The decision by President-elect Donald Trump to Quit from TPP was expected and has been widely discouraged by many. But there is one country that benefits the most from this and that is China, who decided to open doors for new trade.
In the past while the formation of Trans Pacific Partnership, President Barack Obama has time and again reminded China that its exclusion was intended. This meant that America would decide the rules of road in the 21st Century. This decision by TPP is very important in a region as dynamic as Asia-Pacific. This plan of U.S.A. was considered as Pivot to Asia as it would increase the relationships and trade with Asian countries.
The Chinese considered pivot to Asia and the TPP as a step by the U.S.A. as a step to control the growing chinese economy. Recently the official Chinese news agency described TPP as the economic arm of Obama’s geopolitical strategy to make sure that Washington remains supreme in every region. But Donald Tump’s decision to quit TPP has put the member countries in a fix as the predecessor Obama has taken almost a decade convincing the countries to sign up. China now will take advantage of this situation and ask them to consider their promises to those that of U.S.A.
Singaporean Prime Minister Lee Hsien Loong warned on his visit to Washington in August that TPP puts America’s reputation on the line with the partners in that region. “Each country has overcome some domestic political objection, some sensitivity, and some political cost to come to the table and make this deal.” He further added, “In the end, Waiting at the altar, the bride doesn’t arrive, I think people are going to be very hurt.”
The one to gain the most from this decision, China has said that unlike U.S.A. they were not going to put a stopper on the market but increase the market and open new doors for trade. Officials of President Xi JinPing were quick in setting to work on discussion of the less ambitious trade deals Beijing backs, the Regional Comprehensive Economic Partnership (RCEP), and Free Trade Area of the Asia Pacific, FTAAP. The moves on trade leadership come within the context of China’s “One Belt One Road“, that focuses on connectivity and cooperation among countries primarily between China and the rest of Eurasian countries. This situation now puts China in limelight and push it to take a bigger role in global affairs, and its need for cooperation in different fields.
The Chinese President Xi JinPing said it is time to stay stronger together. This means building new relations in the Asian countries and forging new deals now that the Last rites of TPP have been conducted by Trump’s statement. A day of rejoice for China indeed.
