Source: Lisa M. Keefe, MEATINGPLACE, 4/13/18



The idea that President Donald J. Trump would consider re-entering the Trans Pacific Partnership (TPP) was a welcome bit of sunshine in the trade storm for meat processors. They remain at the front of the line for retaliation by China to tariffs imposed by the Trump administration at the beginning of the month, particularly pork producers and processors.

However, in the hours since, players from the White House to trade leaders across Asia have sought to dampen the initial excitement, while keeping all options open.

in a meeting Thursday with Republican senators and governors from the Midwest, to hear their concerns on recent trade moves, Trump reportedly directed U.S. Trade Representative Robert Lighthizer and Larry Kudlow, director of the National Economic Council, "to take another look at whether or not a better deal (with the TPP members) could be negotiated.”

White House spokesman Marc Short contradicted a report that Trump told his trade representatives to "get it done." “The president said, 'I am willing to take another look at that', but that's all he said." 

Representatives of TPP's 11 current members, who signed the agreement in March in Chile, said they welcomed Trump's interest but that they are not interested in reopening the negotiations. 

“It’s difficult to bring part of the pact and renegotiate it,” Yoshihide Suga, Japan’s chief cabinet secretary, told The New York Times, calling it a “well-balanced pact” that addressed the needs of the current 11 member nations.

Steven Ciobo, Australia’s trade minister, said, "We’ve got a deal ... . I can’t see that all being thrown open to appease the United States.”

TPP had industry support
Trump and Democratic candidate Hillary Clinton both promised to scuttle U.S. participation in the TPP while campaigning for the presidency. Trump made good on his promise on his first full day in office.

“Under the TPP we had the perfect scenario negotiated where at the time of implementation of TPP we would have gone to par with Australia,” regarding export of meat products to TPP member countries, most of which are in Asia, said Dan Halstrom, president of the U.S. Meat Export Federation (USMEF), at the International Livestock Congress earlier this year.

As the agreement looked in 2016, when the U.S. still was a partner, it would have led to a substantial increase in U.S. beef exports and modest gains in pork and poultry exports if enacted by Congress, according to a report by the U.S. International Trade Commission (ITC).

In response to the idea of a resurrected TPP agreement, the North American Meat Institute CEO Barry Carpenter said, “We have long supported the Trans-Pacific Partnership (TPP) and were encouraged by President Trump’s comments that the U.S. may reconsider its decision to withdraw from TPP. We welcome all efforts to lower barriers to trade and will support any efforts to reengage with the TPP-11.”

USMEF's Halstrom said, "USMEF members strongly supported the TPP agreement that the United States signed in 2015 ... . In fact, our membership unanimously approved a resolution in support of TPP.

"[R]ejoining TPP would strengthen U.S. economic ties with many of the other leading trading countries in the Asia Pacific region – which also would benefit the U.S. beef, pork and lamb industries. Therefore we are encouraged by President Trump's directive to take a second look at TPP, and we look forward to hearing more from the administration on this issue."

For more stories, go to www.meatingplace.com.