Re:Leaked: What's in TPP’s intellectual property chapter
by api on Wednesday July 01, 2015 @04:51PM
(#9815058)
A second point would be that China's consumer class is booting up. The US wants to position itself to sell into that, effectively to reverse the trade deficit.
Re:Leaked: What's in TPP’s intellectual property chapter
by marcosdumay on Wednesday July 01, 2015 @05:50PM
(#9815456)
If the US government stops running those huge deficits, partially financed by foreigners, the US trade deficits will close naturally.
I just don't know why you'd want to do that, and why you'd want to do that now. But run those deficits too far, and you'll be forced to anyway.
First, let's consider a contrast. Neoconservatives have for decades been obsessed with the Middle East. This is mostly because of its strategic importance as the source of oil.
There presents itself now an opportunity to change this strategic focus because of two trends. 1) Domestic oil production is up; so is fuel efficiency; so is the development of alternate energy. 2) Korea, China, Vietnam, and other Asian nations have growing economies and strategic ambitions. In the future of the U.S., oil will be less important; Asian trade relationships will be more important.
Thus Obama's "pivot to Asia." It has been mocked by Republicans, given the ongoing problems in both Russia and Iraq/Syria (both long-standing Republican policy bad guys). But really, something as big as the U.S. does not turn easily or fast.
TPP is a major component in that turn. It will create or enhance special relationships with a variety of Asian nations. It will firm up relationships that are currently being challenged by China, which has the biggest ambitions of anyone these days.
The details of the policy chapters are almost unimportant; they just need to be balanced well enough among all the parties, so that everyone gains slightly more than they lose. Trade agreements are, almost by definition, not optimal for any given single interest group or stakeholder.
In terms of IP specifically, it's worth considering that the U.S. is far more dependent on IP than other nations. If you think about our most successful companies, many of them make nothing but IP: Apple, Google, Microsoft, TV shows, movies, recorded music, software, pharamceuticals, etc. So U.S. negotiators are going to try for max protection on those things. (Does not mean they will get it.)