President Obama Trying to “Fast Track” the Trans-Pacific Partnership—a Trade Pact That Could Be Worse Than NAFTA

President Exec SealSubmitted by Elaine Magliaro, Guest Blogger

Know much about the Trans-Pacific Partnership (TPP)? If you don’t, it’s not your fault. According to Zoë Carpenter (The Nation), Congress hasn’t heard much about TPP either. That’s because this so-called “free trade” agreement is being negotiated in “extreme” secrecy by representatives of twelve different countries—the United States, Japan, Australia, Brunei, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore,  and Vietnam.  Carpenter says that the Obama administration has ignored “repeated calls from legislators to make the process more transparent, while pressing to finalize the agreement this year.”

In his article titled Multinationals Are Plotting to Steamroll What’s Left of Our Democracy to Make Huge Profits, Dave Johnson says that the TPP negotiating process “has been rigged from the start.” While hundreds of representatives of corporate-interest groups have been providing their input— “representatives of labor, human rights, civil justice, consumer, environmental and other stakeholder groups have been kept away from the negotiating table.” Members of Congress have not seen the agreement yet. United States Senators “have been barred from seeing negotiation points or drafts.” The public has been denied any access to TPP negotiating texts. We the people—as well as our elected representatives—are being “kept in the dark” as to what is going on behind closed doors. Yet, “600 corporate advisers” have been involved in the negotiation process. Multi-national corporations like Monsanto and Walmart are helping to craft the agreement.

Most of the information that we have on the TPP trade agreement has come from “drafts leaked by participants dissatisfied with one provision or another.”

In May, Erika Eichelberger provided some information about TPP in her Mother Jones article titled The Biggest Secret Trade Deal You’ve Never Heard Of, Explained. She says that “trade experts” claim that trade deal negotiations are always conducted under a certain level of secrecy. This supposedly makes it “easier for countries to negotiate amongst themselves without too much noise from advocacy groups and others inside countries.” Bryan Riley, a senior policy analyst at the Heritage Foundation, said, “That is how trade deals have worked…if they are made public, all interested groups can start tearing things apart before it’s even done.”

Eichelberger argues that “there is precedent for releasing proposed trade deal information to the public.” She wrote: “A full draft text of the Free Trade Area of the Americas was released in 2001 during negotiations on that 34-nation pact; a draft text of the recently-completed Anti-Counterfeiting Trade Agreement was released; and the World Trade Organization posts negotiating texts on its website.”

David Brodwin, a cofounder and board member of American Sustainable Business Council, claims that TPP is not merely a trade pact because it would protect legacy industries from competition and would strip governments of the means to manage their own economies. Brodwin says that TPP has been “positioned” as a simple trade agreement that would “harmonize tariffs and other trade rules and promote trade among the countries involved.” He says, however, that the pact has been described by critics as a “stealthy delivery mechanism for policies that could not survive public scrutiny” and one that could “severely curtail government authority at all levels.”

Writing for The Nation, Lori Wallach said that TPP had been “cleverly misbranded” as a trade agreement by “its corporate boosters.” According to Wallach, that’s why “it has cruised along under the radar” since George W. Bush “initiated negotiations in 2008.” Although the Obama administration “paused the talks” for a while in order to develop an “approach compatible with candidate Obama’s pledges to replace the old NAFTA-based trade model,” the negotiations were restarted where Bush had left off by late 2009.

Wallach suggests we think of TPP “as a stealthy delivery mechanism for policies that could not survive public scrutiny.” She notes that just two of the twenty-six chapters of the pact cover traditional trade matters. She says the other chapters “embody the most florid dreams of the 1 percent—grandiose new rights and privileges for corporations and permanent constraints on government regulation.” She says TPP includes investor safeguards that would “ease job offshoring and assert control over natural resources”—and adds that it would “severely limit the regulation of financial services, land use, food safety, natural resources, energy, tobacco, healthcare and more.”

