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Trump’s Trade Pullout (TPP) Roils Rural America (Politico)

Piecake

Member
EAGLE GROVE, Iowa—On a cloud-swept landscape dotted with grain elevators, a meat producer called Prestage Farms is building a 700,000-square-foot processing plant. The gleaming new factory is both the great hope of Wright County, which voted by a 2-1 margin for Donald Trump, and the victim of one of Trump’s first policy moves, his decision to pull out of the Trans-Pacific Partnership.

For much of industrial America, the TPP was a suspect deal, the successor to the North American Free Trade Agreement, which some argue led to a massive offshoring of U.S. jobs to Mexico. But for the already struggling agricultural sector, the sprawling 12-nation TPP, covering 40 percent of the world’s economy, was a lifeline. It was a chance to erase punishing tariffs that restricted the United States—the onetime “breadbasket of the world”—from selling its meats, grains and dairy products to massive importers of foodstuffs such as Japan and Vietnam.

The decision to pull out of the trade deal has become a double hit on places like Eagle Grove. The promised bump of $10 billion in agricultural output over 15 years, based on estimates by the U.S. International Trade Commission, won’t materialize. But Trump’s decision to withdraw from the pact also cleared the way for rival exporters such as Australia, New Zealand and the European Union to negotiate even lower tariffs with importing nations, creating potentially greater competitive advantages over U.S. exports.

A POLITICO analysis found that the 11 other TPP countries are now involved in a whopping 27 separate trade negotiations with each other, other major trading powers in the region like China and massive blocs like the EU. Those efforts range from exploratory conversations to deals already signed and awaiting ratification. Seven of the most significant deals for U.S. farmers were either launched or concluded in the five months since the United States withdrew from the TPP.

The EU’s deal is all the more noteworthy because American farmers were relying on the TPP—to which the EU was not a member—to give them an advantage over European competitors. But in a further rebuke to the United States, Tokyo decided within a matter of weeks to offer the European nations virtually the same agricultural access to its market that United States trade officials had spent two excruciating years extracting through near-monthly meetings with their Japanese counterparts on the sidelines of the broader TPP negotiations; the United States is now left out.

As China, which was never a part of the TPP, senses blood in the water, it is moving quickly to assert itself, rather than the United States, as the region’s trade arbiter. China is aiming to close talks by the end of this year on its behemoth Regional Comprehensive Economic Partnership—a trade agreement involving 15 other Asia-Pacific countries.

None of these deals are yet in effect. But already there are signs that competitors are gaining market share over U.S. producers in the post-TPP landscape, as Pacific nations take a closer look at alternatives to U.S. exporters.

Hayes, of Iowa State University, is deeply worried about the threat these deals represent. “Instead of getting those 200 million customers we may be, in fact, at a disadvantage in those markets because these are preferential trade agreements,” he said. “So if you’re not part of it, you are on the other side.”

90

Hayes said the livestock industry had in its sights a future of expansion amid soaring export growth. After Trump’s withdrawal from the TPP, “that has pretty much disappeared,” he said.

Most in the industry expected a coming boom from exports as a result of TPP, with continued strong sales made possible by NAFTA. Vietnam, another growing market where U.S. producers were set to expand sales of organ meat and other items not easily sold domestically, was prepared to eliminate its tariffs altogether under TPP. Now, the tariffs remain and Prestage—and all of Eagle Grove—are holding their breath.

The supply chain from field, to feed, to animal has created a massive livestock industry that doesn’t always find demand among American consumers. The dimming of any new trade opportunities or the disruption of existing ones creates a ripple effect not only vertically along the direct farm value chain but horizontally into the economic welfare of the surrounding community.

“If the farmers have a bad year, we all have a bad year. If the farmers have a good year, we all have a good year,” said Melia Hansen, a hair stylist on Eagle Grove’s main street.

But even as Iowa was voting for Trump by 51 percent-42 percent, its farmers were looking to Asia as their savior.

Throughout the fast-growing Asia-Pacific region, an expanding middle class is demanding higher-quality protein—causing enormous demand for meat. U.S. pork producers can find Asian buyers for just about everything cut out of a hog carcass—from the highest-priced loin to the cheaper organ meats that are hard to sell to U.S. consumers.


http://www.politico.com/magazine/story/2017/08/07/trump-tpp-deal-withdrawal-trade-effects-215459
 
Liberals clinging to the TPP hate was probably one of the most disappointing things to me during the last election.

you get what you vote for

You also get what you don't vote for. Damned if you do. Damned if you don't.

Please, the disinformation campaign was wide enough that both side of the isle thought this was a good idea. Bernie was just as big of an isolationist and because both candidates clung to this social outcry against TPP, Clinton ended up being against it too.

Fucking stupidy all around.
 

Sulik2

Member
Liberals clinging to the TPP hate was probably one of the most disappointing things to me during the last election.

The copyright, pharmaceutical and ceding of national power to corporations were full stop provisions for anyone who actually read the documents as they released. I for one am not a fan of letting corporations sue governments for denying them business opportunities, third world countries paying US drug prices or the awful US intellectual property system becoming the global standard.
 

Piecake

Member
The copyright, pharmaceutical and ceding of national power to corporations were full stop provisions for anyone who actually read the documents as they released. I for one am not a fan of letting corporations sue governments for denying them business opportunities, third world countries paying US drug prices or the awful US Copyright system becoming the global standard.

If you don't let corporations sue governments who fail to live up to the trade agreement that was signed in a neutral court, then how the hell do you enforce any trade agreement?
 
