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Transatlantic Trade and Investment Partnership - Analysis

            The Transatlantic Trade and Investment Partnership (TTIP) aims to cut or eliminate tariffs on all products traded across the Atlantic. This article explores how the agreement will benefit businesses and what might stand in the way of the biggest trade deal ever negotiated. TTIP is intending to eliminate or reduce all tariffs and tariff quotas on goods and services traded between the EU and the US. .
             Leaders of the US and the EU are working on the the agreement to cover regulatory barriers and commercially sensitive sectors such as agriculture and pharmaceuticals. The US and EU are working on negotiating a comprehensive and ambitious agreement that breaks new ground in opening up the markets to businesses in the regions. TTIP is addressing three areas: (1)Market access; (2)Regulatory issues and non-tariff barriers and rules; and (3)New ways of increasing cooperation to deal with global trade challenges. The goal of the agreement is to get as close as possible to the removal of all import and export duties on the transatlantic trade of industrial and agricultural goods and services. The WTO estimates tariffs to be comparatively low, they think that the pact could result in big savings for businesses. .
             In a joint statement, President Barack Obama, European Council President Herman Van Rompuy and European Commission President Jose Manuel Barroso, are aiming to help develop global rules for a multilateral trading system through the TTIP negotiations. It is presumed that TTIP could help US and EU companies compete with China and other large emerging economies in two more ways. Also, there is thought that a reduction in trading costs at and behind our borders will give US and EU businesses certain commercial preferences over China's trading interests. Negotiators also hope that an agreement on transatlantic regulations and eliminating behind the border restrictions will lead to large value-chain savings, trade growth and more jobs.


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