Japan, Australia, Canada and 11 other countries sign new ‘TPP’ agreement

Santiago: The ‘Trans Pacific Partnership’ (TPP) agreement which was in distress after US President Donald Trump announced his withdrawal from it, was successfully revived. On Thursday, 11 countries except the US signed on ‘CPTPP’ (Comprehensive and Progressive Agreement for Trans Pacific Partnership) in the capital city of Chile. It had been informed that this new agreement was signed just before Trump could release the ordinance for taxes on imports of Steel and Aluminium.

US President Donald Trump, who is known for advocating the ‘America First’ policy which gives priority to the US’ interests, had declared that it is withdrawing from the ‘TPP’ agreement by releasing an ordinance within few days of taking oath of the office. After efforts to re-include the US in the ‘TPP’ turned futile, Japan and Australia had taken lead for this new treaty. Many meetings were arranged in Vietnam, Australia, Japan and Latin America to give final touches to this new agreement. These meetings resulted in success as on Thursday when 11 countries signed the final draft of this new multinational trade agreement.

The meeting concluded on Thursday at Chile’s capital Santiago, which included Japan, Australia, New Zealand, Canada, Vietnam, Chile, Mexico, Malaysia, Singapore, Peru and Brunei. These countries which contain a population of more than 500 million, contribute for more than 13% of share in the international economy. Japan, Chile and Australia welcomed the new ‘Comprehensive and Progressive Agreement for Trans Pacific Partnership’.

The success received by CPTPP even after being faced with difficult and different types of challenges is historic and has paved way for free and apt rules for trading in the Asia Pacific Region in the 21st century, Japan’s Economy and Fiscal Policy Minister Toshimitsu Motegi said complimenting the agreement. Chile’s Foreign Affairs Minister Helraldo Munoz claimed that this new treaty is a firm symbol against the protectionist pressure tactics in trade. Munoz also criticised by saying that the new treaty indicates that world is open for free trade and there is no fear of unilateral restrictions and trade war.

In view of open warnings of trade war being given by US President Donald Trump, the signing of a new multinational trade treaty is attracting attention. There has been a backlash from the US circles that are saying it was a matter of regret, the treaty gained success even after the US, who once led it exited from it. Analysts have claimed that the US has lost the opportunity of keeping proper control over trade in the Asia-Pacific region by exiting from the ‘TPP’ agreement.