The president of the United States, Joe Biden, would face increased pressure to incorporate the United States into the Trans-Pacific Partnership (TPP), following the interest of the United Kingdom and China to join the CPTPP (substitute for the TPP).
First of all, the negotiations held between 12 countries of the Pacific Basin culminated in the signing, in February 2016, of the TPP.
Following the United States’ withdrawal from the latter treaty, on November 11, 2017, the remaining 11 countries agreed on the core elements of the TIPAT.
Thus, the Treaty and a list of suspended TPP provisions were adopted.
For example, according to the WTO, the Agreement suspends the application of two provisions initially included in the TPP until the Parties decide otherwise by consensus (paragraphs 5 and 6 of Annex 10-B).
Under those provisions, the Parties had agreed to ensure that no service provider covered by a postal monopoly would abuse its position in providing express shipping services or cross-subsidize its own or any other competitive provider of express shipping services at a profit. derived from its monopolistic postal services.
Article 1 of the TIPAT incorporates the provisions of the TPP and makes them part of the TIPAT, mutatis mutandis, except for Articles 30.4 (Accession), 30.5 (Entry into Force), 30.6 (Denunciation) and 30.8 (Authentic Texts), while Article 2 suspends the application of certain provisions of the first of these treaties.
Likewise, an Annex to the TIPAT lists the suspended provisions, which do not apply between the Parties for an indefinite period of suspension.
Today, those provisions remain suspended.
Articles 3 to 5 govern the entry into force and denunciation of the Treaty, and the accession to it.
Under Article 6, in certain circumstances and at the request of a Party, the operation of the Agreement will be reviewed with a view to considering any amendments that may be necessary.
Comercio de mercancías y PIB por Partes, 2018
To conclude, Article 7 provides that the texts of the Treaty drawn up in Spanish, French and English are authentic, although, in case of discrepancy, the English version will prevail.
The TIPAT provides for an almost complete liberalization of rates among participants.
Tariffs remain only in some very sensitive areas.
For example, Japan maintains tariffs on rice, while Canada‘s dairy industry is also protected.
Another pressure on President Biden’s administration is the recent entry into force of the Regional Comprehensive Economic Association (RCEP), a mega trade treaty that includes China, but not the United States.