[CTC] Pres. Hoffa Statement on U.S. Agreement to Japan joining the TPP talks

[Dolan Mike]

http://www.reuters.com/article/2013/04/11/us-usa-japan-transpacific-idUSBRE93A0YM20130411

April 11, 2013

U.S., Japan seen near deal on Trans-Pacific Partnership entry
By: Doug Palmer

Reuters) - The United States and Japan appear close to a deal to allow  
Tokyo into negotiations on a U.S.-led free-trade agreement in the Asia- 
Pacific region, U.S. private-sector industry and labor officials said  
on Thursday.

"It does certainly look like (they are) about to make that  
announcement," despite the objections of U.S. labor groups concerned  
about removing U.S. tariffs on Japanese cars and trucks, Thea Lee,  
deputy chief of staff at the AFL-CIO labor federation, told the  
Washington International Trade Association.

"I think at this point we're going to have to shift (strategies) and  
try to figure out, as Japan joins, that we are putting on the table  
all the things that are most important to us," Lee said.

Japan asked in March to join negotiations on the proposed Trans- 
Pacific Partnership and is awaiting a formal decision by the 11  
currently participating countries.

If the world's third largest economy is allowed into the negotiations,  
the final agreement would cover nearly 40 percent of world economic  
output.

Japanese Economics Minister Akira Amari said on Tuesday Japan and the  
Unites States were in the final stage of consultations about Japan  
joining the TPP.

EYES ON JULY ROUND

TPP members will hold their 17th round of talks next month in Peru and  
hope to reach a deal this year.

With negotiations at such an advanced stage, Washington is looking for  
an "early harvest" of commitments from Tokyo in areas such as  
agriculture, insurance andautos to show that its entry will not slow  
the talks down.

One business source, speaking on condition he not be identified, said  
the United States and Japan were striving to reach a deal by the  
weekend.

That would allow the White House to give Congress 90-day notice that  
it plans to start trade negotiations in time for Japan to participate  
in the July round of TPP talks.

U.S. labor groups are worried about job losses in the auto sector if  
the United States agrees in the TPP talks to eliminate a 2.5 percent  
tariff on Japanese passenger cars and a 25 percent tariff on Japanese  
light trucks.

"This is a sector that was on death's door and then has seen a very  
strong recovery. What we don't want to do is enter into a trade  
agreement that will undermine the ability of the U.S. auto sector to  
create good jobs," Lee said.

Ford Motor Co (F.N) also strongly opposes Japan's entry into the TPP,  
saying that Tokyo has not followed through on previous commitments to  
dismantle regulatory and other non-tariff barriers that block imports  
of foreign cars.

The Detroit-based automaker charges that Japan's market remains  
largely closed to imports even though Tokyo has no tariffs on foreign  
cars.

One possible way U.S. and Japanese officials could address U.S. auto  
sector concern is by agreeing to let the United States keep its auto  
and truck tariffs, or to phase them out over a long period of time.

But some U.S. business groups, such as the National Association of  
Manufacturers, worry that excluding any sector from tariff cuts will  
encourage other countries to try to protect their own sensitive  
sectors from market openings.

Such a "Swiss cheese approach ... will fail to achieve the needed  
growth-producing liberalization" and diminish the value of the pact,  
said Linda Dempsey, vice president for international economic affairs  
at the U.S. manufacturers group.


http://www.japantimes.co.jp/news/2013/04/10/business/likely-u-s-nod-to-put-japan-in-tpp-talks-by-july/

Likely U.S. nod to put Japan in TPP talks by July
KYODO
APR 10, 2013
ARTICLE HISTORY
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Tokyo and Washington are likely to conclude bilateral preparatory  
talks this week on the Trans-Pacific Partnership trade liberalization  
deal, clearing the way for Japan to join the talks as early as July,  
government sources said Tuesday.
Tokyo has agreed to allow the United States to retain the tariffs it  
currently imposes on automobiles and trucks imported from Japan for  
some time, while securing fair competition in the insurance sector.  
Tokyo plans to negotiate the retention of its own tariffs on sensitive  
agricultural products during the ongoing TPP negotiations, which  
involve 11 member states.
After the conclusion of the bilateral talks, U.S. President Barack  
Obama is expected to notify Congress and seek its approval for Japan’s  
participation in the negotiations. The process is expected to take at  
least 90 days.
“There is no doubt we have entered the very final stage” in bilateral  
negotiations on Japan’s entry to the TPP negotiations, said economic  
revitalization minister Akira Amari, who is overseeing preparations to  
join the Pacific Rim trade initiative.
While Japan must still obtain approval from Australia, Canada and New  
Zealand to join the negotiations, officials in Tokyo believe they are  
firmly on course to get the green light, since the three countries  
have been awaiting the U.S. decision.
Tokyo has been considering asking the TPP members to hold a fresh  
round of talks in July, aiming to join the rule-making process as soon  
as possible since it has already entered its third year. “The dates  
are not set yet, but we will do our utmost so we can join the earliest  
round of negotiations,” trade minister Toshimitsu Motegi said at a  
news conference.
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