What is the Trans-Pacific Partnership Agreement?

The Trans-Pacific Partnership Agreement (TPP) is a proposed multilateral trade agreement aimed to promote economic integration and cooperation among a group of 12 countries. The original member countries included the United States, Canada, Mexico, Japan, Australia, New Zealand, Singapore, Malaysia, Vietnam, Peru, Chile and Brunei. 

The agreement was signed in 2016 after several years of negotiations. However, it should be noted that the United States withdrew from it in 2017. The decision to withdraw was made under the administration of President Donald Trump. As a result, the TPP was never ratified or implemented into US law. 

Key Takeaways

• The Trans-Pacific Partnership Agreement is a proposed multilateral trade agreement aimed to promote economic integration and cooperation by reducing tariffs and other trade barriers.
• The United States withdrew from the Trans-Pacific Partnership Agreement in 2017.
• The Trans-Pacific Partnership (TPP) and its successor, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), have significant implications for internet and communications law.

From TPP to CPTPP

In January 2017, President Donald Trump signed an executive order withdrawing the United States from the TPP. Although US withdrawal from the agreement stalled ratification of the agreement in other states, the remaining countries eventually agreed on a modified version of the original TPP. These countries recognized the potential benefits of the agreement and wanted to preserve its provisions, and therefore formed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The CPTPP retained the core elements of the original TPP while suspending certain provisions that had been included at the insistence of the United States.

The CPTPP was signed by the 11 member countries on March 8, 2018, in Santiago, Chile. The agreement received ratification by the member countries, and it entered into force on December 30, 2018.

Legal Implications of the TPP and CPTPP

The TPP and CPTT relate to Internet and Communications law in a number of aspects, including but not limited to:

• Intellectual Property: The TPP and CPTPP had provisions that affected intellectual property laws, which can shape the digital world. These provisions dealt with copyright, patents, trademarks, and trade secrets. 
• E-Commerce and Digital Trade: The TPP and CPTPP had entire chapters dedicated to e-commerce and digital trade. The goal of these chapters was to make it easier to do business electronically across borders. This included online transactions, internet-based trade, and the digital economy overall. 
• Cybersecurity and Data Protection: The agreements touched on issues related to cybersecurity and data protection. Provisions related to data localization, data privacy, and cross-border data transfers were part of the discussions.

Bottom Line

The TPP and CPTPP illustrate the challenges of creating complex trade deals today. Although the TPP failed after the US withdrew, the remaining countries showed dedication to economic integration by modifying the pact into the CPTPP. This new deal provides a framework for digital trade and e-commerce in the Asia-Pacific region. While the US currently remains outside the CPTPP, the deal leaves the door open for possible future US participation. 

If you have any questions about the TPP or CPTPP, feel free to connect with one of our top Internet and Communications lawyers today.