TPP is such an international economic agreement. This is why people always ask about the relationship between the Belt and Road Initiative and the TPP. It is hard to say what is the specific relationship between them. The Belt and Road Initiative is a large-scale strategy, which can be compared to the Marshall Plan and the Westward Movement, while the TPP is just an economic agreement. Still a shaky economic deal. In 2005, four countries—Singapore, New Zealand, Brunei, and Chile—initiated something called the Trans-Pacific Partnership Agreement, which wasn't a big deal. But in 2008, the United States joined this organization and carried out some reforms, trying to let the United States lead the trade agreement and let it slowly expand to 12 members.
International economic agreements are the rules of the game for international trade and the yardstick that all countries must abide by. How much profit can be obtained in the trade. For the Chinese, the most familiar multilateral trade agreement is the WTO. Although the WTO has become a comprehensive economic organization today, its core is still a multilateral economic agreement born out of the "General Agreement on Tariffs and Trade". The organization has 162 member countries and its total trade volume accounts for 97% of the world. So the question is, since a changeable trade agreement like the WTO already exists, why does the United States want to dominate another TPP? What is the difference between TPP and WTO?
Of course, in terms of scope, WTO is much wider than TPP. But in terms of depth, the TPP is far from comparable to the WTO. It will involve environmental protection, intellectual property rights, etc., which are not involved in the WTO, but only slightly involved. In addition, the TPP is far higher than the WTO in terms of standardization, standards, and strictness. For example, once there is a violation of the rules among WTO members, a legal process such as appeal may be required for judgment. This process may take two years or more, and the result is at best to impose sanctions on the member who violated the rules. More, such as the move to expel from the WTO. However, the TPP is extremely strict. Once a member violates certain rules, his membership may be automatically lost.
The WTO has existed for a long time, has a large number of members, and covers a wide range of areas. In addition, every regulation requires the consent of all members, which also forces developed countries like the United States to condescend to the standards of some developing countries, which virtually increases costs and loses competitiveness. Therefore, for a period of time, the United States has focused on bilateral trade negotiations, such as the US-Japan Free Trade Agreement and the US-Korea Free Trade Agreement. However, since the core economic interests of their respective countries are involved, each negotiation is protracted and difficult. Instead of talking about one after another, it is better to start anew and formulate a multilateral agreement that meets US standards, once and for all. Therefore, the United States adopted a two-pronged approach and formulated the TPP around the Pacific Ocean and the TTIP around the Atlantic Ocean. This is why the United States got involved in the TPP and carried it forward. TPP has 12 participating countries, and its economic aggregate accounts for 40% of the world.
In fact, any country hopes to write the rules by itself, which is understandable. TPP did not invite China to join in the whole process, and in the whole negotiation process, China did not actively apply to join. In such a situation, it is easy for people to think that the TPP is a weapon created by the United States to check and balance China. But—the TPP has never invited the United States to join. This is an open trade agreement platform, anyone can apply to join, no invitation required.
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