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The short and tumultuous life of the Trans-Pacific Partnership (TPP) agreement has come to an end. The trade deal was mired in opposition and controversy amidst a public backlash. Ironically, Democrats and Republicans in Congress both supported the agreement. Voters, however, were extremely skeptical and wary of the deal. Hence, Bernie Sanders and Donald Trump were both very outspoken about it on the campaign trail. With Trump winning the United States’ presidential election, President Obama has dropped the TPP deal from his list of agenda items. TPP could not garner support in Congress at this juncture.
Does this mean the Trans-Pacific Partnership will never return? Time will reveal the answer to that question but, right now, public sentiment is very much against free trade agreements.
11 countries were to join the United States with the TPP deal. President Obama is now tasked with delivering the bad news to the other countries in a major meeting in Peru.
Once again, new trade deals are sure to be developed. Nations do have to trade with one another for the benefit of all countries’ economies. The specific one that takes the form of the TPP, however, has been scrapped. One major complaint about the TPP agreement is it was too long and very few people in the voting public knew much about its contents. In the current landscape of a heated presidential election, the public wouldn’t likely go for such a bill. Hence, it could not move through Congress.
Donald Trump campaigned heavily among blue collar workers and, during his campaigns, he lambasted trade deals. Trump’s winning of the White House sealed the fate of the Trans-Pacific Partnership agreement. Trump has noted he will renegotiate trade deals. So a new trade deal very well emerge, but with different terms, conditions, and components.
TPP is simply the wrong legislation at the wrong time. The shadow of the “Brexit” vote is cast over any multi-national deal. Populism seems to be outpacing globalism at this juncture.