Minerals Council of Australia : SECTOR SUPPORTS AMBITIOUS AND PRAGMATIC TRADE POLICY

MINERALS SECTOR SUPPORTS AMBITIOUS AND PRAGMATIC TRADE POLICY

The minerals sector supports an ambitious and pragmatic approach to trade liberalisation in the wake of the US administration's decision to opt out of the Trans Pacific Partnership (TPP).

The absence of the US need not kill the TPP.

For Australia (which already has an FTA with the US) there is still much to gain in a 'TPP minus one' approach. For the mining and mining services sectors this includes market and investment opportunities in nations like Peru, Vietnam and Canada as well as other economies.

A 'TPP minus one' won't be easy but there is clearly considerable momentum amongst the negotiating partners to take fullest possible advantage of the deal on the table.

Meanwhile Australia should also work with its 15 East Asian partners to intensify the Regional Comprehensive Economic Partnership negotiations. This negotiation includes the 10 ASEAN economies plus China, Japan, India, New Zealand, Korea as well as Australia. That's a market of 3.5 billion people with a collective GDP of $US22.5 trillion.

In recent days, Chinese President Xi Jinping has signalled that China will embrace further market opening. We and other RCEP partners should take him at his word and seek to intensify the RCEP negotiations.

On the bilateral front, deals with India, Indonesia and the United Kingdom should all be pursued vigorously.

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