The Comprehensive and Progressive Trans-Pacific Partnership: Analysis and Commentary

758 Pages·2022·7.394 MB·English

by  Jorge A. Huerta-Goldman (editor), David A. Gantz (editor)

the comprehensive and progressive
trans-pacific partnership
TheComprehensiveandProgressiveTrans-PacificPartnershipAgreementamongeleven
key nations of the Pacific Rim has already expanded trade and economic cooperation
amongtheParties.Italsoservestoencouragepoliticalcooperationamongthemandhas
servedasamodelforfuture“wideanddeep”freetradeagreements.Thechaptersofthis
bookwillprovidereaderswithadetailedunderstandingoftheCPTPP’scoverage,including
provisions relating to tariff elimination, customs rules of origin, agriculture, sanitary and
phytosanitarymeasures,technicalbarrierstotrade,telecommunications,intellectualprop-
erty, investment and investor–state arbitration, financial and other services, government
procurement, state-owned enterprises, electronic commerce and digital trade, small and
medium-sized enterprises, competition law, labor and environmental protection, dispute
settlement, and many others. No international lawyer, economist, trade negotiator, or
enterprise can afford not to take advantage of the opportunities for business that the
CPTPPoffers.ThisbookhasbeenwrittenbyCPTPPnegotiators,experts,andpractitioners.
David A. Gantz isWillClaytonFellowinTradeandInternationalEconomicsatRice
University’s Baker Institute for Public Policy, and Samuel M. Fegtly Professor of Law
EmeritusattheUniversityofArizona.Heisanexpertininternationaltradeandinvestment
law, regional trade agreements, international business transactions, and international
environmentallaw.Davidistheauthor,co-author,oreditorofsixbooksandmorethan
seventy-five law-review articles and book chapters. He has served as an arbitrator in
multiple proceedings under Chapters 11, 19, and 20 of NAFTA, and asa consultant for
USAID,theWorldBankGroup,andtheUNDevelopmentProgram,amongothers.
DrJorgeA.Huerta-Goldmanadvisescompanies,governments,andotherstakeholders
oninternationaltradeandinvestmentlawandtransactionallaw(includingnegotiation,
strategy,andlitigation).Heisanexperiencedtradelitigator(twenty-threeWTOcases,
several arbitrations and court cases), combined with solid academic credentials (three
booksasauthor/co-editor,andseventeenlaw-reviewarticlesandbookchapters),andis
currentlyteachingatItesoUniversity.AsaformerWTOtradenegotiator,Jorgepractices
and researches on three main areas: international trade law (from WTO, FTAs, and
partialagreementstodomestictradelaws);internationalinvestmentlaw(fromBITsto
investor–statearbitration);andtransactionallaw(fromcontractstrategy,negotiation,and
implementationtocommercialarbitration).HeholdsaPh.D.(UniversityofNeuchatel,
Switzerland), an LL.M. (College of Europe in Belgium), an LL.M. (University of
Arizona,theUS),alawdegree(ItesoUniversity,Mexico),andwasavisitingscholarat
ColumbiaLawSchoolintheUS.

The Comprehensive and Progressive
Trans-Pacific Partnership
analysis and commentary
Editedby
JORGE A. HUERTA-GOLDMAN
TILPA,Geneva
DAVID A. GANTZ
UniversityofArizona
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Informationonthistitle:www.cambridge.org/9781107163256
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names:Huerta-Goldman,JorgeAlberto,editor.|Gantz,DavidA.,editor.
title:Analysisandcommentary:theTrans-PacificPartnership,thecomprehensiveand
progressiveTPP,theirrootsinNAFTAandbeyond/editedbyJorgeA.HuertaGoldman,
TILPA,Geneva;DavidA.Gantz,UniversityofArizona.
description:Cambridge,UnitedKingdom;NewYork,NY,USA:CambridgeUniversity
Press,2021.|Includesbibliographicalreferencesandindex.