A Broad Range of Special Interest Giveaways

In his article titled Obama’s Pacific Trade Deal Is No Deal At All, Brodwin lists some of the “most problematic aspects of TPP”:

Many provisions of TPP have little to do with trade per se. They simply promote the interests of powerful global industry groups and use legal and political mechanisms to limit true competition in the market place. For example:

  • Provisions of SOPA, the so-called “Stop Online Piracy Act” which was rejected last year by Congress. SOPA would give a competitive advantage to the film industry and other content-creators while restricting innovation on the internet.
  • Provisions that would extend patent protection on pharmaceuticals while restricting governments from negotiating lower prices.
  • Provisions that would privilege major banks and financial institutions over credit unions and the emerging sector of public banks.
  • Provisions that would disadvantage organic farmers and others who adopt safer and more environmentally-sound agricultural practices.
  • Provisions that would extend the dominance of coal and oil and hinder alternative energy producers, by blocking regulations and limiting deployment of smart grid and other infrastructure.

Brodwin added that the TPP pact would even prevent communities from making the decision about whether or not to allow fracking in their area. Some critics have referred to TPP as “NAFTA on steroids.”

Wallach:

Countries would be obliged to conform all their domestic laws and regulations to the TPP’s rules—in effect, a corporate coup d’état. The proposed pact would limit even how governments can spend their tax dollars. Buy America and other Buy Local procurement preferences that invest in the US economy would be banned, and “sweat-free,” human rights or environmental conditions on government contracts could be challenged. If the TPP comes to fruition, its retrograde rules could be altered only if all countries agreed, regardless of domestic election outcomes or changes in public opinion. And unlike much domestic legislation, the TPP would have no expiration date.

At a Senate banking Committee hearing in May, Senator Elizabeth Warren (D-Mass.) cautioned, “There are growing murmurs about Wall Street’s efforts to use the Trans-Pacific Partnership…as [a] vehicle…to water down the Dodd-Frank Act. In other words, trying to do quietly through trade agreements what they can’t get done in public view with the lights on and people watching.”

TPP Tribunals

Countries that are signatories to the trade pact “will have to change their policies to conform to the agreement.” What does that mean? It would require a dismantling of “any regulations, safeguards or incentives” the countries had enacted “to support their economies and provide better lives for their citizens.” In fact, a system of tribunals would be established in order “to hold governments to account.” Corporations would be allowed to sue governments “to demand the relaxation of standards, and could claim damages from governments that failed to conform.”

Occupy Wall Street (OWS) said that the Trans-Pacific Partnership “represents an about-face by President Obama, who as a candidate pledged to replace the NAFTA model with a US trade policy that protected workers and the environment.” OWS notes that some members of the US Business Coalition for TPP—namely Microsft, Time Warner, and Walt Disney—were among top donors to Obama’s 2012 presidential campaign.

On Fast Tracking TPP & Secrecy

President Obama is seeking Fast Track Trade Promotion Authority for TPP. This would permit Obama to sign the trade agreement “without Congressional approval.” The signed agreement would then be sent to Congress to be “voted on after the fact under a special restricted procedure that forces a vote in 90 days, limits debate, and prevents Congress from responding to public pressure to amend the agreement’s most egregious anti-public interest provisions.” Zoë Carpenter says that allowing “fast-track” authorization, would limit the ability of Congress “to address three major concerns with the TPP: the potentially harmful economic impacts of the deal, the very real prospect of the agreement superseding domestic policy in areas ranging from internet privacy to environmental and financial regulations and an unbalanced negotiating process and its likely outcome, both tipped towards corporate rather than public interest.”

In her Mother Jones article, Eichelberger reported that the secrecy shrouding the TPP negotiations “has some lawmakers and advocacy groups up in arms.” She said that several members of Congress had called on the United States Trade Representative (USTR) requesting the  release of the TPP draft agreement to the public, but to no avail. It seems time is running out for “non-corporate” interested parties to find out what is in the trade agreement before it’s signed by the twelve countries and goes into effect. It hasn’t even been made clear “whether members of Congress will ever be able to see the entire contents of the massive trade deal before it’s finalized.” It appears that the public—and maybe our elected representatives—will remain in the dark until after the Trans Pacific Partnership is a done deal.

