Chile, part of an historical agreement

By Aguayo, Ecclefield & Martínez (AEM Law Firm)

Ministers and Senior Officials representing Chile, Australia, Brunei Darussalam, Canada, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam, signed on March 8 in Santiago, Chile, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP or TPP-11), which incorporates most of the Trans-Pacific Partnership (TPP) provisions by reference, but suspended 22 provisions the United States favored that these countries opposed, and lowered the threshold for enactment so the participation of the U.S. is not required.

Ministers shared the view that, by achieving a high standard and well-balanced outcome, the agreement will strengthen the mutually-beneficial linkages among their economies, boost trade, investment and economic growth in the Asia-Pacific region, and create new opportunities for businesses, consumers, families, farmers and workers. “The agreement demonstrates our collective commitment to an effective, rules-based and transparent trading system which is open to all economies willing to accept these principles”, said the ministers in a joint statement.

The TPP-11 establishes a common set of rules on intellectual property protection and enforcement, which aim to encourage investment in new ideas, support creative and innovative industries, address and prevent piracy and counterfeiting, and promote the dissemination of information, knowledge and technology. The intellectual property provisions of the TPP-11 affirm and build on the World Trade Organization’s Agreement on Trade-Related Aspects of Intellectual Property (TRIPS Agreement), covering: copyright, trademarks, geographical indications, patents, industrial designs, confidential information, plant variety protection, and civil, border and criminal enforcement. The TPP-11 also includes provisions covering pharmaceutical products, cybersquatting of domain names and trade secrets theft. As part of the TPP-11 outcome, a number of intellectual property provisions from the original TPP were suspended, including certain provisions relating to pharmaceutical products (including biologics), copyright and patents.

The agreement will be one of the largest trading blocs in the world, with the 11 member countries representing 495 million people and a combined GDP of $13.5 trillion. “We are proud to conclude this process, sending a strong message to the international community that the opening of markets, economic integration and international cooperation are the best tools to create economic opportunities and prosperity”, said Chilean former President Michelle Bachelet.