The Federation of Malaysian Manufacturers (FMM) believes that the ratification of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) at the earliest date possible will further contribute to Malaysia’s pandemic recovery.
In a statement today, President Tan Sri Soh Thian Lai said any delay or non-participation in the CPTPP would result in opportunity costs for Malaysia, and the extensive safeguards secured would be forgone.
“As four years have passed since the agreement was signed by Malaysia in March 2018, we cannot afford to further delay the ratification of the CPTPP.
“Otherwise, we run the risk of being relegated to the sidelines as our ASEAN neighbours have moved ahead strongly,” he said in a statement today.
Citing the findings of the cost and benefit analysis (CBA) conducted on the CPTPP, which was published by the Ministry of International Trade and Industry (MITI) yesterday, Soh said it revealed that the CPTPP presents net economic benefits to Malaysia, as Malaysia, along with Brunei, Singapore and Vietnam, are the only four countries in ASEAN participating in the agreement.
“The CBA reaffirms that the CPTPP offers market access opportunities to three new countries, namely Canada, Mexico and Peru, where Malaysia has no free trade agreements (FTAs) with.
“Based on the 2021 data from the World Bank, the three new markets collectively represent a population of over 200 million with a combined gross domestic product (GDP) of over US$3.5 trillion (US$1= RM4.45), which is 9.4 times bigger than our own economy,” he said.