Members of the U.S. Business Coalition for TPP

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Dennis Kucinich on Trans-Pacific Partnership

How the TPP can rewrite US domestic laws

TPP: The Biggest Threat to the Internet You’ve Probably Never Heard Of (EFF)

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SOURCES

Obama’s Pacific Trade Deal Is No Deal At All (U.S.News)

AFL-CIO Campaigns Against Trans-Pacific Partnership (Firedoglake)

Trans-Pacific Partnership Will Remove What’s Left Of American Democracy (Firedoglake)

Multinationals Are Plotting to Steamroll What’s Left of Our Democracy to Make Huge Profits: We’ve got to stop the Trans-Pacific Partnership that’s being drawn up in Washington before it becomes law. (AlterNet)

Trans Pacific Partnership Agreement (Electronic Frontier Foundation)

Why So Secretive? The Trans-Pacific Partnership as Global Coup (Truth-out)

Trans-Pacific Partnership Talks: Senators Demand Access To Controversial Documents After Leak (Huffington Post)

Monsanto and Walmart Influence Secret TPP Negotiations (New American)

The Trans-Pacific Partnership: The Closed-Door Deal To Establish Corporate Power (Occupy Wall Street)

NAFTA on Steroids: The Trans-Pacific Partnership, which would grant enormous new powers to corporations, is a massive assault on democracy. (The Nation)

Keeping a Massive Trade Deal Out of the Fast Lane (The Nation)

The Biggest Secret Trade Deal You’ve Never Heard Of, Explained: The United States is nearing the end of negotiations on a massive free trade deal called the Trans-Pacific Partnership. Here’s what it’s all about. (Mother Jones)

 

90 thoughts on “President Obama Trying to “Fast Track” the Trans-Pacific Partnership—a Trade Pact That Could Be Worse Than NAFTA”

  1. Follow the money and you will see that TPP is just one more way for the rich and corporations to make money off the backs of the poor and middle class.

    1. Bron, big surprise that they refused to cite the Domincan Republic for outrageous breach of CAFTA! That is why all of these so called free trade agreements need to either be repealed outright, or radically modified.

  2. Stopping the Trans-Pacific Partnership: Global Revolt Against Corporate Domination
    Wednesday, 10 July 2013
    By Margaret Flowers and Kevin Zeese
    Truthout | News Analysis
    http://www.truth-out.org/news/item/17472-stopping-the-tpp-a-victory-in-the-global-revolt-against-corporate-domination

    Excerpt:
    We are in the midst of an epic battle between the people of the world and transnational corporations. Wealthy governments and corporations are merging in a global system in which private corporations have absolute power over your life. This is a battle the people can win and when we do it will show that we can defeat corporate power on issue after issue.

    The 1999 battle in Seattle to stop the World Trade Organization (WTO) from granting increased power to transnational corporations and the negative consequences of the North American Free Trade Agreement (NAFTA) created broad public awareness about the ways that ‘free trade’ hurts people and the planet. As a result, in the past few decades, the WTO has effectively been unable to move forward with its neoliberal economic agenda. And the United States was forced to move to smaller country-by-country trade agreements, many of which were stopped by public pressure.

    The Obama administration is currently mired in an ambitious project to accomplish both the continuation of the WTO’s agenda and a restructuring of NAFTA in ways that place corporate property rights over protection of people and the environment. Using the friendly term, ‘partnership,’ the administration is negotiating a sweeping free trade agreement, the Trans-Pacific Partnership (TPP), which could potentially involve the entire Pacific Rim as well as a sister agreement with European nations. This is being done largely in secret and in a way that subverts the democratic process.

    Former US Trade Representative Ron Kirk, who now has a lucrative job in the private sector advising transnational corporations for the law firm Gibson Dunn, said that if people knew what was in the TPP, there would be no way to get it signed into law. As he told one interviewer, if the text were made public negotiators would be walking away from the negotiations because they would be very unpopular.

    The new US Trade Representative, Obama’s classmate Michael Froman who worked at CitiGroup, and the more than 600 corporate advisers involved in writing the TPP, have direct access to the text of the treaty, but members of Congress have only limited access and the public and media are excluded. Recent calls for transparency by members of Congress have been denied, so the extent of what we know comes from leaks.