identifiers:lccn2021024538(print)|lccn2021024539(ebook)|isbn9781107163256
(hardback)|isbn9781316615126(paperback)|isbn9781316678770(ebook)
subjects:lcsh:ComprehensiveandProgressiveAgreementforTrans-PacificPartnership
(2018March8).|Foreigntraderegulation–Pacificarea.|Internationaleconomicrelations–
PacificArea.|BISAC:LAW/International|LAW/International
classification:lcck4600.a42018.a532021(print)|lcck4600.a42018(ebook)|ddc382/
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Contents
ListofFigures pageviii
ListofTables ix
ListofContributors xi
1. Introduction:TheTrans-PacificPartnershipBecomesthe
ComprehensiveandProgressiveAgreementforTPP 1
DavidA.GantzandJorgeA.Huerta-Goldman
2. TradeAgreementsandtheU.S.Congress–theCaseoftheTPP 5
SheridanS.McKinneyandJohnR.Gilliland
3. TheTPP,aHorizontalOverview 40
RobertoZapataBarradas
4. MarketAccessforTradeinGoodsNegotiationsintheTPP 53
Ce´sarGuerraGuerreroandFe´lixGonza´lezSa´enz
5. TradeProvisionsasLegos?HowChapter2oftheTPPWas
InfluencedbyWTONegotiationsandPriorUSTradeDeals 95
RoySantana
6. TheTPP,AgriculturalTradeandFoodSecurity 121
EkaterinaKrivonos,DaneswarPoonythandMischaTripoli
7. RulesofOriginandOriginProcedures 162
LuisRicardoRodrı´guezMeneses
8. TradeinTextilesandApparelGoods 187
RupaGanguliandJorgeA.Huerta-Goldman
v
vi Contents
9. HowFarBeyondtheTFA?TradeFacilitationintheWTO
andtheTPP 214
CarlosGabrielEnriquezMontes
10. TreatmentofTradeRemediesundertheTrans-PacificPartnership,
Chapter6 246
DavidA.Gantz
11. TheSPSChapterundertheTPPAgreementanditsImplications 253
YukaFukunaga
12. TechnicalBarrierstoTrade:ImprovingtheDay-To-DayFunctioning 277
JorgeA.Huerta-Goldman
13. AddressingtheRighttoRegulateintheCPTPPInvestmentChapter:
IdentifyingNewTreatyPractice 288
RodrigoMonardes,AnaNovikandCarlosPortales
14. ProtectingInvestmentunderNAFTA,theTrans-Pacific
PartnershipandtheComprehensiveandProgressiveTPP 314
DavidA.Gantz
15. TheTrans-PacificPartnershipasaDevelopmentofthe
Australia–UnitedStatesFreeTradeAgreement:Services
LiberalisationandInvestmentProtection 327
TaniaVoonandAndrewD.Mitchell
16. TheTPPAgreement’sSubstanceandImpactonInternationalTrade,
NAFTA/USMCA,andOtherFTAs:ServicesOverview:Background,
StrategyandSolutions 356
PeterAllgeier
17. Cross-BorderTradeinServices(Chapter10)andTemporary
EntryforBusinessPersons(Chapter12) 371
GuillermoMalpicaSoto
18. FinancialServicesintheTPP 396
JuanA.Marchetti
19. TelecommunicationsChapterintheTPP 419
GerardoMezaGrillo
20. UnderstandingtheTPPAgreementE-CommerceChapter 443
EdBrzytwa,NigelCory,andStephenEzell
Contents vii
21. GovernmentProcurementintheComprehensiveandProgressive
Trans-PacificPartnershipAgreement:AGlobalBeachheadfor
MarketAccessandGoodGovernance 458
RobertD.Anderson,PhilippePelletierandChristopherR.Yukins
22. TheTPP’sCompetitionPolicyChapter:TowardsConvergence 489
JulianaNam
23. RulesforState-OwnedEnterprisesinChapter17ofthe
Trans-PacificPartnershipAgreement:BalancingMarket-Oriented
DisciplineandPolicyFlexibilityforStates 510
JanYvesRemyandIainSandford
24. Non-CommercialAssistanceRulesintheTPP:AComparative
AnalysiswiththeSCMAgreement 542
YoshinoriAbeandTakemasaSekine
25. IPintheTPP:HowFarBeyondtheExistingFTAsDoesItGo? 559
MaximilianoSantaCruzScantleburyandDenissePe´rezFierro
