New TPP Giving Canada Trade Boost in Japan

The new Trans-Pacific Partnership is boosting Canada’s beef sales to Japan.  The new trade deal that does not include the United States has led to a surge in beef exports from Canada, although official numbers are not yet available.

The Financial Times reports the new TPP, called the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, could be costing the U.S. beef sector through the protectionism policies by the Trump administration that withdrew from the original trade deal.  Well-noted by the U.S. beef industry, the new TPP cut Japanese tariffs on imports of chilled beef from 38.7% to 27.5%, giving Australia, Canada and New Zealand and 11% tariff advantage over U.S. beef.

The recent government shutdown delayed planned bilateral trade talks between the U.S. and Japan, but the talks are expected to start soon.  Japan has indicated it would give the U.S. similar tariff concession made to those in the TPP agreement.

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