New Zealand’s TPP Position

The article “Trans-Pacific Partnership (TPP) Negotiations” analyzes the TPP, and in specific, how it could potentially benefit New Zealand. In overview, the TPP “aims to create a regional free trade agreement involving 12 Asia Pacific countries”. This agreement is proposed to deepen economic ties and benefit the economic status of all countries involved. But how will this affect New Zealand directly? Firstly, the negotiation opens New Zealand up to future trade liberalization in the Asia-Pacific region. New Zealand’s “economic future” depends on developing these strong bonds with the Asia-Pacific. If all goes according to plan, the estimated GDP gains for New Zealand are US$2 billion in 2025 ( a .9& increase). Likewise the estimated export gains are US$4.1 billion (a 6.8% increase). A few specific benefits for New Zealand businesses through the TPP are “tariff elimination and reduced compliance costs for goods exporters, more opportunities to access government procurement contracts, and reduced barriers to services trade and investment”. If the Trans-Pacific Partnership goes according to plan, it could not only open the doors for larger countries that are major economic players, but all countries involved in the agreement. New Zealand is strategically positions to not only benefit the TPP and all other players involved, but increase its own economy as well.

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