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Econometer: Will trade deal between Japan-EU hurt U.S.?


Saturday, July 15, 2017

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Japan's PM Abe is welcomed by EU Council President Tusk at the start of a EU-Japan summit in BrusselsEuropean Council President Donald Tusk (left) and Japanese Prime Minister Shinzo Abe agreed earlier this month to a landmark free trade deal, presented as a direct challenge to protectionism championed by President Donald Trump. (YVES HERMAN / Reuters)

Kelly Cunningham, National University System - YES: Japan and Europe signal they will replace the U.S. as global leaders in free trade. The agreement rivals NAFTA in scope of trade, currently the largest in the world. The deal means European and Japanese exporters gain an edge over American exporters into each other’s markets, a real loss for American agriculture in particular, but also the U.S. loses position to shape trade by setting standards on everything from intellectual property laws to labor standards.