Trans-Pacific Partnership agreement is on the final stage

November 2, 2017 9:42 amComments Off on Trans-Pacific Partnership agreement is on the final stageViews: 64

Trans-Pacific PartnershipTrans-Pacific Partnership is on the final stage, after New Zealand agreed to make amendments to its laws outside the scope of the TPP to prohibit the purchase of property by foreigners. The trade agreement includes eleven countries, after Donald Trump withdrew the participation of USA earlier this year.

The Pact aims to eliminate duties on industrial and agricultural products in the 11-member bloc, which total trade amounted to 356.3 billion USD last year. This week’s compromise will save member states from renegotiating the ambitious trade pact to respond to the New Zealand government’s demand for rigid housing price management measures.

The agreement brings the countries closer to it and an important victory in support of free trade that will be finalized at the Asia-Pacific Economic Cooperation Summit next week in Danang, Vietnam.

“The impetus to reach an agreement at the Danang meeting has greatly increased”, said the Japan’s chief negotiator, Kazuyoshi Umemoto. “Economic influence is definitely not a small one, but even the greater the message is that this agreement can affect the global economic system and bring peace and prosperity to the Asia-Pacific region”, added he.

New Zealand Prime Minister Jasinga Arndurn, who took office last week, has announced plans to ban home purchases of foreigners, which should prevent the renegotiation of the pact.

Japan hopes the deal, which links 11 countries with a total GDP of 12.4 trillion USD, can show other countries that free trade can be protected in the absence of influence from Washington. It can help Japan and oppose US pressure on the bilateral trade agreement, which is likely to be the topic of President Donald Trump’s visit from Sunday to Tuesday for a meeting with Prime Minister Shinzo Abe.

The Transatlantic Agreement was questioned when Trump withdrew the United States in January to prioritize job protection. New Zealand and Vietnam then demanded the resumption of part of the talks, but the countries managed to overcome their differences.

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