An article in Politico details what is happening in the Pacific and Asia since the US pulled out of the TPP. http://www.politico.com/magazine/story/2017/08/07/trump-tpp-deal-withdrawal-trade-effects-215459
I remember having a long discussion with a number of you on this board about this: that the US's removal from the TPP was going to create a vacuum which would be filled by others. Those of you who were 'willing to give Trump a chance' didn't see it that way and instead talked about how Trump is a master negotiator and that even though the US pulled out, it could still renegotiate with these countries. Unfortunately, it appears the US has completely missed the boat on this and it is not only going to end up hurting US producers, but potentially cede control over a vital region of the world.
For those not wanting to read, the short of it is with the removal of the US from the trade agreement, countries have stepped in to set up trade agreements absent the US. This means, at a minimum, that they will have cheaper prices in market as they get tariffs removed from their products that the US will still be subjected to. So, for instance, pork from Iowa will cost more in Japan than pork from Australia. It will also remove a trading agreement which gives the US less influence for future joint needs.
This is the perfect example of Trump. He screamed about how bad the TPP was (and please note: I'm not saying it was a perfect agreement) but when he went to 'fix' the problem, he did so in the most slipshod way possible that made the situation worse than having just left it alone.
I remember having a long discussion with a number of you on this board about this: that the US's removal from the TPP was going to create a vacuum which would be filled by others. Those of you who were 'willing to give Trump a chance' didn't see it that way and instead talked about how Trump is a master negotiator and that even though the US pulled out, it could still renegotiate with these countries. Unfortunately, it appears the US has completely missed the boat on this and it is not only going to end up hurting US producers, but potentially cede control over a vital region of the world.
For those not wanting to read, the short of it is with the removal of the US from the trade agreement, countries have stepped in to set up trade agreements absent the US. This means, at a minimum, that they will have cheaper prices in market as they get tariffs removed from their products that the US will still be subjected to. So, for instance, pork from Iowa will cost more in Japan than pork from Australia. It will also remove a trading agreement which gives the US less influence for future joint needs.
This is the perfect example of Trump. He screamed about how bad the TPP was (and please note: I'm not saying it was a perfect agreement) but when he went to 'fix' the problem, he did so in the most slipshod way possible that made the situation worse than having just left it alone.