Not really, his followers are busy high fiving each other and boasting about their great leader for the sanctions against NK as his doing
 
The copyright, pharmaceutical and ceding of national power to corporations were full stop provisions for anyone who actually read the documents as they released. I for one am not a fan of letting corporations sue governments for denying them business opportunities, third world countries paying US drug prices or the awful US intellectual property system becoming the global standard.

The harm for not being in it is far greater than any of that.
 
The copyright, pharmaceutical and ceding of national power to corporations were full stop provisions for anyone who actually read the documents as they released. I for one am not a fan of letting corporations sue governments for denying them business opportunities, third world countries paying US drug prices or the awful US intellectual property system becoming the global standard.

Like clockwork. At least you still remember the line you were supposed to lap up.
 
I have no god damned clue how Trump hopes to get to 3% GDP growth while closing trade avenues and restricting the workforce via immigration policy.
 

Damaniel

Banned
Yep. To this day, not a single one of his supporters could tell me why exactly they were against the TPP when I asked them about it.

Global trade is an inevitable and inescapable part of modern society, and it makes sense for the US to at least have a say in the matter rather than oppose trade deals on flimsy ideological grounds.

I had many issues with Bernie (him personally - I still haven't forgiven his most zealous supporters and don't even want to get into that anymore), but this was my biggest one.
 
Clinton was actually criticized for flip flopping on TPP. Hindsight an all, but considering she lost she should have double downed on the deplorable comments and also shat all over liberals for being stupid regarding TPP.
 

Piecake

Member
Wasn't this a fait accompli either way? IIRC both parties were not going to do foreward with the TPP.

The establishment wing of both parties wanted it, but some in that wing said they didn't for political reasons.

If Clinton got elected, I would not be surprised if the TPP got approved in an 'aww shucks', I can't do anything to stop it kind of way. Or approved after things cooled down and people moved on.
 

Xando

Member
But in a further rebuke to the United States, Tokyo decided within a matter of weeks to offer the European nations virtually the same agricultural access to its market that United States trade officials had spent two excruciating years extracting through near-monthly meetings with their Japanese counterparts on the sidelines of the broader TPP negotiations; the United States is now left out.
Thanks America.

Sincerely,
EU
 
The TPP would have lowered drug prices for Americans (and raised them in Asia). It was an amazing deal for US citizens in that regard.

Unfortunately, it was collateral damage due to our illogical and immoral quality of life costs (healthcare, education, etc.) making economic inequality worse by the day.
 

trembli0s

Member
The establishment wing of both parties wanted it, but some in that wing said they didn't for political reasons.

If Clinton got elected, I would not be surprised if the TPP got approved in an 'aww shucks', I can't do anything to stop it kind of way. Or approved after things cooled down and people moved on.

Wouldn't envy her on that count. The left wing of the party would have crucified her if she pulled that. I don't think she would have lasted on that hill.
 

Zophar

Member
Horseshoe theory is bogus when it applies to authoritarianism but it absolutely rings true in terms of understanding economics (or a lack thereof). Morons on the left and the right sunk this. Good job.
 

PillarEN

Member
The copyright, pharmaceutical and ceding of national power to corporations were full stop provisions for anyone who actually read the documents as they released. I for one am not a fan of letting corporations sue governments for denying them business opportunities, third world countries paying US drug prices or the awful US intellectual property system becoming the global standard.

I'm right there with you.
 

Eusis

Member
The establishment wing of both parties wanted it, but some in that wing said they didn't for political reasons.

If Clinton got elected, I would not be surprised if the TPP got approved in an 'aww shucks', I can't do anything to stop it kind of way. Or approved after things cooled down and people moved on.
I could see her as having tried to improve it too, either actually tackle the things people were worried about, or if those were irreconcilable/overblown throw a few bones to appease the people dissatisfied with it and get it through.

Trump's solution is to just throw shit around without fucking thought, period.
 
Great job voting against your interests rural america!
If "voting in your interest" would have worked in the interest of rural working class people in the US the last decades this problem wouldnt exist.

Increasing class divides and especially geographical ones tend to be devastating.
 

Mr Swine

Banned
Can't wait for the depression that hits thanks to these Trump years.

Trump: "fake news, oh this is the democrats fault! Fake news, this is Obamas Deep state doing/1 oh and fake news!"

Either way I guess that Americans don;t like to have an advantage against other countries? Guess this is Trumps Art of the deal?
 

Darknight

Member
Honestly? Good.

People have to learn the hard way. Let the fuckers who voted him in suffer. Sucks everyone must deal with his dumbass. There isnt much to do than watch the horror show.
 

KHarvey16

Member
If "voting in your interest" would have worked in the interest of rural working class people in the US the last decades this problem wouldnt exist.

Increasing class divides and especially geographical ones tend to be devastating.

Are you saying they've just recently started not voting in their best interest?
 

Laekon

Member
I still can't understand how Trump couldn't see how effective the TPP was going to be in controlling China. Or he did see and was bought off. There was little to any down side for US industry given the current state of it.
 
Are you saying they've just recently started not voting in their best interest?
Of om not mistaken there has been a trend in the last decades were the democrats have lost more and more of their traditional base. A part of the country the US that has not faired as well as others in the era of struggling industries.
 

Ithil

Member
I still can't understand how Trump couldn't see how effective the TPP was going to be in controlling China. Or he did see and was bought off. There was little to any down side for US industry given the current state of it.

Trump didn't even know what the letters stood for.
 

KHarvey16

Member
Of om not mistaken there has been a trend in the last decades were the democrats have lost more and more of their traditional base. A part of the country the US that has not faired as well as others in the era of struggling industries.

So that's not voting in their best interests then, right? I'm confused.
 
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