On Feb. 3, 12 countries signed the Trans-Pacific Partnership (TPP) trade agreement in Auckland, New Zealand. Countries involved in the agreement include Singapore, Brunei, New Zealand, Chile, the United States, Australia, Peru, Vietnam, Malaysia, Mexico, Canada and Japan. The agreement, which comes after seven years of negotiations, is intended to promote economic growth and lower trade barriers, such as tariffs.
In the U.S., President Barack Obama issued a statement urging Congress to pass the TPP this year. The parties have two years to ratify the agreement, according to a report from the Motor & Equipment Manufacturers Association (MEMA), which has been keeping a close watch on the issue.
MEMA has expressed its support of the TPP, but has asked the Obama administration and Congress to address long-term protections for medium-to-small motor vehicle parts suppliers as part of the agreement. The association issued a statement on the matter, which noted, “MEMA supports [the] TPP and urges Congress to ratify the agreement. However, we are concerned the agreement may not provide adequate long-term protections for small, regional U.S. suppliers that provide employment in all 50 states,” said Steve Handschuh, president and CEO of MEMA. “For this reason, MEMA calls upon the White House and Congress to take immediate action to provide additional resources for small- and medium- suppliers to continue to grow and prosper in the 21st century.
To read MEMA’s full statement, click here.
