Australia and 10 other nations signed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership in Santiago on Thursday.
The deal, also known as TPP-11, is the reborn version of the Trans Pacific Partnership which collapsed last year after the US pulled out of the deal. The US is conspicuous as the only one of 12 nations involved in the original deal to not sign the new deal.
The other 10 nations apart from Australia to sign the deal are Canada, Japan, New Zealand, Mexico, Chile, Peru, Vietnam, Malaysia, Brunei and Singapore.
“The Agreement is one of the most comprehensive trade deals ever concluded and will eliminate more than 98 per cent of tariffs in a trade zone with a combined GDP worth $13.7 trillion,” Minister for Trade, Tourism and Investment, Steven Ciobo (pictured) said in a statement.
“Australian farmers, manufacturers, service providers, small businesses and all exporters are the big winners as they will be able to sell more of their goods and services in a free trade area that spans the Americas and Asia.”
Highlights of the TPP-11 include new reductions in Japan’s tariffs on fresh, chilled and frozen beef, (Australian exports worth $2.1 billion in 2016-17); new access for dairy products into Japan, Canada and Mexico, including the elimination of a range of cheese tariffs into Japan covering over $100 million of trade; and new sugar access into the Japanese, Canadian and Mexican markets.