The Republican candidate Donald trump during a speech a speech on the economy in Detroit promised that if he wins the election in November the US pulls out of agreement on the TRANS-Pacific partnership (TPP), reports Reuters.
In addition, trump promised to take if elected punitive tariffs on countries such as China, which he considers fraudulent, writes Bloomberg. The Agency notes that such measures will lead to the disruption of the global supply chain for American businesses that will ultimately affect the increase in prices for consumers and hamper competition and innovation.
The TRANS-Pacific partnership — a trade agreement among 12 Pacific countries: USA, Australia, New Zealand, Singapore, Japan, Canada, Brunei, Chile, Malaysia, Mexico, Peru and Vietnam. The TPP agreement involves the creation of a free trade zone in the Asia-Pacific region. The agreement on partnership was reached October 5, 2015. This was the largest U.S. trade agreement since 1994, when the United States signed an agreement to create a North American free trade agreement (NAFTA) with Canada and Mexico.
The creation of TTP has caused discontent in Moscow. Russian President Vladimir Putin in 2014 has said that the creation of the TRANS-Pacific partnership is “another US attempt to build a favorable architecture of regional economic cooperation.” He also said that the absence in the composition of the partnership such of the largest regional players like Russia and China, is unlikely to build effective trade and economic cooperation”.
Last autumn, experts of the Moscow Center of international trade, warned that the agreement on the TPP would threaten Russian exports, which will face tougher competition.