APEC NEWS RELEASE: Issued by The APEC Business Advisory Council (ABAC) Ha Long, 29 July 2022 – Asia-Pacific business leaders in the APEC Business...
ABAC Statement – International Treaty Examination of the Trans Pacific Partnership (TPP) Agreement

Statement to the Foreign Affairs, Defence and Trade Select Committee, 7 April 2016
By Tony Nowell, ABAC New Zealand Member
Mr Chairman, Honourable Members.
Thank you for the opportunity to speak to our submission.
My name is Tony Nowell and I am speaking on behalf of the New Zealand members of the APEC Business Advisory Council, or ABAC. ABAC was created in 1995 and is made up of private-sector representatives from all 21 APEC economies, appointed by the Leaders of those economies to provide business advice to the Leaders and to APEC senior officials on important trade and economic issues. It is to be noted that all signatories to the TPP Agreement are also APEC economies.
I am pleased to be speaking following the New Zealand International Business Forum and the New Zealand-United States Council. ABAC New Zealand has many shared interests with those bodies, and we support their submissions.
Mr Chairman, Honourable Members
ABAC New Zealand brings a broad strategic perspective to trade and economic matters. It examines issues not just through the lens of what is good for New Zealand, but also good for the development of trade throughout the wider region. Bearing in mind our regional strategic interests, the TPP Agreement is a very welcome development.
Let me start by setting out some context. The APEC region represents 58% of the world’s economy, 47% of its trade and 40% of its population. What happens in the APEC region has a strategic importance that goes well beyond the Pacific Rim. And what happens in the APEC region is also, of course, of critical interest to New Zealand as one small part of that large region. In 2014, 74% of our goods exports went to APEC members, while 72% of our imports came from those economies. Fourteen of our top 20 export markets are APEC members, including the three largest economies in the world – the United States, China and Japan.
ABAC’s fundamental concern is with the inclusive and sustainable economic development of the APEC region. It is hard to foresee how that goal can be reached without a more liberal trade environment. The economic literature, and our own experience, for example under CER, shows that freeing up trade flows will facilitate greater regional economic integration. Greater regional economic integration in turn will drive GDP growth, raise standards of living, foster food security and enhance prosperity.
Accordingly ABAC has for many years been a strong advocate for an ambitious vision of a “Free Trade Area of the Asia Pacific”, or FTAAP.
Achieving such an ambitious goal involving 21 economies is unlikely to be straightforward. But in thinking about how to get there, ABAC has identified the TPP as one of three important “pathways” to the FTAAP.
The concept is that, by using pathways in the form of sub-regional trade agreements, we will be able to achieve the most ambitious and comprehensive region-wide outcome, one that delivers the greatest benefits to the greatest number of people.
The pathway that TPP offers closely aligns with many of ABAC’s stated priorities for the optimal business environment, developed over many years of discussion. For example, TPP sets some important new rules that will facilitate cross-border investment and trade in services, tries to mitigate the most harmful non-tariff barriers and establish good regulatory practice across the region, sets out new approaches to the digital economy and e-Commerce, includes some important measures designed to help SMEs participate effectively in regional supply chains and value chains, and so on.
In other words, TPP will potentially help to form the basis for a new trade and economic architecture of the APEC region as a whole, and so it will ultimately help to deliver those important strategic goals, of human development, prosperity, food security, job creation and so on, that are our fundamental objectives.
TPP also usefully demonstrates that even smaller, less wealthy and less developed economies, such as Viet Nam or Peru, can help to set the terms of a high-quality trade agreement. That demonstration effect is crucial as we contemplate trying to achieve a new region-wide architecture.
Accordingly, I am pleased to be able to report that at our last ABAC meeting, which took place in San Francisco in February of this year, the ABAC representatives from all of the TPP economies[1] unanimously welcomed the TPP agreement and called for its early ratification. I should note that some of those representatives did not see the TPP as the “perfect” agreement. But they did recognize that the TPP will deliver substantial benefits overall to their economies and communities, and as such must be ratified and implemented.
Our submission concludes that not only is ratification of TPP strongly in New Zealand’s direct economic interest but is also very strongly in our strategic interest for and within the region, and – dare I say it – in our moral interest in helping countries that are less well off than New Zealand, in terms of GDP growth, food security and overall human development and prosperity.
ABAC New Zealand therefore urges you to recommend ratification of TPP.
Thank you, Mr Chairman and Honorable Members.
REGISTER WITH TRADE WORKS
Register to stay up to date with latest news, as well as saving and discussing articles you’re interested in.
Latest News
Asia-Pacific Business Leaders to APEC Leaders: Speed up economic recovery and regain growth momentum
APEC NEWS RELEASE: Issued by The APEC Business Advisory Council (ABAC) Ha Long, 29 July 2022 – Asia-Pacific business leaders in the APEC Business Advisory Council (ABAC), meeting this week in Ha Long, Viet Nam, expressed deep concern about the unprecedented crises...
