US eyes expanded trade, investment ties with Phl

MANILA, Philippines - The US welcomes the Philippines’ interest to join the Trans-Pacific Partnership (TPP) trade agreement.

US Secretary Penny Pritzker said the Asia Pacific region, which includes the Philippines, will be a major source of global growth over the next decade.

“Given the remarkable growth we have seen here in the Philippines under President Aquino and across the region, there remains untapped potential for us to do much more together in the years ahead,” Pritzker said during a forum organized by the American Chamber of Philippines, the Management Association of the Philippines and the Makati Business Club.

By 2022, Pritzker said Asia-Pacific countries will import nearly $10 trillion worth of goods and services, nearly two-and-a-half-times more than the current figure.

“And through 2020, more than $1 trillion of infrastructure investment is needed in Asean to meet the demands of a growing population,” Pritzker said.

Pritzker said expanding trade and investment flows demand building new tools, such as the TPP, to initiate a level playing field for commerce across the fast-growing region.

The TPP is a free trade agreement currently being negotiated by the US and other countries throughout the Asia Pacific region.

Pritzker said the successful completion of the TPP is a central economic priority of the Obama administration, noting “because opening markets across the region will help promote growth and jobs here and in the US.”

“Once completed, TPP will help provide greater regulatory coherence for all the countries involved, protect intellectual property, and establish rules to better link companies with production and distribution networks across the Asia-Pacific region,” she said.

Apart from the TPP, Pritzker said the third pillar of US engagement in the region also involves building and strengthening regional mechanisms like Asia Pacific Economic Cooperation (APEC) and Association of Southeast Asian Nations (Asean).

“(These mechanisms) establish and maintain rules of the road across the region –rules that promote a level playing field for all of us,” she said.

Pritzker said the US and its companies have a long-term stake in Asean’s economic prosperity.

“They are eager to make the investments in areas such as information technology, infrastructure, clean energy, telecommunication, financial services, healthcare, education and more,” she said.

Pritzker said the US supports the goal of forming the Asean Economic Community and urges Asean member countries to keep up the momentum.

“However, it is important that Asean’s efforts toward economic integration reduce barriers for all companies, both those in Asean and those outside of Asean, so that we can all benefit from freer flows of trade and investment,” she said.