PHL not ready to join Trans-Pacific Partnership – Trade chief

The Philippines is not yet ready to join the international free-trade agreement known as the Trans-Pacific Partnership (TPP), the head of the Trade Department said Wednesday. "We can pursue it, but is it wise to lobby for it? Let’s just wait until we’re ready. We’re not going to actively pursue negotiations for us to join. It can be distracting and we have no resources for it," Trade Secretary Gregory L. Domingo told reporters. “We’re not yet ready for the TPP. We have to do some more homework first on our environment, labor and investment on the equity side because we have many restrictions,” he added. The TPP is a trade agreement among Australia, Brunei Darussalam, Chile, Malaysia, New Zealand, Peru, Singapore, Vietnam, and the United States. The US Trade Representative (USTR) defines it as "a vehicle for Asia-Pacific-wide economic integration, which will strengthen U.S. ties to the robust economies of this region" that it sees as the US' "best vehicle" to advance its economic interests in the region. On April 12, Japan announced that it has reached a deal with the US that will lead to formal negotiations for its joining the TPP. Domingo said the Philippines would be interested in eventually joining the TPP, if invited by the partnership members. “It is not for us to join, they have to invite us. We will continue to improve, changing rules and liberalizing a bit,” he said. Last year, the DTI said it wanted to prioritize multilateral trade agreements such as the TPP rather than bilateral pacts. In February, US State Department Assistant Secretary Jose W. Fernandez said the Philippines should discuss with TPP members the prospect of the country's joining the agreement. FINL The DTI, along with the Department of Finance, also said it will review the Foreign Investment Negative List with a view to easing restrictions on foreign ownership. The Foreign Investment Negative List determines which investment areas and activities reserved for Filipinos could be opened to foreign investors. According to the DTI, it is divided into two lists: List A, which consists of areas of activities reserved to Philippine nationals where foreign equity participation in any domestic or export enterprise engaged in any activity listed therein shall be limited to a maximum of 40 percent as prescribed by the Constitution and other specific laws; and List B, which consists of areas of activities where foreign ownership is limited pursuant to law such as defense or law enforcement-related activities, which have negative implications on public health and morals, and small and medium-scale enterprises. The new list will be released next year. — BM, GMA News