News from Hanoi that the eleven remaining members of the Trans Pacific Partnership (TPP) have decided to work towards bringing the agreement into effect is very positive, says the NZ International Business Forum.
“With rising protectionism now a real risk to the global economy, TPP(11) is clearly still a viable and much needed pathway for trade liberalisation in the Asia Pacific region” said NZIBF Executive Director Stephen Jacobi, who is returning to New Zealand from a visit to the United States.
Mr. Jacobi said that under TPP(11) New Zealand would benefit both from improved market access, especially with Japan, Canada, Mexico and Peru, and better rules for trade and investment.
“TPP(11) remains a worthwhile endeavour. Without TPP it is hard to see how APEC can make meaningful progress towards the Free Trade Area of the Asia Pacific (FTAAP). That’s why TPP strategically remains a good idea, even without the United States”.
Mr. Jacobi said it was important for New Zealand to maintain a close dialogue with the United States on trade.
“The US decision is clear and this Administration is not about to change its mind on leaving TPP. We hope however New Zealand can remain “very, very good friends” with the United States on trade, while continuing to work with the eleven remaining members, and potentially new ones, to bring TPP into force” concluded Mr. Jacobi.