TPP Hopeless, Chile, Peru Considers Joining China-backed RCEP


Chilean President Michelle Bachelet, left, and Peru's President Pedro Pablo Kuczynski shake hands upon arrival at the Lima Convention Centre during the Asia-Pacific Economic Cooperation summit in Lima on Saturday. Chile’s vice-minister of trade says the nation is open to free trade options.Photo: AFP

Chilean President Michelle Bachelet, left, and Peru’s President Pedro Pablo Kuczynski shake hands upon arrival at the Lima Convention Centre during the Asia-Pacific Economic Cooperation summit in Lima on Saturday. Chile’s vice-minister of trade says the nation is open to free trade options.Photo: AFP

SCMP says in its report “Latin American economies look to China for free trade options”, that as Trump opposes TPP, Chile and Peru consider joining China-backed Regional Comprehensive Economic Partnership (RCEP) as they believe that their economies will be benefited by free trade that Trump opposes in his election campaign.

SCMP quotes Paulina Nazal Aranda, Chile’s vice-minister of trade, as saying that Chile had expressed interest in also joining the RCEP.

It says, “Peru, another signatory nation of the TPP, confirmed last week that it has started talks with China about joining the RCEP, though it still holds hopes for the TPP.”

TPP excludes China as Obama says that he wants to set international trade rules to prevent them from being set by China. However, China has expressed its interest in joining TPP without opposing the rules set by the US.

RCEP excludes the US, but China does not want to exclude the US so that in APEC summit last year China proposed the establishment of Free Trade Area Asian-Pacific (FTAAP) to include the US.

The US wants to contain China with its TPP, but China wants cooperation with the US because cooperation benefits both countries. Containing China, however, hurt the US itself. That is why both US presidential candidates Clinton and Trump oppose TPP.

Chinese leaders are wise to pursue win-win cooperation while Obama is stupid to have the desire of hurting his own country in order to hurt China. In fact, he is helping China to carry out its very difficult reform to enable China to conform to Obama’s trade rules. TPP in fact hurts other countries, especially India and has infused great stimulus into India in pursuing RCEP.

Comment by Chan Kai Yee on SCMP’s report, full text of which can be found at http://www.scmp.com/news/china/diplomacy-defence/article/2047728/latin-american-economies-look-china-free-trade-options

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5 Comments on “TPP Hopeless, Chile, Peru Considers Joining China-backed RCEP”

  1. Eastern Looking Glass says:

    Why is India being invited to the FTAAP? It is not a Pacific rim country? Why this continuous special treatment for the notoriously jealous and egocentric Sinophobic Indians? They have no business in ASEAN nor in in the East Asia Summit? Why are they in there?

    When China goes to Africa, the Indians unabashedly display their jealousies like a small people with small minds, clearly from the remarks made by them and their mass medias. Similarly, even when China proudly sent an unmanned rover to the moon. Or displayed its fifth generation stealth fighter jet at Zhuhai Air Show. Note their sour grapes and false comments about the Chinese.

    Why would the Japanese which, culturally, place importance and priority on developing the kind of superior qualities human characters should possess – as will the Chinese in due course – want to have anything to do with such lowlife Indians?

    India is NOT a Pacific rim country. They should be kicked out if not totally excluded in FTAAP and East Asia summits and even ASEAN meetings. There is little justification for their presence. The affairs of the APEC countries is none of its business. Otherwise China and Far East Asian countries should demand their presence in SAARC summits and economic conferences and meetings. If Amerika can be excluded from FTAAP or RECEP as it so disgustingly tried to do with China under the TPP, there is utterly NO reason why India should not be excluded from FTAAP and other APEC and ASEAN or East Asian meetings.

    Let them find their place amongst their kith and kin in the Middle Eastern countries.

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    • Steve says:

      U have a good valid point, but India is a member of the BRICS, SCO, having border disputes with China, Pakistan and now China is lurking it’s submarines in India’s backyard (Indian ocean) and with recent ‘angry Modi boy tactics’ against China calling Pakistan the mothership of terrorism, I believe that President Xi is demonstrating excellent diplomatic relations with its neighbours and invite everyone to the party (FTAAP) including the declining US. China Cannot lose to the Indians.

      Chinese Taikonauts recent 30 days space exploration has caused the Indians to demonise China as being backward compared to the Russians and Americans. Let them be Indians and speak with two tongues.

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    • Fre Okin says:

      FTAAP is an Asian-Pacific trading bloc and India is necessarily a part of Asia. Don’t worry about India being in the bloc. China can use CPEC to take away any advantage India have from FTAAP.

      Chinese should try to educate Millennial Indians their Old Cows have led them astray. Indians are deluded, confused bunch of people. Over at globaltimes, bashing India is my favorite to educate any Indians who dare to tangle with me.

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  2. Steve says:

    China has FTAs with ASEAN, Gulf cooperation council, Norway, Japan/Korea, RCEP, SriLanka, Maldives, Georgia, Australia, NZ, etc plus bilateral negotiations. The US are strong in bilateral negotiations (so is China), but bilateral agreements can easily set competing trade rules with other countries, hence the Obama TPP to exclude China. The TPP and RCEP is basically a multilateral agreement.

    The US is in decline, therefore will find it difficult to compete against China in bilateral and FTAs with countries where China is involved. China has geopolitical wisdom, instead expresses interest in joining the TPP without opposing the rules set by the US and even proposes the FTAAP to include the US.

    By now, the US should feel stupid and humiliated, worst than a lame duck President, like a barking pit bull with no teeth no bite. The TPP is like Obama throwing sand against a strong wind blowing into his own face hurting the US. This is China’s golden win win era…..Unbeatable.

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  3. Fre Okin says:

    Just like AIIB, China should lead Free Trade Area Asian-Pacific (FTAAP). US will look like a sore loser if she don’t join. India will be salivating at Free Trade Area Asian-Pacific (FTAAP) as currently she have nobody to dance with her. Peru, Chile are natural candidates for Free Trade Area Asian-Pacific (FTAAP) as they are Pacific Ocean countries and will benefit greatly if FTAAP materialize.

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