Sébastien Le Belzic, edited by Solène Delinger
The Regional Comprehensive Economic Partnership, which brings together 15 Asian countries, entered into force on January 1. This block includes China, Japan, Australia and South Korea, and alone represents a third of the gross domestic product of the planet and a third of the world population.
A new heavyweight in the global economy is emerging. The Regional Comprehensive Economic Partnership, which brings together 15 Asian countries, entered into force on January 1. This new group, comprising China, Japan, Australia and South Korea and the ten ASEAN countries, already alone represents a third of the gross domestic product (GDP) of the planet and a third of the world population.
One third of the planet’s GDP
Its acronym is difficult to pronounce, but the RCP, for Global Regional Economic Partnership, risks upsetting the balance. It is the largest free trade area in the world which was born on January 1, with a gradual reduction in customs duties. This new bloc, which notably includes China, Japan, Australia and South Korea, alone represents a third of the planet’s gross domestic product and a third of the world’s population. 90% of tariffs will be phased out, as Chinese Ministry of Commerce spokesman Gao Fang explains.
A boon for China
Overall, RCP member countries have pledged to open more than 100 commercial service sectors covering finance, telecommunications, transport, tourism and research and development.
China, the world’s second largest economy, intends to make the most of this agreement. And already, since this weekend, exchanges have accelerated. It could reach 37 billion euros as early as this year, while at the same time, European Union exports to the region are expected to decline by at least 2%.