PM of Singapore: There is still no agreement on China joining the regional trade partnership
SYDNEY- Singapore’s Prime Minister Lee Hsien Loong stated on Tuesday that although Singapore felt Beijing would be able to meet the requirements of the trade bloc, there is still no consensus for China to join a trans-Pacific trade treaty.
95 percent of tariffs between the 11 nations that make up the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) have been eliminated. These nations include Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.
Five additional countries—Britain, China, Taiwan, Ecuador, and Costa Rica—have submitted applications to join. In February, members decided that Britain may move through with its application as it seeks new economic partners after leaving the EU.
Australia has raised doubts that its major trading partner, China, will uphold the free trade obligations of the agreement and has urged Beijing to ease sanctions imposed on a number of Australian exports as a result of a diplomatic dispute.
During a visit to Canberra, Lee informed reporters that Singapore, the CPTPP committee’s chair, was aware of Australia’s position.
“I think it is wonderful if China can join the CPTPP,” he said, adding that Beijing would be able to completely abide by the pact’s requirements through discussions.
There must be agreement among all of the current members for China to join the CPTPP, and I don’t believe there is one yet.
Members of the trade pact said in a statement during a meeting in Singapore this month that Britain’s application was moving forward and that future applicants would need to demonstrate “a demonstrable practise of adhering with their trade commitments.”
Last week, Australian Trade Minister Don Farrell told Nikkei Asia that he didn’t see any chance of China signing the agreement.
In a letter to the Australian parliament last year, China requested support for its application and highlighted the volume of trade between the two countries while omitting any reference of the massive financial penalties Beijing had imposed.
Under President Donald Trump, the United States formally withdrew from the pact’s discussions in 2017.
