Taiwan News Encyclopedia: The CPTPP

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The CPTPP is a free trade deal between 11 countries around the Pacific Rim. Last Thursday, the trade bloc’s 11 member countries signed an agreement in Santiago, Chile, which is expected to take effect next year.

With a total population of 500 million people, the bloc accounts for 13.5% of the global economy. The 11 countries include Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.

The CPTPP bloc is crucial to Taiwan’s economy as it accounted for 25% of Taiwan’s trade volume last year, with imports making up 29% and exports 21%. Among the 11 signatories, Japan, Singapore, Malaysia and Vietnam are among Taiwan’s top 10 trading partners.

The government hopes to join the CPTPP in due course, saying that it will continue seeking support from member countries. The economics ministry has already started preparatory work, including an update on its impact analysis, better communication with the public about the bid, and the relaxations of rules and regulations.

Besides Taiwan, the United Kingdom, South Korea and Indonesia have all expressed an interest in joining the trade deal.