.
>> TPP, HOPEFULLY I'M THERE,
I'LL LAND IT SO FAST, AND WE'LL
MAKE DEALS WITH, INDIVIDUAL
COUNTRIES.
NOT THIS BIG WEB OF COMPLICATED
STUFF!
>> THAT BIG WEB OF COMPLICATED
STUFF PRESIDENT TRUMP WAS
REFERRING TO ON THE CAMPAIGN
TRAIL THAT WAS OCTOBER 12th OF
2016, WELL IT JUST GOT MORE
COMPLICATED.
TAKE A LOOK AT THIS TIMELINE.
JANUARY 23,2017 THREE DAYS
AFTER PRESIDENT TRUMP WAS SWORN
INTO OFFICE, HE TOOK EXECUTIVE
ACTION AND DID WHAT HE SAID HE
WAS GOING TO DO, PULLED THE
UNITED STATES OUT OF THE
TRANS-PACIFIC PARTNERSHIP DEAL
WITH 11 OTHER NATIONS, THEN
LAST WEEK PRESIDENT TRUMP TOLD
HIS TRADE TEAM TO TAKE A SECOND
LOOK AT WHETHER THE U.S. SHOULD
GET BACK INTO THE TPP, BUT THEN
FAST-FORWARD TO JUST LAST
NIGHT, I WAS ABOUT TO GO TO
SLEEP AND LOOKED AT THE TWITTER
FEED AND HE TWEETS --
.
LIZ: MEANWHILE, ALL OF THIS
TAKING PLACE AS THE WORLD WAITS
AND WATCHES THIS ON YOUR
SCREEN.
PRESIDENT TRUMP'S HIGH-LEVEL
MEETINGS WITH JAPANESE PRIME
MINISTER SHINZO ABE.
ABE WANTS THE PRESIDENT TO
REJOIN THE DEAL.
WILL THEY WORK TOGETHER?
WHAT WILL BE THE ULTIMATE
OUTCOME OF THE HOT AND COLD,
BACK AND FORTH SCRIPT.
WE BRING IN ONE OF THE WORLD'S
FOREMOST AUTHORITIES ON LEGAL
TRADE, JOEL TRACKMAN AND RICH
ELINGS ON THE COMMISSION OF THE
THEFT OF INTELLECTUAL PROPERTY.
THIS IS TO BOTH OF YOU, MAKE
THE CASE AS TO WHY WE SHOULD OR
SHOULD NOT REJOIN THE TPP,
JOEL, YOU'RE UP FIRST?
>> THE TPP WAS NEGOTIATED BY A
GROUP OF ELITE EXPERTS AT THE
UNITED STATES TRADE
REPRESENTATIVE WHO ARE
PATRIOTIC AND HIGHLY SKILLED.
AND WHAT THEY TRIED TO DO WAS
ADDRESS A NUMBER OF THE ISSUES
OF MARKET ACCESS IN THOSE 11
COUNTRIES THAT ARE IMPORTANT TO
THE UNITED STATES, AND I THINK
THEY DID A VERY GOOD JOB.
THE OTHER THING THAT'S GOING ON
IS THAT COUNTRIES LIKE THE
EUROPEAN UNION AND JAPAN HAVE
FREE TRADE ARRANGEMENTS THAT
WILL AROU RECIPROCAL ACCESS.
SO IN ORDER TO KEEP PLAYING FOR
UNITED STATES EXPORTERS, IT'S
IMPORTANT TO BE IN THE
TRANS-PACIFIC PARTNERSHIP.
TPP IS NOT EXCEEDINGLY COMPLEX,
IT'S NORMAL FOR THESE KIND WAS
AGREEMENTS.
