Japan ratifies TPP trade pact to fly the flag for free trade
It has not been ratified by the US Senate and Trump last month promised to withdraw from it after he is inaugurated in January
Japan on Friday ratified the Trans-Pacific Partnership, a free-trade pact aimed at linking a dozen Pacific Rim nations, hoping it will one day take effect despite President-elect Donald Trump’s pledge that the US will withdraw from it.
The TPP, which aims to cut trade barriers in some of Asia’s fastest-growing economies but does not include China, can not take effect without the US.
The deal, which has been five years in the making, requires ratification by at least six countries accounting for 85 per cent of the combined gross domestic product of the member nations.
Given the sheer size of the American economy, the deal cannot go ahead without US participation.
It has not been ratified by the US Senate and Trump last month promised to withdraw from it after he is inaugurated in January. Instead, he would replace it with bilaterally negotiated trade deals.
Japanese Prime Minister Shinzo Abe has said the TPP would be “meaningless without the US”.