China about to pull off ‘diplomatic coup’ by striking world’s largest free trade agreement
13 Nov, 2020 09:22
Fifteen Asia-Pacific nations including China and Japan plan to sign the world’s biggest free trade deal this weekend. The FTA will cut tariffs, strengthen supply chains with common rules of origin, and codify new e-commerce rules.
The Regional Comprehensive Economic Partnership (RCEP) is expected to be announced at the Association of Southeast Asian Nations (ASEAN) Summit, which Vietnam is hosting virtually. It will involve the ten member states of the ASEAN bloc – Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam – as well as their trade partners Australia, China, Japan, New Zealand, and South Korea.
The new economic bloc will thus represent around a third of the world’s gross domestic product and population.
It will become the first-ever free trade agreement to include China, Japan, and South Korea – Asia’s first, second and fourth-largest economies. One of the original partners, India, said last November that it would not participate in the negotiations due to concern that opening up its market would cause its trade deficit with China to grow.
https://www.rt.com/business/506564-china-worlds-largest-free-trade/