TradeWindow: Digital trade provides hope through challenging times
It won’t come as a surprise to many people to hear that we remain in a very challenging situation when it comes to global business. Our exporters are operating in an environment that is difficult to navigate due to continuing uncertainties – the seemingly endless...
TRADE AND CLIMATE POLICIES NEED TO WORK TOGETHER – BUSINESS FORUM
A new report, commissioned by the NZ International Business Forum (NZIBF) and prepared by Adrian Macey, former Climate Change Ambassador and World Trade Organization (WTO) Lead Negotiator, shows that trade policy and actions to address climate change can be...
Trade and Climate Change: State of Play
TRADE AND CLIMATE CHANGE: STATE OF PLAY. A discussion paper prepared for the NZIBF by Adrian Macey, June 2022. Download here.
THE NZ/EU FTA IS LIKE THE CURATE’S EGG
In which we like the good parts of the NZ EU FTA…. Who remembers the curate’s egg? It’s when the nervous Curate, asked by the Bishop, if everything is ok with his boiled egg, replies “It’s good in parts, my Lord”. So too the recently concluded NZ/EU FTA, which has...
ADDRESS TO THE FONTERRA ALUMNI GOVERNANCE DEVELOPMENT WORKSHOP
ADDRESS TO THE FONTERRA ALUMNI GOVERNANCE DEVELOPMENT WORKSHOP AUCKLAND, 29 JUNE 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR NZ INTERNATIONAL BUSINESS FORUM THE GLOBAL GOVERNANCE CHALLENGE Thanks to my friend Janine Smith for inviting me to speak to you today....
NZ EU FTA – A MIXED BAG, SAYS BUSINESS FORUM
Reacting to the overnight conclusion of negotiations for a free trade agreement between New Zealand and the European Union, the NZ International Business Forum (NZIBF), which brings together a cross section of major exporters, said the outcome was mixed in terms of...
NZ EU FTA COMING DOWN TO THE WIRE – HOLD THE LINE, SAYS BUSINESS FORUM
As negotiations accelerate to conclude an ambitious free trade agreement between New Zealand and the European Union, the NZ International Business Forum (NZIBF), representing a cross section of major exporters, urges the Government and its negotiators to hold out for...
WTO BACK IN BUSINESS – INTERNATIONAL BUSINESS FORUM
Media release, 19 June 2022 The NZ International Business Forum (NZIBF) welcomes the outcome of the World Trade Organization (WTO) 12th Ministerial Council meeting in Geneva and congratulates Trade Minister O’Connor and officials. “It’s great to see the WTO back in...
Address to the 50th One Stop Update for the Accountant in Business
ADDRESS TO THE 50TH ONE STOP UPDATE FOR THE ACCOUNTANT IN BUSINESS CHRISTCHURCH, WELLINGTON, AUCKLAND, MAY 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR NZ INTERNATIONAL BUSINESS FORUM ONE STOP GLOBAL ECONOMIC UPDATE Thanks to Brightstar for once again inviting me to...
Remarks by Rachel Taulelei to APEC Ministers Responsible for Trade, 21 May 2022
ABAC NEW ZEALAND REMARKS TO ABAC-MINISTERS RESPONSIBLE FOR TRADE DIALOGUE 21 MAY 2022 RACHEL TAULELEI ABAC NZ Chair, Ministers The Free Trade Area of the Asia Pacific (FTAAP) remains the preeminent economic priority for the Asia-Pacific business community. It...
Deepening ECONOMIC INTEGRATION and EQUIPPING BUSINESS FOR DYNAMIC, INCLUSIVE and SUSTAINABLE GROWTH ARE KEY to ECONOMIC RECOVERY, say business leaders
Vancouver, 28 April 2022 –Asia-Pacific business leaders in the APEC Business Advisory Council (ABAC), meeting this week in Vancouver, affirmed their determination to continue to work closely together to respond to the challenge of sustaining the region’s growth...
FROM APEC AND CPTPP TO IPEF – SMALL STEP OR GIANT LEAP?
The US idea of an Indo Pacific Framework (IPEF) continues to gain traction but is not without complication. Aotearoa-New Zealand is a great joiner - from the very beginning of the United Nations to the important economic institutions like the WTO, APEC, CPTPP and...
Remarks to Foreign Affairs, Defence and Trade Committee
NZ INTERNATIONAL BUSINESS FORUM REMARKS TO THE FOREIGN AFFAIRS, DEFENCE AND TRADE COMMITTEE INTERNATIONAL TREATY EXAMINATION OF THE NZ/UK FREE TRADE AGREEMENT 17 MARCH 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR Madam Chair, Members of the Committee Thank you for the...
Submission to the Parliamentary Foreign Affairs, Defence and Trade Committee
INTERNATIONAL TREATY EXAMINATION OF THENEW ZEALAND UNITED KINGDOM FREE TRADE AGREEMENT MARCH 2022 Introduction and Summary 1. This submission is made on behalf of the New Zealand International Business Forum (NZIBF) whose members are listed at Annex A 1 . NZIBF is a...