China, Japan and Russia are racing to fill a leadership gap on trade issues following the recent U.S. fallout over the Trans-Pacific Partnership. The trade agreement took 12 nations seven years to negotiate, and U.S. President-elect Donald Trump pledges to end the deal on day one of his Presidency.
Trade experts agree the move opens the door for a new global trade leader to emerge. Without TPP, U.S. agriculture stands to miss out on billions of dollars in exports and risks losing market share once trade deals without the U.S. are completed. China is already moving to replace the U.S. as trade champion, according to a new report by Bloomberg News.
China is talking with other nations in Asia to complete a trade deal and China has also discussed the possibility of an agreement with Russia. However, Russia has criticized TPP and the now failed Trans-Atlantic Trade and Investment Partnership because the trade deals allegedly violate World Trade Organization rules by creating closed associations, while at the same time, Russia is touting its own regional trade proposals.
But can TPP be saved? An American Farm Bureau official says there could still be life in the Trans-Pacific Partnership trade deal, despite President-Elect Donald Trump’s intent to withdraw from TPP. AFBF trade adviser Dave Salmonsen says there is a precedent for saving flawed trade deals.
(From the National Association of Farm Broadcasters News Service)