Japan tries to revive the TPP
Japan is pushing for a revival of the failed TPP and will lead efforts towards implementing the agreement without the US.
However, as the biggest remaining TPP economy (now that the US has withdrawn), Japan’s recent push is cause for concern. According to the AFR (paywall), and the Bangkok Post, a meeting of senior TPP officials will be held in Canada in early May to discuss the next steps, followed by ministerial discussions on the fringes of the APEC meeting in Vietnam on May 20-21.
Since the TPP in its current form cannot proceed without ratification by the US, there are three possible scenarios:
- Remaining TPP countries do not agree to proceed: A TPP minus the US would have far fewer market access benefits for many of the remaining countries while still containing many damaging rules on medicines, copyright and investor rights to sue governments.
- TPP countries agree but want to renegotiate: Even if the remaining countries do agree to proceed with a TPP without the US they are likely to try to make major changes to the text, given that many made concessions in order to gain access to US markets which the deal will now not deliver.
- TPP countries agree to proceed with no major changes: At a minimum, the current TPP text requires US participation, and would need to be changed in order for a TPP without the US to proceed. This would mean it would become an entirely new agreement and would have to go through parliamentary processes again in each country. This is an unlikely but extremely concerning scenario because it would lock in the TPP's damaging clauses and deliver even fewer market access benefits (which for Australia were already negligible).
Australian Trade Minister Steven Ciobo has praised Japan’s push to revive the deal - despite a Senate inquiry rejecting the current TPP’s implementing legislation.
We will continue to monitor this. Make sure you sign up to receive our news updates for the latest on this and other trade negotiations.
- Civil society protests as leaders praise flawed TPP at Chile meeting (March 2017)
- ‘TPP minus 1’ is a terrible idea (February 2017)
- TPP demise makes way for fairer trade policy (February 2017)
Updated: 19 April 2017