Trans-Pacific Partnership talks may finally come to a close

After almost a decade of talks, Trans-Pacific Partnership (TPP) trade ministers will gather in Maui, Hawaii on July 28-31, to try to come to a conclusion on what would be the largest free-trade deal ever. The TPP involves the U.S., Canada, Mexico and nine other Pacific Rim nations. These countries represent about 40 percent of the global GDP, according to the Peterson Institute. By 2025 the deal could potentially increase the United States’ annual income by $77 billion. While it would lower tariffs and ease regulations, liberalizing certain products like rice, sugar and trucks for the nations involved, it would also address some of the rising issues of a global economy, such as patent laws for pharmaceuticals and international data transfers over the Internet.

I’m confident that everybody is going to do everything they can, but the U.S. won’t take a bad deal.

Tami Overby, U.S. Chamber of Commerce senior vice-president for Asia

President Obama is spearheading the support for the pact, which is opposed by many of his fellow Democrats. The trade deal has been the cause of a lot of contention on Capitol Hill. Supporters believe it would be beneficial to all involved, opening up new opportunities and leveling the playing field, as labor and environmental standards would be imposed on the trading partners. The White House also thinks the deal would help the U.S. assert more influence in the area. However, those opposing the TPP think it prioritizes corporations by limiting competition and giving foreign companies too much power in U.S. business. Foreign corporations and investors would be able to challenge the U.S. government through special tribunals when they believe regulations or actions hurt their investments.

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