RCEP, CPTPP and the Changing Dynamics in International Trade Standard-Setting

Collins C. Ajibo, Samuel I. Nwatu, Festus O. Ukwueze, Emeka Adibe, Chidi Lloyd and Newman U. Richards

 

ABSTRACT: The proliferation of mega-trade agreements evidenced in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the emerging Regional Comprehensive Economic Partnership (RCEP) has cast doubts on the harmonization of divergent norm-setting in Asia-pacific. While the CPTPP excluded China from its membership, the country is the prime mover of RCEP with a significant proportion of the principles of its development paradigm incorporated in the text of the RCEP. Although India has boldly pulled out of the RCEP to protect its business and economic interests with the Prime Minister noting that ‘neither the Talisman of Gandhiji nor my own conscience permit me to join RCEP’, RCEP is expected to quadruple trade benefits among the members and foster uniform and rules-based regional trade agreement. The paper offers fresh insights on the interplay between CPTPP and RCEP as they affect international trade norm-setting. It postulates that less stringent provisions of RCEP could mark a defining moment for developing countries angling for attenuated provisions to foster policy and development flexibility.