26. StrengtheningLaborRightsintheTrans-PacificPartnership
Agreement:ALostOpportunity? 604
Desire´eLeClercqandKarenCurtis
27. TPPTradeandEnvironmentChapter 633
ChristopherO’Toole
28. HorizontalRegulatoryCoherenceAspectsoftheTPP 650
PhoenixX.F.Cai
29. TransparencyandAnticorruption 675
JorgeA.Huerta-Goldman
30. State-to-StateDisputeSettlementunderTPPChapter28
andNAFTAChapter20 683
DavidA.Gantz
31. InitialProvisions,AdministrativeProvisions,Exceptions
andFinalProvisions(TPPChapters1,27,29and30) 695
DavidA.Gantz
Index 701
Figures
4.1 Relationbetweeneconomicdevelopmentandtarifflevelsinthe
TPPmembercountries page56
4.2 RelationbetweenGDPpercapitaandtarifflevelsintheTPP
membercountries 56
4.3 Australianstagingcategoriesgraphically 65
4.4 Canada’stariffliberalizationinbeef 73
4.5 TRQandTariffCommitmentsinricemadebyJapanintheTPP
Framework 86
6.1 AverageDietarySupplyAdequacy,2000–2and2014–16 126
6.2 Domesticfoodpricelevelindex,2000–14 127
6.3 Averageproteinsupply,2009–11(gr/caput/day) 128
6.4 Availabilityoffruitsandvegetables,2011(g/capita/day) 129
6.5 Obesityratesforadults,2014 129
6.6 Producersupportestimate(PSE%)inselectedTPPmembercountries 132
8.1 Textiles,homefurnishingsandclothingexportsandimports
ofCPTPPcountries(2017) 189
8.2 %shareofglobaltextiles,homefurnishingsandclothingtrade
bycategoryCPTPPcountries(2017) 190
8.3 ImportdataCPTPPcountries2017 192
8.4 ComparingtopCPTPPimportersofHS50–63byproductcategory 193
8.5 ExportdataCPTPPcountries2017 194
8.6 CPTPPexportersofHS50–63byproductcategory(ex-VietNam) 195
8.7 Vietnam’sexportsinHS50–63byproductcategory(2017) 196
8.8 Simpletextilesandclothingvaluechain 199
8.9 Exampleofawashcareandfibrecontentlabel–Japanesehigh
streetfastfashionbrandwithtechnicaltextilesmadeinVietNam 201
8.10 Skinnytightbluejeans(fivepocket) 212
19.1 StructureoftheTelecommunicationschapter 434
viii
Tables
2.1 Housevotesontradeagreementimplementation page20
4.1 SimpleaverageMFNappliedtariffamongTPPmembercountries 54
4.2 Singapore’sbase-ratestructure 62
4.3 Singapore’ssixtarifflineswithnon-zerocustomsduties 63
4.4 AustralianstagingcategoriesintheworkingoftheTPPagreement 64
4.5 Australianbase-ratestructure 66
4.6 Peru’sbase-ratestructure 69
4.7 Mexico’sTRQstructure 79
4.8 UnitedStates’TPPnegotiatingstrategy(%oftotaltarifflines) 89
5.1 Importandexportrestrictions(Article.2.10):Degreeofsimilarity
betweentheTPPandotheragreements 101
5.2 Importlicensing(Art.2.12):DegreeofsimilaritybetweentheTPP
andotheragreements 106
5.3 Administrativefeesandformalities(Article2.14):Degreeofsimilarity
betweentheTPPandotheragreements 112
5.4 Exportduties,taxesorothercharges(Article2.15):Degreeofsimilarity
betweentheTPPandotheragreements 116
6.1 TPPcountrieswithexistingFTAs,yearofentryintoforce 123
6.2 ValueoffoodandagriculturaltradeofTPPcountriesinbillions
ofUSD(average2013–14) 124
6.3 Shareofagri-foodtradeintotaltrade 125
6.4 Percentagesinglecommoditytransfers(%SCT)in2015 133
6.5 Intra-TPPtradetariffsandMFNappliedtariffsforagri-food
productsbyTPPmembers 138
8.1 Appliedtariffvspreferentialtariffforwomen’strousersofcotton
notknittedorcrocheted(HS6204.62) 203
9.1 TFACategoryANotificationsbyMemberCountriesofTPP 218
9.2 Bordercompliance 234
ix