Countries of Asia Pacific Sign a Giant Trade Deal amid protests

The Trans-Pacific Partnership (TPP), the world’s largest free trade agreement, was officially signed in New Zealand on February 4.

The ambitious pact aims to break down trade and investment barriers between the 12 countries comprising about 40 per cent of the global economy.

It eventually expanded to include Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Vietnam.

“With the TPP, we can rewrite the rules of trade to benefit America’s middle class”, Obama said in a media statement. “TPP is modeled after the failed deals of the past, and it is destined to fail”, said NFU president Roger Johnson.

And that might not be easy in every case, most notably in the USA where many Republicans, including most of the party’s presidential hopefuls, are opposed to the deal, fearing it could result in American jobs being lost to cheap labour in developing nations.

“We stand with people across the TPP countries opposing this deal”.

Twelve Pacific nations including the US, Australia and Japan have signed a major free trade pact as the US executes a “pivot” towards Asia to counter the growing power of China.

New Zealand Prime Minister John Key and US Trade Representative Mike Froman led the ceremonial signing at Auckland’s Sky City Convention Centre. Many protesters will argue that this deal will affect jobs to a great extent and also impact the sovereignty in the Asia Pacific states. TPP liberalizes trade and sets consistent rules to make it easier to do business across the region.

It will still need to be ratified by each of the member countries and it’s anticipated it will come into effect in two years’ time.

In the lead up to Thursday’s signing, the streets around Auckland’s central business district were disrupted by groups blocking access to the Auckland Harbour Bridge. Key finished by saying that the deal will benefit American workers businessmen and farmers. “We are working with our stakeholders, our members of Congress, the leadership of Congress, educating everybody as to what’s in the agreement, addressing their questions and concerns”, said Froman.