VIA Times – May 2014 Issue Vital News, Vibrant VIews for Asian Americans in Chicago & Midwest
By: Joe Mauricio
President Barack Obama’s recent visit to Asian countries of Japan, South Korea, Malaysia and the Philippines was under the cover of Mutual Defense Agreement in which these countries have territorial disputes with China. Now, the question is, will the United States risk a World War III with China over atolls in the South China Sea? The answer is NO. The reason is for Obama to convince the Asian allies to agree on the Trans Pacific Partnership (TPP) and boost trade with twelve participating countries. The negotiations don’t just concern selling of shares and assets across the borders. The trade deal, which will be the product of a three-year process, has the potential to affect many people on both sides of the borders. The information on the negotiations is not public, it’s very hard to know what the impacts will be. Here’s what we know….the countries involved are USA, Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Korea and Vietnam. The American public is not allowed to see the texts of the deal while it’s being processed, and advocacy group council which includes the industry group. But many members of the U.S. Congress are not happy with their levels of access. What is at stake with the trade deal? It is poised to be the world’s biggest ever trade deal, and possibly it’s the most ambitious. These countries are negotiating the Trans-Pacific Partnership, which, if successful, will account for two-fifths of the world trade. Obama’s Asian trip was not for mutual defense, but to refocus their attention on the Trans Pacific Parnership. It is the most significant trade agreement the U.S. is negotiating, representing 40% of world trade destinations for over 60% of U.S. exports. As importantly, the TPP is strategically significant as it is the economic dimension of broader U.S. rebalancing towards Asia. The two largest economies involved in the TPP are U.S. and Japan. Their intensive bilateral discussions have been aimed at liberalizing each other’s markets for range of goods in sensitive areas, such as agricultural products and cars. More countries may also potentially join the trade groupi n g . The U.S. has made it clear that China is welcome to join the TPP if it can demonstrate a willingness to live up to the rules being negotiated. Thus, it reflects the strategic dimensions of the TPP– to be the template for economic growth of the region. Is the TPP beneficial for the Philippines? From the economic point of view, there is no room for doubt. Beyond the economic pluses and minuses, the TPP brings forth a much broader and compelling national interest as far as the Philippines is concerned. With geo-political pressure from China intensifying, it is also in the Philippines’ interest to solidify its alliances with United States and other Asia Pacific nations. While we, at VIATimes, believe that any political arrangement to isolate China would be neither wise nor feasible, a strong economic alliance among Asian countries would be good bargaining chips to convince China towards a friendlier and mutually beneficial for all.
