US President Donald Trump has signalled that he would reconsider the country’s participation in the Trans-Pacific Partnership (TPP) trade pact if he could get a “better deal” for the United States.
Speaking on the sidelines of the World Economic Forum in Davos, Switzerland, last week, Trump told CNBC he would be willing to renegotiate with countries that are part of the TPP “individually, or perhaps as a group, if it is in the interests of all.”
“I would do TPP if we were able to make a substantially better deal. The deal was terrible, the way it was structured was terrible. If we did a substantially better deal, I would be open to TPP,” he said in the exclusive interview.
The trade pact was last year renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) after President Trump withdrew the US from the TPP in January.
Last week, ministers of the 11 remaining signatories moved forward with the trade pact, agreeing on core elements. It is expected that after each country has cleared the necessary domestic procedures, the agreement will take effect by 2019.
TPP 11 prepare to sign new trade pact
CPTPP ministers have suspended 20 provisions from the original agreement, 11 of which are related to intellectual property. And a revision of the original TPP text means the CPTPP can come into force 60 days after at least six signatories complete domestic procedures.
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By GlobalDataTrump, however, may be too late to think about re-shaping the trade pact. Japan and Australia are now the effective leaders of the new deal, which is expected to be signed in Chile in March. The 11 participating countries include Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.
The UK is also understood to be exploring the possibility of joining a trans-Pacific trade bloc after it leaves the European Union (EU), as part of plans to find alternative export markets. Taiwan is also thought to be preparing for bilateral and multilateral negotiations.
UK exploring possibility of joining TPP?
Taiwan “preparing” to join CPTPP trade pact
