Not participating in the TPP will cost!

Big opportunities from TPP will come to Vietnam, Malaysia and Brunei, while the other members receive less. But less than to suffer, if you continue to stand outside.

not to participate in the contest In a report published by the World Bank, if the Trans-Pacific Partnership (TPP) is issued, it will contribute to a 30% increase in Vietnam's exports, from Vietnam's GDP may increase by 10% between now and 2030. Malaysia's economy will benefit 8% of GDP, and Brunei with 5% of GDP. Thanks to TPP, the second largest economy in Asia and third in the world is Japan, which will increase by 2.7% GDP. Other TPP members such as the United States, Canada and Mexico will benefit less from the TPP, as US GDP grows only 0.4% thanks to TPP. According to the World Bank study, the reason is that the openness of the market is quite wide, as many free-trade agreements are available, such as the North American Free Trade Agreement (NAFTA). Therefore, TPP will not have the opportunity to significantly impact on their trade. Therefore, on average, the TPP will contribute to the total GDP of member countries increased by about 1.1%. According to a well-known international financial researcher at Brandeis University, Professor Peter Petri, tariff reductions from trade agreements bring greater benefits, compared with the forecasts already given. In contrast, the World Bank report shows that countries that do not participate in TPP can be significantly affected if they stay outside. For example, in the period from now to 2030, if Thailand does not participate in the TPP, its GDP may fall by 0.9%. Korea's losses will be less because it has signed an FTA with the United States but Korean companies will lose their competitive edge over the US and Japan. Maybe that is why Korea is interested in joining TPP in the future. not to participate in the contest According to the study, China's GDP will also be affected by not participating in the TPP, but not significantly. China has expressed interest in joining the TPP, but analysts say it is unlikely this will be the case, as this large economy is unlikely to yield much in the opening up of many industries. important. On the level of competition between Vietnam and China in trade with the United States, economist Franziska Ohnsorge analyzed, most of China's exports to the US will not compete directly with Vietnamese goods. This means that the growth of Vietnam's export turnover to the US will not have much impact on China. The TPP will help eliminate tariffs and barriers for goods and services imported and exported between the Pacific Rim, which account for a combined 40% of the world's GDP.