No Urgency for RCEP as US Not Likely to Ratify TPP


Asean officials and leaders pictured at the group’s meeting in Laos this week. Its members are involved with other nations from Asia and Australasia in the new trade pact negotiations. Photo:EPA

Asean officials and leaders pictured at the group’s meeting in Laos this week. Its members are involved with other nations from Asia and Australasia in the new trade pact negotiations. Photo:EPA

US has concluded Trans-Pacific Partnership (TPP) in order to exclude China by its stringent rules, but China is conducting reform to meet such rules; therefore, China’s real objective in taking initiative in establishing the Regional Comprehensive Economic Partnership (RCEP) is not to counter TPP.

However, the TPP excludes not only China but also quite a few other countries, especially India, by its stringent rules; therefore, it is India and other excluded nations that have urgent desire to have RCEP to counter TPP.

China, however, has already had free trade agreement with ASEAN, South Korea, Australia and New Zealand. The only two countries it has no such agreement are Japan and India. China does not have such urgent need for RCEP than India and other countries.

SCMP’s report today titled “Asian nations will fail to met deadline to end negotiations on new trade pact: sources” seems to mean that China is in trouble due to the delay of the trade pact. In fact no one is in trouble as US congress and both Republican and Democratic president candidates are against TPP. The delay is in fact due to the lack of urgency in concluding the deal to counter TPP. If TPP fails, RCEP may also fail.

Comment by Chan Kai Yee on SCMP’s report “Asian nations will fail to met deadline to end negotiations on new trade pact: sources”, full text of which can be viewed at http://www.scmp.com/news/china/diplomacy-defence/article/2017135/asian-nations-will-fail-met-deadline-end-negotiations.

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One Comment on “No Urgency for RCEP as US Not Likely to Ratify TPP”

  1. Joseph says:

    When the economy is as big as China, there is no need of RECP, TPP or anything for China. The same cannot be said to other countries, growing and shrinking otherwise. For American economy, China is the only economy big enough to be their economic savior. But the American bigotry toward China has set the American into some sort of crusade to find economic rival for China that can be exploited. In the past, the American had tried to promote Japan, India and EU. All failed. And the American yet tried to create TPP on the global scale but with the same recipe. As more countries has more economic awareness, they will not easily accept terms that only benefit the American on their expenses. The answer for the American is actually really simple, to have constructive relation with China, the American cannot expect to treat China the way they treated the exploited Cantonese immigrant that built their Pacific Railway.

    Like


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