History of the CPTPP

Early Origins 

In 2005, Brunei Darussalam, Chile, New Zealand, and Singapore (known as the Pacific-4, or ‘P4’) finalized the Trans-Pacific Strategic Economic Partnership Agreement (TPSEP). This agreement paved the way for the later development of the Trans-Pacific Partnership (TPP). The TPSEP was a small-scale trade agreement that grew from informal discussions in the 1990s between Australia, Chile, New Zealand, Singapore, and the U.S. at Asia-Pacific Economic Cooperation (APEC) meetings to establish a broader free trade zone across the Asia Pacific region. The TPSEP took effect in 2006 for Chile, New Zealand, and Singapore, and, in 2009, for Brunei Darussalam, becoming the first free trade agreement linking nations from Asia and the Americas.

The TPSEP required the immediate elimination of 90 per cent of tariffs between member countries, with remaining tariffs to be phased out by 2015. While the anticipated economic gains were modest compared to other international free trade agreements (FTAs), the agreement was intended to encourage deeper integration and strategic economic partnerships within the Asia Pacific region.

In September 2008, the U.S. initiated discussions with the P4 to join the TPSEP, motivated by a desire to further liberalize trade in financial services and investment and ultimately establish a free trade agreement with New Zealand. Expanding trade with Pacific Rim countries aligned with U.S. strategic interests, becoming a centrepiece of President Obama’s ‘Pivot to Asia’ foreign policy. 

By November 2008, Australia, Viet Nam, and Peru had joined the negotiations, alongside the U.S., morphing the TPSEP into the TPP. The first round of TPP negotiations among these eight countries began in Melbourne, Australia, in March 2010 (Malaysia joined later, in October 2010). Canada subsequently requested to join the TPP negotiations in 2011. Despite the initial resistance, and along with Mexico, entered the TPP negotiations in 2012, followed by Japan in 2013, bringing the total number of negotiating countries to 12.

Conclusion of TPP Negotiations 

The TPP negotiations concluded in Atlanta, Georgia, in October 2015, after nearly seven years of formal talks. The complete TPP text was made public in November 2015, and the agreement was signed in February 2016 by the 12 participating countries: Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States, and Vietnam. However, each member country still needed to ratify the agreement domestically.

If fully ratified, the TPP would have been the largest trade agreement in history, encompassing 800 million consumers and representing nearly 40% of the world's GDP.

The U.S. Withdrawal from the TPP

On January 30, 2017, U.S. President Donald Trump fulfilled a campaign promise by signing an executive order to withdraw the United States from the Trans-Pacific Partnership, effectively ending the agreement’s prospects. Without the U.S. participation, the conditions required for the TPP to enter into force could not be met, as the agreement required ratification by at least 6 parties accounting for 85% of the combined GDP of the 12 members. The U.S. alone accounted for 60% of the combined GDP of the 12 TPP members. 

Despite the U.S.’s pivotal role in the TPP, the remaining eleven countries recognized the agreement’s continued value and resumed negotiations to move forward without the U.S.

CPTPP Signed by 11 Member Countries

On January 23, 2018, the remaining 11 TPP economies met in Tokyo, Japan, to finalize the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. This revised agreement retained most of the TPP’s original provisions but suspended certain U.S.-led provisions, primarily those related to intellectual property. As a result, copyright terms and pharmaceutical patent periods remained unchanged. These provisions, however, were only suspended, allowing for the possibility of reinstatement if the U.S. rejoined the CPTPP in the future.

The CPTPP agreement was officially signed in Chile on March 8, 2018. Each member country then proceeded with its own domestic ratification process. The CPTPP entered into force on December 30, 2018 for:

• Australia 
• Canada
• Japan
• Mexico
• New Zealand
• Singapore

on January 14, 2019 for :

• Viet Nam

on September 19, 2021 for:

• Peru

on November 29, 2022 for:

• Malaysia

and on July 12, 2023 for:

• Brunei Darussalam 

The CPTPP is now considered a “high standards” trade pact to facilitate economic co-operation between its parties. It covers virtually all aspects of the economy, including investment and trade in goods and services. The primary aim of the trade agreement is to create consistent standards amongst all signatories, including in government procurement, customs regulations, intellectual property, rules of origin, labour rights, labour mobility, environmental protection, and inclusive trade.

The United Kingdom’s Accession to the CPTPP 

The CPTPP was designed as a “living agreement,” with an accession clause allowing new members that meet its standards to join. On July 16, 2023, the United Kingdom (U.K.) signed the Protocol of Accession and is set to officially join the CPTPP on December 15, 2024. From that date, the U.K. will be able to trade under CPTPP terms with Japan, Singapore, Chile, New Zealand, Viet Nam, Peru, Malaysia, Brunei Darussalam, and on December 24, 2024 with Australia – all of which have ratified the U.K.’s Accession Protocol, but not with Canada and Mexico, until they complete their ratification processes for U.K. accession.

The U.K.’s accession has been a multi-year process. The U.K. submitted a formal request to join the CPTPP on February 1, 2021, and by June 2021, the CPTPP Commission began reviewing its application. In March 2023, the Accession Working Group completed negotiations, confirming that the U.K. would meet all CPTPP provisions. Shortly after, the CPTPP members and the U.K. signed the U.K.’s accession, making it the first country outside the original members to join.

Following the U.K.’s admission, the CPTPP Commission will consider applications from China, Taiwan, Ecuador, Costa Rica, Uruguay, Ukraine, and Indonesia.