FacebookTwitterGoogle+RedditEmail

Trans Pacific Partnership is a Threat To National Sovereignty

by Dr. CHANDRA MUZAFFAR

The proponents of the Trans Pacific Partnership argue that the TPP would bring huge benefits to Malaysia “with as much as US $ 40 billion (RM 128.4 billion) in annual export gains and US $ 25 billion in annual income gains by 2025.” Small and medium enterprises (SMEs) in particular will reap a bonanza. The TPP, it is said, will also “give Malaysia preferential access to a US $ 15 trillion economy, which means access to the US $ 500 billion in US government tenders.” As against these projections, there are issues of tremendous significance pertaining to the TPP that have been raised by a variety of citizen groups in almost all the 12 countries (Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, United States and Vietnam) that are currently part of the negotiation process. These issues have emerged as a result of leaks since no officially sanctioned draft has been placed before the public.

The negotiations — the 18th round of which will commence in Kota Kinabalu (Malaysia) on the 15th of July 2013 — are shrouded in secrecy though representatives of major corporations such as Monsanto, Walmart, Bank of America, JP Morgan, Cargill, Exxon-Mobil, and Chevron, among others, it is alleged, have had full access to the draft and have been “suggesting amendments.” One of the issues that has caused grave concern is a set of rules in the TPP which apparently would empower foreign corporations to bypass domestic laws and courts and challenge government policies and regulations aimed at protecting the public interest via tribunals linked to the World Bank and the UN. If this is true, it would be an affront to national sovereignty.

The TPP also prohibits governments and central banks from imposing capital controls or banning risky financial products. Central banks would have diminished capacity to regulate the entry and exit of speculative capital. Countries that are part of the TPP would be compelled to create an even more conducive environment for casino capitalism. Given Malaysia’s relative success in developing regulatory mechanisms during and after the 1998 Asian financial crisis, this aspect of the TPP would be particularly galling.

The adverse impact of this trade pact upon national sovereignty and the economic wellbeing of countries such as Malaysia is underscored by yet another provision which questions our procurement policies. Apart from seeking to rectify economic imbalances, government procurement policies have also attempted to expedite technology transfers to local industries, enhance export capabilities and curb foreign exchange outflows. These are goals that do not conform to TPP objectives.

The TPP also allows pharmaceutical corporations to increase the price of medicines and to limit consumer access to cheaper generic drugs. Monopoly patents would be better protected and the purchase of generic drugs would be made more difficult. At the same time, by designating a whole spectrum of policies, regulations and practices as “trade barriers” the proposed agreement undermines some of the people oriented measures associated with different TPP countries. For instance, the TPP, it is alleged, upbraids the Malaysian government for “requiring that slaughter plants maintain dedicated halal facilities and ensure segregated transportation for halal and non-halal products.”

While some of the provisions of the TPP may be set aside at the behest of individual countries, it is obvious that the US which is the driving force behind the pact is determined to use it as its vehicle to strengthen its economic position in the Pacific region in the face of the rise of China. It explains why China itself — economically the most dynamic nation in the region — has not been invited to join the TPP. This is why it would be naïve to view the TPP as a mere economic and trade arrangement. Its underlying motive is clearly political. It is a critical weapon in the US arsenal for curbing and containing the emergence of a power which has the potential of shaping the future of the entire Pacific in the decades to come.

The US will not allow this to happen. It knows that in order to remain as the world’s sole superpower it has to ensure that it is at the helm of that one region with the greatest economic viability and vitality. The US already has 320,000 troops in the Pacific region. That is the military arm of Pacific Power. The TPP is designed to secure the economic dimension of Pacific Power. As a nation committed to harmonious relations among states, Malaysia should be extra cautious about participating in any venture by any power, be it the United States or China, to enhance its hegemony over the Pacific — a region whose very name signifies peace.

Dr. Chandra Muzaffar is the President of the International Movement for a Just World (JUST)

More articles by:

CounterPunch Magazine

minimag-edit

bernie-the-sandernistas-cover-344x550

zen economics

Weekend Edition
March 24, 2017
Friday - Sunday
Michael Hudson
Trump is Obama’s Legacy: Will this Break up the Democratic Party?
Eric Draitser
Donald Trump and the Triumph of White Identity Politics
Jeffrey St. Clair
Roaming Charges: Nothing Was Delivered
Andrew Levine
Ryan’s Choice
Joshua Frank
Global Coal in Freefall, Tar Sands Development Drying Up (Bad News for Keystone XL)
Anthony DiMaggio
Ditching the “Deep State”: The Rise of a New Conspiracy Theory in American Politics
Rob Urie
Boris and Natasha Visit Fantasy Island
John Wight
London and the Dreary Ritual of Terrorist Attacks
Paul Buhle
The CIA and the Intellectuals…Again
David Rosen
Why Did Trump Target Transgender Youth?
Vijay Prashad
Inventing Enemies
Ben Debney
Outrage From the Imperial Playbook
M. Shadee Malaklou
An Open Letter to Duke University’s Class of 2007, About Your Open Letter to Stephen Miller
Michael J. Sainato
Bernie Sanders’ Economic Advisor Shreds Trumponomics
Lawrence Davidson
Moral Failure at the UN
Pete Dolack
World Bank Declares Itself Above the Law
Nicola Perugini - Neve Gordon
Israel’s Human Rights Spies
Patrick Cockburn
From Paris to London: Another City, Another Attack
Ralph Nader
Reason and Justice Address Realities
Ramzy Baroud
‘Decolonizing the Mind’: Using Hollywood Celebrities to Validate Islam
Colin Todhunter
Monsanto in India: The Sacred and the Profane
Louisa Willcox
Grizzlies Under the Endangered Species Act: How Have They Fared?
Norman Pollack
Militarization of American Fascism: Trump the Usurper
Pepe Escobar
North Korea: The Real Serious Options on the Table
Brian Cloughley
“These Things Are Done”: Eavesdropping on Trump
Sheldon Richman
You Can’t Blame Trump’s Military Budget on NATO
Carol Wolman
Trump vs the People: a Psychiatrist’s Analysis
Kollibri terre Sonnenblume
Marines to Kill Desert Tortoises
Stanley L. Cohen
The White House . . . Denial and Cover-ups
Farhang Jahanpour
America’s Woes, Europe’s Responsibilities
Joseph Natoli
March Madness Outside the Basketball Court
Bill Willers
Volunteerism; Charisma; the Ivy League Stranglehold: a Very Brief Trilogy
Bruce Mastron
Slaughtered Arabs Don’t Count
Ayesha Khan
The Headscarf is Not an Islamic Compulsion
Pauline Murphy
Unburied Truth: Exposing the Church’s Iron Chains on Ireland
Ron Jacobs
Music is Love, Music is Politics
Christopher Brauchli
Prisoners as Captive Customers
Robert Koehler
The Mosque That Disappeared
Franklin Lamb
Update from Madaya
Dan Bacher
Federal Scientists Find Delta Tunnels Plan Will Devastate Salmon
Barbara Nimri Aziz
The Gig Economy: Which Side Are You On?
Louis Proyect
What Caused the Holodomor?
Max Mastellone
Seeking Left Unity Through a Definition of Progressivism
Charles R. Larson
Review: David Bellos’s “Novel of the Century: the Extraordinary Adventure of Les Misérables”
David Yearsley
Ear of Darkness: the Soundtracks of Steve Bannon’s Films
FacebookTwitterGoogle+RedditEmail