DOLLAR: Well, you just put an interesting thought in my head, because I`ve argued that China is already in the middle of a lot of value chains. It`s about doing the labor-intensive assembly that tends to come to the end. But now China produces more technologically sophisticated components and machines. As a result of this trade war in the United States, we have clearly seen that some of the Southeast Asian countries we are talking about, such as Vietnam and Indonesia, have been moved to final assembly. I would have thought that rcEP would accelerate this trend in some way, and perhaps not be the main driver, but one of the implications is that it is heading to China around U.S. tariffs. Well, you just thought that the United States could try to change that. But I have the impression that it will be very complicated administratively. In addition, many of these RCEP countries are allies of the United States. Are we going to prevent products from coming from Korea because they have a certain amount of Chinese content? I just think it would be an administrative nightmare.
It offers me only one more reason why this American trade war against China is not working and probably won`t work and should be reconsidered. RCEP: A new trade agreement that will mark the global economy and policy A product made in Indonesia, for example, which contains Australian parts, could expect tariffs elsewhere in the Asean Free Trade Area. The RCEP is not as comprehensive as the comprehensive and progressive agreement for the Trans-Pacific Partnership, another free trade agreement in the region that encompasses some of the same countries.  The RCEP ”does not establish uniform employment and environmental standards or require countries to open services and other vulnerable areas of their economies.”  In the longer term, Li called the agreement a ”victory for multilateralism and free trade.” What`s important about RCEP? First, it is the first major agreement between China, Japan and Korea in a single free trade group. It is for the same political reasons that we talked about a few seconds ago. Indeed, it is very difficult to imagine how this agreement could have been possible between these three countries, with the exception of the ASEAN leadership of this larger bloc. Now that this is in effect, Japan and China have both hinted that they are following a free trade agreement between China and Japan and Korea.