YES, IT HAS A NUMBER OF
DIFFERENT PROVISIONS THAT
ADDRESS A NUMBER OF DIFFERENT
THINGS BUT THOSE THINGS ARE
NECESSARY TO THE KIND OF 21st
CENTURY TRADE AGREEMENT THAT WE
NEED TO HAVE LIKE E-COMMERCE,
LIKE DEALING WITH ALL SORTS OF
INTELLECTUAL PROPERTY ISSUES,
SO THERE ARE LOTS OF THINGS
THAT HELP THE UNITED STATES
THERE.
LIZ: RICH, YOU SAY REJOIN OR
STAY OUT?
AND I WANT TO LET OUR VIEWERS
KNOW, WE'RE CYCLING THROUGH
DIFFERENT SECTORS WHETHER IT'S
THE AUTO INDUSTRY, THE MARKETS,
SINCE WE PULLED OUT OF THE TPP,
SINCE PRESIDENT TRUMP DID THAT.
GO AHEAD, RICH.
>> YEAH, WELL, FIRST OF ALL, HI
FROM SUNNY SEATTLE.
IT'S FANTASTIC OUT HERE, I FEEL
SORRY FOR THE REST OF THE
COUNTRY.
LIZ: YEAH, RUB IT IN.
>> TWO THINGS ABOUT TPP, AND
ANY MULTILATERALISM THAT WE'RE
INVOLVED IN TODAY, THERE ARE
TWO PURPOSES TO IT.
ONE IS TO COALESCE A GROUP OF
LIKE-MINDED NATIONS IN VIEW OF
THE CHALLENGES COMING OUT OF
CHINA.
OTHER PURPOSE, OF COURSE, IS
WHAT'S IN AMERICA'S ECONOMIC
AND POLITICAL INTERESTS?
WHETHER THAT IS THE SECURE TPP
AS JAPAN HAS RENEGOTIATED?
PROBABLY NOT.
AN UPGRADED TPP IN WHICH WE
HAVE FAIRNESS AS WELL AS FREE
MARKET, HIGH-LEVEL PRINCIPLES
ENSHRINED IN IT, THAT'S
SOMETHING WE OUGHT TO BE
INTERESTED IN.
IT WILL FULFILL BOTH THOSE
PURPOSES.
LIZ: TRADE AND TARIFFS.
WE HAVE SLAPPED TARIFFS OF 25%
ON STEEL AND 10% ON ALUMINUM.
YOU CAN SEE HOW THE PRICES HAVE
SPIKED, AND THEN THE FEDERAL
RESERVE CAME OUT WITH THE BEIGE
BOOK THAT'S A REGIONAL
INDICATOR HOW THINGS ARE GOING.
THEY VERY CLEARLY SAID AT 2:00
P.M. EASTERN, PRICES ARE RISING
ON STEEL, AND IT'S DUE TO THE
TARIFFS AND THEY ARE RISING
SOMETIMES DRAMATICALLY.
JOEL, ARE WE STARTING TO SEE
THE UNINTENDED CONSEQUENCES AND
MAYBE NEED TO BE RETHINKING
THESE OR NOT?
>> I THINK THESE ARE THE CLEAR
CONSEQUENCES, AS YOU'RE SAYING
OF PUTTING ON TARIFFS.
YOU MAKE GOODS MORE EXPENSIVE.
YOU ALLOW DOMESTIC PRODUCEERS
TO RAISE THEIR PRICES AND THE
IMPORTANT THING ABOUT THAT IS
IT MAKES IT TOUGHER FOR THE
UNITED STATES COMPANIES THAT
USE THOSE INPUTS, THOSE STEEL
AND ALUMINUM INPUTS TO COMPETE
IN THE UNITED STATES AND IN
WORLD MARKETS.
SO YOU'RE JUST MAKING IT
TOUGHER FOR UNITED STATES
MANUFACTURES.
IN THE OTHER GROUP OF TARIFFS
THAT THE UNITED STATES HAS
PROPOSED, 84% OF THOSE TARIFFS
ARE ON INTERMEDIATE PRODUCTS OR