Today 06:00 am https://japantoday.com/category/pol...ld's-largest-trade-deal-including-china-asean TOKYO The Diet on Wednesday approved the world's largest free trade deal, signed by 15 Asia-Pacific countries including China and the 10-member Association of Southeast Asian Nations, raising the possibility for the pact to enter into force later this year. The Regional Comprehensive Economic Partnership will create a free trade zone covering about 30 percent of the world's gross domestic product, trade and population. It will be Japan's first trade deal involving both China and South Korea -- its largest and third biggest trade partners. The pact, signed by the 15 countries last November, will come into effect 60 days after it is ratified by six of the ASEAN members and three of the other countries. As of Wednesday, Singapore and China have completed procedures for ratification. The deal will eliminate tariffs on 91 percent of goods and introduces common rules on investment and intellectual property to promote free trade. The government expects the trade accord will boost Japan's GDP by 2.7 percent and create 570,000 jobs. RCEP groups the 10 ASEAN members -- Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam -- plus Japan, China, South Korea, Australia and New Zealand. India was one of the founding members but skipped all negotiations from November 2019 due to concern that its trade deficit with China would grow.
So I expect US will be signing free-trade deals with EU and UK soon? And then we will see possibly a free-trade deal made up of all the African nations as well? That's how it's gonna be now? Everybody get into groups and sign trade deals of their own geographical clusters? LOL
LOL, how - is the CCP going to allow the Yuan to be freely floated in the World markets like the Dollar? No more peg to the Dollar? Sure. Right.
The Bank of China has a huge currency trading operation devoted to pegging the Yuan to the Dollar. Jesus.
Hopefully Australia will be able to dump this wine into this new market, offload it for a song, 'cause China have given us the shaft. Value of Australian wine exports to China falls 96 per cent By Eryk Bagshaw April 29, 2021 https://www.smh.com.au/world/asia/v...-china-falls-96-per-cent-20210429-p57ngx.html Singapore: China’s top diplomat in Australia has warned Chinese students and tourists will question whether to return to Australia after the coronavirus pandemic, raising the possibility of further trade blows to Australian goods. The comments from ambassador Cheng Jingye come as Australian winemakers reel from a 96 per cent drop in the value of their exports to China. They follow the federal government’s decision to cancel Victoria’s Belt and Road agreement, a move labelled “unreasonable and irrational” by Cheng on Thursday. A man compares two bottles of Australian wine at a supermarket in Hangzhou in east China’s Zhejiang province.CREDIT:AP The ambassador has become increasingly critical of Australia’s actions over the past year, spurred on by a jingoistic Foreign Ministry in Beijing. The criticism has followed Canberra’s decision to block Chinese investments, institute national security measures, escalate its military spending and rhetoric, and condemn Beijing’s human rights abuses. “Some claim that the problems in bilateral trade ties resulted from China’s economic coercion against Australia. What a ridiculous and irrelevant argument,” he said at the Australia China Business Council briefing. “As the old saying goes, whoever tied the knot is responsible for untying it.” China’s retaliatory strikes across $20 billion in exports have hit local wine producers among the hardest of any industry. Coal, barley and wood have largely been able to diversify into other markets but winemakers have seen the value of their exports to China fall from $325 million between December 2019 and March last year to $12 million during the same period this year. Wine Australia chief executive officer Andreas Clark said the decline in exports was due mainly to a steep decline in Chinese imports as well as less volume available for export. “Notwithstanding the impact of China’s tariffs, we were still looking at a potential downturn in exports over this period simply due to the supply situation,” Clark said. In addition, Australian grape exporters are now reporting Chinese customs delays due to COVID-19 clearance issues, while honey exporters are also seeing a slowdown in orders from Chinese retailers. These early signs mirror the informal restrictions placed on other industries, which can have a trickle-down effect from geopolitical tensions as Chinese importers become more reluctant to take risks on ordering Australian stock, fearful they will be blocked by their government at the border.
Well actually they are in a managed float within a restricted band of variance values against a basket of currencies in addition to USD. And I think they have widened that band recently.