now want to renegotiate some points.
The TPP took more than five years to negotiate, and countries such as Japan and New Zealand are lobbying to keep its provisions intact as discussions to implement it without the US move forward.
The participating ministers also affirmed the importance of all member countries’ cooperation to address the differing levels of economic development among them in striking a deal, a move expected to allow special treatment for developing countries such as Laos, Cambodia and Myanmar. “We will firmly seek its realisation”, said Japan’s minister responsible for the TPP Nobuteru Ishihara on Friday.
Aiming to lead the discussions, Japan held bilateral talks with some of the remaining countries in the Vietnamese capital.
“These efforts would address our concern about protectionism, contribute to maintaining open markets, strengthening the rules-based global trading system, increasing world trade, and raising living standards”.
Fears of protectionism have grown under the Trump presidency, and the gathering inHanoihas done nothing to quell them.
But the Trump-appointed trade representative,Robert Lighthizer, said the USA would not return to the TPP.
The Russian minister said he had not approached the USA about meeting new Trade RepresentativeRobert LighthizerinHanoi, and had not in turn been approached by the US side.
When asked about the disagreements over the language, Lighthizer said that USA steps to create free and fair trade were being confused with protectionism. Japan has emphasized that it would ultimately like to bring the United States back in. “That does not mean we will not engage in this region”, Lighthizer told a news conference inHanoi, Vietnam.
Singaporesupports the joint efforts by the 11 remaining signatories of the Trans-Pacific Partnership (TPP) to sustain the trade deal, said its Trade and Industry Minister Lim Hng Kiang.
“The United States did not want to have the word “protectionism” but the other 20 economies wanted to include that”, said one official involved in the talks who did not want to be identified by name.
Spearheaded by then US President Barack Obama, the far-reaching TPP – which notably excludes China – would have rewritten the rules of 21st century trade. It is largely about reducing tariffs and much less comprehensive than TPP: it has limited protections for intellectual property, labour rights or the environment.
Despite the lack of USA support, the TPP effort is revived.
“This is a chance for the 11 remaining countries to collectively decide upon a process for next steps”, Mr McClay says.
Mustapa said there was optimism the United States would return one day, because Trump had shown readiness to shift his position on other matters, such as softening his stance towards China.
The APEC gathering on Sunday failed to agree on the usual joint statement after the United States objected to formulations supporting free trade and opposing protectionism, according to officials.
Source: PPPfocus