Pacific trade deal closer but leaders won't endorse it yet

NA Chairwoman Nguyen Thi Kim Ngan receives Canadian Prime Minister Justin Trudeau. Font Size

Japanese Economy Minister Toshimitsu Motegi said late on Friday that all 11 countries had now agreed on the plan to move ahead.

Members of the Trans-Pacific Partnership (TPP) have agreed a new framework to revive the proposed trade deal, following the U.S. withdrawal earlier this year.

"The agreement reached here in Da Nang, Vietnam, will be brought back for further engagement with the relevant stakeholders back home", Minister Datuk Seri Mustapa Mohamed said in the statement following the summit of Asia-Pacific Economic Cooperation (Apec) countries in Vietnam.

A statement issued in the early hours Saturday said an accord was reached on "core elements" of the 11-member pact.

US President Donald Trump had withdrawn his country from the original 12-nation TPP agreement.

"There was never an intention not to show up at any meeting", he said.

While economists are largely positive on the resurrection of the Trans-Pacific Partnership (TPP), now known as the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP), Bantah TPPA believes that a renewed cost-benefit analysis is warranted to determine the impact of the amended deal on Malaysia.

Excluding the United States, the 11-party TPP's share of world gross domestic product drops to 13 percent, but trade experts say the deal would still create a free trade area with high-standard market liberalization.

"I wasn't going to be rushed into a deal that was not yet in the best interest of Canadians".

Japan had lobbied hard to proceed with a pact after the USA withdrawal that could also help to contain China's growing regional dominance.

The apparent failure to get even a tentative agreement came after Abe had told Mexican President Enrique Pena Nieto and other regional leaders earlier in the day he welcomed the outline deal as a way of flying the flag for free trade.

Trump has taken a strongly different stance on trade to predecessors with an emphasis on protecting American jobs and ensuring other countries do not take advantage of the United States.

In contrast, Chinese President Xi Jinping told the same group that nations need to stay committed to economic openness or risk being left behind. TPP commitments would eventually be ratified and enforced by its members.

"Obviously we still have some issues to work through.once we have that final deal then we'll be in a position to talk to other parties about their support".

As a developing country with a fast-growing export sector, this year's host country, Vietnam, has a strong interest in open trade and access for its exports to consumers in the West.

"Comprehensive and progressive are key things that we [the ministers] look forward to and we consider the new name reflecting the common goal of inclusive growth", Tuan Anh said.

APEC's members are Australia, Brunei, Canada, Chile, China, Hong Kong, Indonesia, Japan, South Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, Philippines, Russia, Singapore, Taiwan, Thailand, the USA and Vietnam.

Related News: