Eleven countries signed the agreement last month. Though President Barack Obama signed the deal in February 2016, Trump yanked the United States out of the agreement two days after his inauguration the following January.
The TPP builds in intellectual property protections central to trade tensions with China. Midwest farmers fear becoming caught up in a trade war as Beijing threatens to impose tariffs on soybeans and other US crops, a big blow to Midwestern farmers, many of whom are strong Trump supporters.
Though Trump trashed the TPP during his 2016 campaign, once calling it a "rape of our country", he suggested in January that the USA could get back into the deal if terms were improved. China said that it would slap tariffs on $50 billion worth of American imports, including soybeans, wheat, corn, cotton and other agricultural commodities. "The president has consistently said he would be open to a substantially better deal, including in his speech in Davos earlier this year". Gasoline typically contains 10 per cent ethanol.
The administration is also considering the possibility of the federal government aiding farmers harmed by retaliatory tariffs from China, according to lawmakers on Capitol Hill and advocacy groups. "The president heard unified voices that we need more trade, not less". We do not want another subsidy program.More news: Colombia jails ex-rebel On-us Medication Merit in blow to Calmness
Kevin Kennedy, president of a steel fabrication business in Texas, said tariffs on steel and aluminum imports have led USA steel producers to raise their prices by 40 per cent. Deb Fischer, said the farm-state members were excited by the president's TPP talk because of a chance "to see those trade opportunities reaffirmed and grow".
While the threat of increasing tariffs in a potential trade war doesn't bode well for USA workers, Daines said, such imbalances must be addressed.
Commitment to the pact was by no means a partisan issue. Richard Trumka, the president of the massive labor organization ADL-CIO, blasted the move by Trump as an affront to American workers. There's a major first-mover advantage and USA companies will be left out. "It gives us momentum related to discussions with the trade dispute with China".
In late February, 25 Senate Republicans wrote a letter to Trump calling on him to rejoin the agreement, arguing it would broadly boost the USA economy.