Path to Trans-Pacific Free Trade Area Sample Clauses

Path to Trans-Pacific Free Trade Area. The successful conclusion of the U.S.-Korea FTA will not only create the third largest free trade area in the world, after the E.U. and NAFTA, but may also xxxx the beginning of a new trans-Pacific free trade area, which will be the largest free trade area yet to be formed. The key to forming a larger free trade area that includes East Asia and North America would likely be determined by the Japanese stance on agriculture. If Japan decides to open its agricultural market to the extent that Korea did in the U.S.-Korea FTA, both the United States and Korea will be willing to negotiate an FTA with Japan.209 The governments of both countries have opined that Japan’s protective stance on agriculture is the major obstacle to FTA negotiations with it,210 and there appears to be no 206 See Xxxxxx, Negotiating, supra note 89, at 13–14 (anticipating new and revived trade negotiations between Korea and its regional neighbors as a result of the U.S.-Korea FTA); see also Xxxxx Xxxx & Xxxxxxx X. Xxxxxx, Free Trade Between Korea and the United States? 63–67 (Inst. for Int’l Econ., Policy Analysis of International Economics Ser. No. 62, 2001) (examining the potential trade diversion effects that could be the result of passage of the Korea-U.S. FTA). 207 Xxx, Issues and Outlook, supra note 29, at 10. 208 Joint Statement, KYODO NEWS, Apr. 13, 2007; Business Roundtable & Nippon Keidanren, Joint Statement: U.S-Japan Economic Partnership Agreement (Jan. 19, 2007) (stating the imperative for “a comprehensive and high-level” economic partnership agreement between the U.S. and Japan), available at xxxx://xxx.xxxxxxxxx.xx.xx/english/policy/2007/007.html. 209 It is known that Korea demands over 90% market liberalization in agriculture, but Japan wants to keep it down to 50%. 210 XXXXXXXX-XXXXX, ISSUES, supra note 18, at 14; see also supra note 47 and accompanying text. other significant issues that will block an FTA. Thus, if Japan’s position on agricultural issues changes, FTAs between Japan and these two countries will become feasible. Separate bilateral FTAs among the three countries can lead to a legal framework for a single free trade agreement among them,211 similar to how the bilateral FTA between the United States and Canada was later adapted to include Mexico to form NAFTA. Canada will also be a likely candidate of a membership for this new free trade area between East Asia and North America. Canada already has an FTA with the United States and is currently conducting FTA ...
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