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Published: Friday, 09 March 2018 17:45

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Photo: Cadenagramonte.Santiago de Chile, Mar 9.- Without any fuss, several dynamic economies of Southeast Asia were enthusiastic with the signing of the so-called TPP-11, while three actors of Latin America: Mexico, Peru and Chile felt as if they had joined the big leagues.

A laconic summary given before time of the final result of negotiations for the Progressive and Global Transpacific Accord (CPTPP, English acronym), was signed in Santiago de Chile.

Ministers of Canada, Japan, Australia, Mexico, New Zealand, Malaysia, Singapur, Vietnam, Peru, Chile and Brunei were those in charge of signing the text in a protocol ceremony headed by Chilean president, Michelle Bachelet.

The pact is a vertical response to defenders of protectionism and also sends a direct message to the United States that withdrew from the TPP a year ago and now looks how several of their best allies join in an independent way.

The head of State, who concludes her presidential period on Sunday, profited from the occasion to highlight the projection of her administration to promote the most free trade treaties, 'because we believe in integration'.

'We are very happy with this agreement that sends a message to those who wish to restrict trade and rest opportunities to the development of nations', commented Bachelet in her last international activity of her mandate.

Significantly, Japan stressed its commitment with open trade, regulated but without excessive restrictions and offered its leadership as part of the Group of Seven, to boost collaboration between the CPTPP and new interlocutors.

Vietnam described the arrangement as a powerful message to free trade and together with Japan, Malaysia, Singapur and Brunei, expressed hope that by the end of 2018 it will have been adopted by its National Assembly.

Mexico and Canada, facing difficult lobbying with the administration of Donald Trump for the North America Free Trade Agreement (NAFTA), applauded the progress achieved as of the TPP-11, considered a model of the 21st Century.

The inevitable question was posed regarding tariffs on imports of steel and aluminum, announced by the White House that could unleash a trade war.

Official responses by Mexico and Canada, indicate they will wait for the U.S. measures deemed as unacceptable to be enacted, and await what the real consequences will be.

At this moment the U.S. has a superavit in aluminum regarding Canada, which makes it an illogical move to establish taxes, said the Ottawa government.

It is necessary to highlight that the TPP-11 concentrates a population of some 600 million inhabitants with a global GDP of 10.5 trillion dollars.

The CPTPP must be ratified by at least six of the 11 members, with which it will be valid in 60 days.

Incentives such as e-trade (electronic commerce), intellectual and industrial property, the Internet of things, fight against corruption and the preservation of cultural and labor patterns excel in the agreement.

The CPTPP keeps the original regulations but excludes those protecting intellectual property imposed by the United States which had generated a strong rejection in civil society.

As of now, Colombia expressed its desire to join the group when the agreement is already operational, while China observes closely and says it is in line with its future projection. (Cadenagramonte)