TPP Fact Check
Setting the record straight on the TPP
FALSE: The TPP will take away our sovereignty
Authorised by T Macindoe MP, 543 Te Rapa Rd, Hamilton.
TRUE: The TPP will add an extra $2.7 billion to New Zealand's GDP by 2030
TRUE: The TPP connects New Zealand to the world's fastest growing emerging markets
Emerging markets in Asia and the Americas are driving world economic growth.
Joining the TPP gives New Zealand a prime advantage in some of these critical growing markets. Choosing not to join our own region’s major trading block would be economic madness and risk New Zealand exporters being marginalised.
By playing politics on the TPP, Labour is putting our economic future and Kiwi jobs at risk.
TRUE: The TPP will remove 93% of all tariffs on NZ exports to TPP countries
Import tariffs means consumers overseas have to pay additional taxes on New Zealand products. Removing these tariffs will make it easier for New Zealand exporters to sell more overseas and protect jobs in export industries from agriculture to manufacturing.
TRUE: The TPP will improve environmental protections in partner countries
The TPP contains legally binding commitments on trade and environment that require member countries to effectively enforce their environmental laws, and not to derogate from them in order to encourage trade or investment.
TPP also contains specific commitments intended to help address global environmental issues such as trade in illegally harvested wild fauna and flora, fishing and harmful fisheries subsidies.
A strong voice for developed economies like New Zealand at the TPP negotiating table is critical to argue for sustainable growth across Asia-Pacific.
FALSE: The TPP will stop future governments from regulating foreign property investment
The TPP will mean the government agrees not to ban the purchase of property by buyers from some countries, but there are many other ways to regulate foreign investment that are not affected by the agreement.
The many existing protections on foreign investment in New Zealand remain completely unchanged by this agreement.
FALSE: Supporting the TPP is a left-right issue
Actually, it’s an economic literacy issue. There are many prominent centre-left figures who have voiced their support for the TPP, including the centre-left government in the USA, and former Labour Leaders Phil Goff, David Shearer, and Helen Clark.
FALSE: The TPP will prevent the government from meeting its obligations to Maori
There is not a single clause in the TPP that will impact the Crown’s obligations to Māori. In fact, the TPP includes a specific provision preserving the pre-eminence of the Treaty of Waitangi in New Zealand.
FALSE: The TPP will drive up the cost of medicines
Consumers will not pay more for subsidised medicines as a result of the TPP. The TPP requires only a few administrative changes to PHARMAC, costed at $2.2 million a year, and an average cost of just $1 million per year from a patent term extension. These are tiny costs which must be weighed up against the much larger economic benefits of the TPP.
Joining the TPP isn't just the right thing to do, it is vital for New Zealand's economic future. With your help we can get the real story about this agreement out to New Zealanders.
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