    We do know that the TPP is less about trade and more about entrenching corporate property rights. It will establish a judicial system that gives corporations greater power than sovereign nations and bypasses the democratic process. The TPP will affect the global economy so that corporations control all aspects of our lives from wages, food safety, the price of medications and our rights to clean water and air to Internet freedom and more.

    Corporate Property Rights and Profits Come First

    Protests in Seattle in 1999 were successful in stopping the WTO meetings being held there. The next set of meetings took place in Doha, Qatar, a place of highly restricted access, in 2001. The Doha Round still has not concluded because the member nations have not been able to come to a consensus, particularly because of the unwillingness of the US to give up agricultural subsidies.

    The Trans-Pacific Partnership and it’s sister, the Trans-Atlantic Trade and Investment Partnership (TTIP, known as “TAFTA”), are the Obama administration’s response to the failure of the WTO. These two treaties will aim to not only give multinational corporations all of the deregulation and legal rights they sought through the WTO, but are intended to go even further. With the inclusion of Canada and Mexico, the Obama administration will live up to its promise to renegotiate NAFTA, but not in the way that he alluded to during his 2008 presidential campaign.

  3. Passage of Trans Pacific Partnership Would Be Win for Corporations, Loss for the 99%
    by Jim Goodman
    9/6/13
    https://www.commondreams.org/view/2013/09/06-9

    Excerpt:
    In the early years of the United States we had, and enforced, strong trade tariffs, it was necessary to protect farmers and businesses from unfair foreign competition.

    Now, that we are an Empire, we demand free access to foreign markets for our small businesses and farmers. No, we demand market access for our corporations. Trade agreements are written with the financial interests of corporations in mind.

    This is not new, trade policy, when imposed by an Empire, is not for the benefit of the people, but rather the Empire or those who control it.

    The British Crown instituted the Tea Act of 1773 granting the British East India Company (one of the worlds first multi-national corporations) a monopoly on tea sales to the American colonies, — a bailout policy to get the East India Company out of debt.

    Back then, when people had an interest in governing themselves, the colonists responded with the Boston Tea Party— which was an act of rebellion against corporate control as much as, or perhaps more so, than an act of opposition to British Rule.

    Now, our government, which is supposed to represent the people, places the interests of corporations and banks ahead of the interests of the people.

    The US government has, over the past 20 years, entered a number of international trade agreements. NAFTA (North American Free Trade Agreement), FTAA (Free Trade Area of The Americas), WTO (World Trade Organization), CAFTA (Central American Free Trade Agreement) and now the Obama administration is intent on fast tracking TPP (Trans Pacific Partnership).

    We are told that these agreements are a win-win for everyone, but history has shown that someone has to loose. WTO,NAFTA and the rest have done one thing very well, increased corporate profit.

    To increase corporate profits these trade agreements have:

    – moved living wage jobs to economies where they have become slave labor jobs.
    – busted unions and fired union organizers
    – moved food production to wherever food can be produced at the lowest cost
    – increased food imports to the extent that food safety inspections are nearly non-existent
    – aggressively promoted GMO’s (genetically modified organisms) and the corporations that produce them
    – pushed US agriculture into a system of commodity cropping and CAFO’s (confined animal feeding operations)
    – pushed indigenous farmers worldwide off the land and into urban slums
    – made farm workers and livestock expendable commodities
    – devalued the place of women in agriculture

  4. Great Article Elaine! It makes you wonder if you should waste your time voting or do what Booker T Washington advised: Stay out of politics, and better yourself, to earn a ‘decent’ standard of living.

  5. I just hope I get to hear Ross Perot talk about “that giant sucking sound” regarding this agreement.

  6. If this goes through, I will be joining the Tea baggers to seek impeachment of Obama. This is a fundamental threat to us.

  7. “it has cruised along under the radar” since George W. Bush “initiated negotiations in 2008.” … ooh, ooh

    I’m beginning to believe there isn’t a program Junior created that Obama hasn’t eventually fallen in love with.

  8. Elaine,

    Thank you once again for a scrupulously, detailed and researched blog post, that provides us with very valuable information. We must remember that Bill Clinton pushed through NAFTA and that centrist Democrats like our President are no more than the velvet glove of Corporatism covering the iron fist of oppression.

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