What next after the US withdrawal from the TPP? What are the options for trade relations in the Pacific and what will be the impact on the EU?

27-11-2017

The Trans-Pacific Partnership was a landmark trade agreement signed by 12 Pacific Rim countries including the US on 4 February 2016. TPP had commercial as well as geopolitical significance for the Obama administration and was a key component of the former president´s so-called “pivot” to Asia. On his first full day in office, on 24 January 2017, President Trump pulled the US out of TPP leaving the other 11 signatories to grapple with the consequences. They have since vowed to move forward even without US participation, reviewing the existing clauses and rebranding the regional agreement under the name of Comprehensive and Progressive Agreement for the Trans-Pacific Partnership (CPTPP). Negotiations on the CPTPP will continue in 2018. The European Parliament has requested three experts from the EU, US and Asia to consider the implications of the US withdrawal from the TPP and draw conclusions on how the EU should position itself in this high-growth and geopolitically-strategic area. The findings were presented during a Workshop organised by the Policy Department for the International Trade Committee on 8 November 2017 in Brussels.

The Trans-Pacific Partnership was a landmark trade agreement signed by 12 Pacific Rim countries including the US on 4 February 2016. TPP had commercial as well as geopolitical significance for the Obama administration and was a key component of the former president´s so-called “pivot” to Asia. On his first full day in office, on 24 January 2017, President Trump pulled the US out of TPP leaving the other 11 signatories to grapple with the consequences. They have since vowed to move forward even without US participation, reviewing the existing clauses and rebranding the regional agreement under the name of Comprehensive and Progressive Agreement for the Trans-Pacific Partnership (CPTPP). Negotiations on the CPTPP will continue in 2018. The European Parliament has requested three experts from the EU, US and Asia to consider the implications of the US withdrawal from the TPP and draw conclusions on how the EU should position itself in this high-growth and geopolitically-strategic area. The findings were presented during a Workshop organised by the Policy Department for the International Trade Committee on 8 November 2017 in Brussels.

External author

Peter CHASE, Pasha L. HSIEH, Bart KERREMANS