November 2, 2015
The objective of the Trans-Pacific Partnership (TPP) negotiations is to achieve a comprehensive, high-standard, and commercially meaningful trade and investment agreement among 12 Asia-Pacific nations. In 2015, more than half of the volume of the Port of San Diego trade has been through five of the TPP negotiating countries: Chile (nitrates), Japan (automobiles), Malaysia (oil and gas products), Mexico (automobiles), and Peru (agriculture). The Asia-Pacific region serves as the largest market in the world for U.S. exports and receives 72 percent of U.S. agricultural exports. The TPP region itself is comprised of 40 percent of the global population, and the economies of these countries generated approximately 55 percent of global GDP in 2011.
TPP and TTIP will eliminate tariffs and promote regulatory cooperation including intellectual property protections.
- TTIP: The U.S.-EU economic relationship is already the world’s largest, representing 45 percent of global GDP and supporting $4 trillion in investment.
- The Chamber is currently conducting a study on how trade agreements impact San Diego’s economy with a specific emphasis on TPP.
After several rounds of intense negotiations, the United States – along with 11 other nations – has finally reached an agreement to create the world’s largest free trade zone. However, your action is still needed to ensure the legislation passes through Congress.
Statement From U.S. Trade Representative Michael Froman
On Wednesday, May 18, U.S. Trade Representative Michael Froman released a statement on the Trans-Pacific Partnership. The ITC found that U.S. exports will increase by $57.2 billion annually by 2032 if TPP is passed and that overall U.S. annual real income will increase annually by $57.3 billion by 2032. View the full report here.
Ex-Im Bank – approved by Congress
On Tuesday, October 27, Congress successfully voted for the reauthorization of the Ex-Im Bank 313/118. The vote was able to take place following our recent delegation trip to Washington, D.C., during which the Chamber gained the necessary amount of petition signatures to send the Ex-Im issue to Congress for a vote. The Chamber is in strong support of the Ex-Im Bank, as it remains a vital component for small companies wishing to compete at the global market. Pending approval by the Senate remains, however their support has been expressed previously in the passage of another piece of legislation.
On Friday, October 9, Governor Brown vetoed Senate Bill 249, legislation that would have authorized the California DMVs to create an enhanced driver’s license program. The Chamber has strongly supported SB 249, as enhanced licenses are equipped with RFID technology which would help reduce processing time, increasing the speed and efficiency of cross-border travel.