RCEP’s Birth Is Oversold As The World’s Largest New Free-Trade Area
Harry G. Broadman
Global Business Executive & Counselor║Board Chair, Audit Committee Chair║Columnist║Keynoter ? EX White House║CFIUS║Private Equity║PwC║World Bank║US Senate║Brookings║Resources for the Future Inc║Harvard, Hopkins Faculties
With the spate of news stories fawning over the signing of the Regional Comprehensive Economic Partnership (#RCEP), an Asian-Oceanian-centric trade agreement, one would think it is a revolutionary enterprise, destined to upend protectionism for a third of the planet’s economy and population.
RCEP certainly sends an uplifting signal in the midst of an otherwise deeply gloomy global economic period as the Covid-19 pandemic continues to constrain world trade flows and the functioning of markets, businesses, workers and consumers.
But do not lose sight of the fact that even if the RCEP becomes effective—which depends on ratification by at least 9 of the specified signatories of the 15 countries required—many of the agreement’s provisions are akin to ‘new wine in old bottles.' And, some of that wine does not have much alcoholic content. Or it may even not be wine at all.
This is from my new monthly Forbes column. Comments on the piece are most welcome.
#RCEP, #free #trade #areas, #ASEAN, #China, #Australia, #CPTPP, #TPP
中国经济与管理教授
3 年Thanks for this! I have argued similarly in other places. One question: what do you think of the potential effect on standardisation, meaning that RCEP could contribute to standardisation power (an effect said to be one of China’s important gains from RCEP)?