The TPP brought together twelve countries bordering the Pacific Ocean that agreed on the principle of closer ties between them. The agreement would reduce tariffs, create better economic conditions and promote trade within the region to stimulate economic growth in all nations. Members also hoped that the Trans-Pacific Partnership would bring everyone together in terms of economic policy and general rules. The comprehensive and progressive agreement for the Trans-Pacific Partnership (CPTPP) came into force on December 30, 2018. The agreement will significantly affect trade between its ratifying parties – currently Australia, Canada, Japan, Mexico, New Zealand, Singapore and Vietnam (with Brunei Darussalam, Chile, Malaysia and Peru) and beyond. The TPP-11, signed on March 8, 2018, continued to end after the United States withdrew in January 2017 from the previous agreement – the Trans-Pacific Partnership (TPP) – to become a reality. The CPTPP is almost identical to the TPP, but it suspends 22 elements of the previous agreement and contains the rest. A free trade agreement is an international treaty that allows strong trade relations between two or more countries by removing trade barriers. Many countries around the world have networks of free trade agreements. It is alleged that an effective free trade agreement can bring many benefits to participating countries, such as increasing a country`s gross investment margin (GDP), for example. B; growth and strengthening of businesses by increasing their export earnings; to allow citizens access to cheaper imports and new technologies.
Australia currently has 10 free trade agreements, which account for 67 per cent of Australia`s total trade. Countries under these agreements include New Zealand, Singapore, Thailand, the United States, Chile, the Association of Southeast Asian Nations (ASEAN) (along with New Zealand), Malaysia, Korea, Japan and China. Among the criticisms of free trade agreements in Australia were the secrecy in which these agreements are negotiated and whether producers were losing their competitiveness in the Australian market because of the importation of cheaper products – opponents of free trade agreements questioned whether they were better referred to as “import agreements”.” Specific clauses in free trade agreements can also be of concern to citizens, who are powerful companies. Free trade agreements are expressly authorized by World Trade Organization (WTO) rules.