Comprehensive and Progressive for Trans Pacific Partnership with South Korea, Thailand, and Taiwan Integration: A Gtap Model Approach

Abstract

The Comprehensive and Progressive Agreement for Trans – Pacific Partnership (CPTPP) is a multilateral free trade agreement which includes 11 countries on both sides of the Pacific. Recently, some countries are considering the possibility of joining in the bloc, including South Korea, Taiwan, and Thailand. This paper attempts to examine the impact of CPTPP expansion with the participation of South Korea, Taiwan, and Thailand. A Global Trade Analysis Project (GTAP) model is employed to evaluate the economic effects of CPTPP and CPTPP with South Korea, Taiwan, and Thailand (CPTPP +3). The results show that CPTPP or CPTPP+3 members would benefit from the agreement while non – members show negative impacts of trade liberation. The CPTPP+3 scenario provides more benefits as compare with CPTPP, particularly for the case of Vietnam.