🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Stocks

UPDATE 1-McConnell dashes hopes for Pacific trade deal vote before Trump takes office

Published 2016-11-09, 04:45 p/m
© Reuters.  UPDATE 1-McConnell dashes hopes for Pacific trade deal vote before Trump takes office

(Adds details on TPP, White House spokesman, analyst)

By David Lawder

WASHINGTON, Nov 9 (Reuters) - U.S. Senate Majority Leader Mitch McConnell on Wednesday dashed any remaining hopes that President Barack Obama's signature Pacific-Rim trade deal would come up for a vote before President-elect Donald Trump takes office in January.

"It's certainly not going to be brought up this year," McConnell said of the 12-country Trans-Pacific Partnership at a news briefing in Washington.

McConnell said any decisions on TPP or other future trade agreements would be up to Trump, who would still have the authority for four more years to negotiate "better deals" with expedited approval procedures in Congress.

Trump excoriated TPP on the campaign trail as a "disaster" and "a rape of our country," tapping into populist anger at globalization, trade and manufacturing job losses that helped propel his candidacy.

The Obama administration has been promoting TPP among lawmakers and industry groups in anticipation of a long-shot, post-election vote despite opposition to the deal by Trump and his Democratic opponent, Hillary Clinton.

While there are many Republican supporters of free trade and TPP in Congress, McConnell and House of Representatives Speaker Paul Ryan said on Wednesday they were now focused on laying the groundwork with Trump to pass Republican-focused healthcare and tax reform legislation next year.

A spokeswoman for Ryan said he had not had a change of heart since he said on a radio talk show in October that the House would not bring TPP up for a vote because of problems with several provisions and insufficient support in the House.

McConnell said his priorities for the post-election "lame-duck" session were passing a government funding extension and medical innovation legislation.

White House spokesman Josh Earnest was still trying to sell the TPP agreement in a news briefing on Wednesday.

"President Obama does continue to believe that this is the best opportunity that the Congress has to take advantage of the benefits of a Trans-Pacific Partnership agreement that cuts taxes, 18,000 taxes, that other countries impose on American products," Earnest told reporters. "We've got a strong case to make."

But the strong vote for Trump in industrial states made it unlikely Republicans would be willing to go against him on trade policy, analysts said.

"It's fair to say that TPP is now in the dustbin of history," said Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics, a pro-trade think tank in Washington. "I don't see a path forward for the United States to join."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.