U.S companies have a brand new resource available to them with the recently released Trans-Pacific Partnership Opportunities by Market report from the International Trade Administration (ITA). Educating U.S businesses and workers on the benefits of TPP is an important role for ITA. The ITA Trans-Pacific Partnership (TPP) series of factsheets highlight opportunities for businesses by state, sector and now for each of the TPP markets. With this added report businesses can reference each of the 11 TPP partner markets’ top export sectors, how TPP will make it easier to do business in each of the TPP partner markets, or explore how existing tariffs will be eliminated once TPP is enacted.
TPP will offer a more balanced trade environment for U.S. businesses of all sizes. This agreement encompasses a diverse range of 11 countries, opening the door for new trade opportunities and improving on existing trade relationships. Goods exports to TPP countries supported 3.1 million U.S. jobs in 2014. In that same year the TPP countries for which the United States does not have an existing trade agreement (Brunei, Japan, Malaysia, New Zealand, Vietnam) collectively accounted for $726.5 billion in exports.
TPP, once enacted, will ensure that American businesses can conduct international trade in a more fair and equitable manner. TPP will eliminate more than 18,000 tariffs levied on American-made goods and services. This tax relief alone will have a significant impact. Vietnam currently taxes up to 35 percent on U.S. goods in the information and communication technologies sector and 97 percent if U.S. exports will be duty free immediately once the agreement is implemented. Another example is the $8.3 billion in health products exported to Japan that face tariffs of up to 5.6 percent, but under TPP 100 percent of U.S. exports of health products will be duty-free on day one.
TPP will enhance intellectual property rights protection and introduce the most comprehensive environmental and labor regulations ever negotiated in a trade agreement. Implementing TPP will increase our competitiveness and market access in the TPP countries for Made-in-America goods and services, helping the 11 million U.S. jobs presently supported by U.S. exports to the world.
ITA works diligently with U.S. businesses of all sizes to create or enhance their global competitiveness – whether it’s developing export promotion strategies, ensuring compliance with trade agreements, or advocating for expansion of U.S. businesses, partners and stakeholders in international markets. Information is vital to making sound business decisions, and the TPP Opportunities by Market report is one more tool the ITA rolls out to their clients to help them make decisions to lead in the business world.
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