Ministers pose for an official picture after signing the rebranded 11-nation Pacific trade pact Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) in Santiago, Chile, on March 8, 2018 (Source: AFP/VNA) Hanoi (VNA) - The Comprehensive andProgressive Agreement for Trans-Pacific Partnership (CPTPP) ishoped to take effect in December 2018 after Australian Prime Minister ScottMorrison announced on October 30 that his country had ratified the agreement.
According to foreign media, Morrison saidAustralia is the six country coming on board, adding that the CPTPP is one of the most comprehensive and ambitious tradeagreements in Australia's recent history.
Meanwhile, Minister for Trade and ExportGrowth of New Zealand David Parker said Australia's ratification triggersthe 60-day countdown to entry into force of the agreement and the first roundof tariff cuts.
Previously, Mexico, Japan, Singapore and New Zealand andCanada had ratified the CPTPP.
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership – therevised trade deal born out of the Trans-Pacific Partnership Agreement (TPP)following the withdrawal of the United States last year – will be provisionallyenacted 60 days after it is ratified by six countries.
David Parker said “the importance of CPTPP has grown over recent months withthe rapid escalation of protectionist measures around the world”.
He noted that New Zealand's adoption of the deal means thatin the future, its businesses will be able to benefit from improved tradeconditions and reduced tariffs.
According to a recent report by the Economic and Social Commission for Asia and the Pacific (UNESCAP), increasedtrade protectionism will slow down economic growth, especially in developingcountries.
The World Bank has estimated that if trade barriers arecompletely removed, developing countries can increase their budget revenues andbring millions of people out of poverty.
The CPTPP is one of the most comprehensive trade deals everconcluded and strips 98 percent of tariffs for 11 countries with a combined GDPof more than 13.5 trillion USD and close to 500 million consumers.
It was signed by 11 member states, namely Australia,Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore,and Vietnam in March 2018.–VNA
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