CPTPP comes into effect on December 30
VGP – The comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) officially took effect on December 30, creating a free trade area for 11 signatories including Viet Nam.
TPP-11 Parties have agreed by consensus to suspend the application of a small number (totalling 22) of TPP provisions incorporated in the TPP-11 Agreement (Article 2). These provisions will, therefore, have no effect as a matter of international law until the Parties agree to end the suspension, which would also be by consensus.
The new trade deal cuts tariffs on agricultural and industrial products, ease investment regulations and enhance protection of intellectual property.
The CPTPP is one of the most comprehensive trade deals ever concluded and strips 98% of tariffs for the 11 countries with a combined GDP of over US$ 13.5 trillion and nearly 500 million consumers.
Australia, Canada, Japan, Mexico, New Zealand and Singapore became the first six signatories to ratify the pact, setting the stage for its entry into force.
Viet Nam became the 7th member to ratify the deal which is expected to help raise the country’s GDP and export turnover by 1.32% and 4.04% by 2035, respectively.
However, Vietnamese enterprises are supposed to deal with heavily competitive pressures./.
By Kim Anh
