Key swings from one lost cause to another: the TPP

Prime Minister John Key has reinforced the benefits of the Trans Pacific Partnership in a speech to the Council on Foreign Relations in New York today.

Mr Key told the Council he welcomes the priority that the US Administration has placed on TPP’s passage through Congress this year.

“The Trans-Pacific Partnership (TPP) will help liberalise trade and investment between 12 Pacific-rim countries,” says Mr Key. “It will provide better access for goods and services to more than 800 million people across the TPP countries, which make up 36 per cent of global GDP.

“For New Zealand, it’s estimated it will boost our economy by at least $2.7 billion a year by 2030. It will help diversify our economy and create more jobs and higher incomes for New Zealanders.

“And the reality is that these benefits will grow as other countries join the TPP – a number have already signalled an interest in doing so.”

Mr Key says while some in the US might not think the TPP is the perfect deal, the idea that it can be renegotiated to get a better outcome is unrealistic.

“The region will not wait for you. Asian countries are determined to grow and they realise to grow they need to remove trade barriers. This will happen with or without the United States.”

Mr Key says the benefits of the TPP are wider than just economic.

“Free trade agreements not only lift exports and create jobs they also help solidify political relationships and help increase security.

It is unlikely that the US will ratify the TPP.  Both Clinton and Trump have come out against it.  I don’t know if this is happening, but we should already be working on a Plan B without the US.  The absence of the US from the TPP doesn’t make all the other trade related concessions and measures useless.



  • Boondecker

    Could not agree more with the fact the TPP is lost with America in it. Key is barking up the wrong Obama tree again. Obama is an utter lamed-duck failure as Commander in Chief and there is no way he will get to twist any arms with a GOP-led congress that loathes his very existence before November.

    I still believe that if Trump gets to be POTUS, being the businessman and proAmerican trade hawk he is, he will push for specific changes in the TPP before eventually getting the favours what he wants and then, so long as the GOP still hold Congress, get their agreement to sign up.

    If the Democrats win Congress (and that looks very possible going by the favourability ratings it has had for a long while now) a President Trump will have little to no cooperation for some time, if ever. If Clinton wins the election, no one has any idea what she will do – she flip-flops far too much and too often on policy for anyone to know for sure.

    • biscuit barrel

      Changing the TPP ? Cant happen Wont happen. Its only left as a Aye or No vote for Congress. Clinton wont flip flop as its at the beginning of her term and she relies on union support. The union bosses wont let her ‘change her mind’. Obama deliberately only let all this happen in the last 2 years of his presidency so he was untouchable by organised labour.

      • biscuit barrel

        Canada is sitting on fence too as it was a deal done by previous government and they say it has to approved by parliament. My thinking is they are waiting for US to kill the deal so they do can use that as cover to walk away. If that happens the whole thing is dead.

  • shykiwibloke

    Jk is losing his touch for being around successes. Needs to be careful perceptions do not change along same lines.

  • Old Man Walking

    I think JK has already stated if the USA pull out there will be plenty of countries that will take up the opportunity.

    • biscuit barrel

      Like who ? We should be looking to UK

  • kloyd0306

    Trump may have won the Republican nomination but conservative he is not.
    He will not sign the TPP Bill.
    The Republican Congress are weak and seem to go with anything Obama wants. This lame-duck session: Wait and see if the GOP has a spine. They have not shown that they have.
    Hillary is not at all trustworthy. She has stated that she is against it but Democrats have a habit of going back on their word.
    Dems won’t win the House but they might have a chance of taking back the Senate – I just hope that they don’t. You can never trust a Democrat.

  • DeplorableHungarianPhrasebook

    TPP is in our interests, very much so, but not so much those of the USA.*

    It’a quite natural: in both countries the left are opposing their country’s best interests.

    * I’m a free trader, but free trade can be a bad thing. How so? Well, humans are different and have different standards. In a healthy society, humanity is a valuable, expensive, scarce resource with no need for unions.
    Sadly, there are many corrupt third-world states where humanity is plentiful, meaningless and cheap. Competing with such can only drag our society to their level, but NZ has little choice. The US does. That’s why Donald is absolutely right on trade.