Australia looks for new trade deals

With new US President Donald Trump vowing to tear up a trans-Pacific trade deal, Australia has started looking for alternative agreements.

The Australian government says it will keep alive the option of ratifying the TPP without the US.

The Australian government says it will keep alive the option of ratifying the TPP without the US. Source: AAP

The Turnbull government is seeking alternatives to the trans-Pacific trade deal that US President Donald Trump has sworn to tear up.

Trade Minister Steve Ciobo met six of the Trans-Pacific Partnership's 12 signatories at an international forum over the past week to discuss other options.
But he continues to espouse the TPP's benefits.

"The Turnbull government does not shy away from standing up for what is in our national interest. Continuing our strong advocacy on the benefits of the TPP is no different," Mr Ciobo said in a statement on Sunday.

"The TPP is too important as a driver of the creation of more Australian jobs not to do all we can to see the agreement enter into force."

The landmark agreement was finalised in late 2015 but so far only Japan has ratified it.

Prime Minister Malcolm Turnbull and his Japanese counterpart, Shinzo Abe, discussed last week the possibility of other member countries quickly ratifying the deal to pressure the US to stay on board.

But the White House website was updated shortly after Mr Trump was sworn in as president on Friday to state his trade strategy "starts by withdrawing from the Trans-Pacific Partnership".

Mr Ciobo said this was disappointing but not unexpected.

Despite his discussion of alternatives with Japan, Canada, Mexico, Singapore, New Zealand and Malaysia at the World Economic Forum last week, Mr Ciobo has indicated Australia will push forward with ratifying the TPP anyway.

"It would be a clear statement from the Australian parliament that we reject protectionism and that open markets are the path to long-term sustainable job creation," he said.

Labor trade spokesman Jason Clare wants to see economic modelling of whether a deal without the US involved would be as good for Australia.

He also says the government should step up work on bilateral trade deals with Indonesia and India, and look at other regional alternatives including an agreement led by China that includes India, Japan and other southeast Asian countries.

"I suspect with the Americans retreating away from the TPP the Chinese may step up now and try and finalise that agreement," he told ABC TV.

Mr Ciobo is in America this week for the annual G'Day USA event and will continue advocating the TPP deal there.

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Source: AAP


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