Trans-Pacific Partnership Agreement: A Commentary on Developing/Developed Country Divide and Social Considerations

Abstract

The Trans-Pacific Partnership Agreement or “the TPP” is one of the largest Regional Trade Agreements (RTAs) signed by eleven countries in the Asia- Pacific region. It is unique in the composition of its membership; half of its membership is comprised of developing countries, and the other half, developed countries, which is unusual for large-scaled RTAs such as the TPP. This diverse composition creates an inevitable developed/developing country divide in the TPP with respect to the effect of its terms on the trade and development interests of the participating countries. Building on the author’s previous works, this article discusses the impact of several key TPP provisions along this developing/developed country divide, provides a commentary on the gains and trade-offs for developing countries, and proposes ways to achieve a balance between the interests of developing and developed-country members. The TPP also has social implications for its member states, which has caused the President of the United States, Donald Trump, elected by support of the working class who perceived the existing trade agreements as a threat to their economic positions, to withdraw the United States from the TPP. This article also examines these social issues.