7 Oct 2010

Malaysia joins trade talks

3:27 pm on 7 October 2010

The Trans-Pacific Partnership free trade talks have received a boost with the inclusion of Malaysia. And Japan may seek to join the talks.

Malaysia joins Australia, Brunei, Chile, New Zealand, Peru, Singapore, the United States and Vietnam in the negotiations.

Radio New Zealand's economics correspondent says Japan's possible inclusion in the talks comes after supportive comments from its new trade and agricultural ministers.

The world's third largest economy was previously reluctant to be included because of sensitivities over agriculture.

But it now says environmental tax revenue could be used to protect its farmers from any lowering of tariffs that would come from inclusion in the agreement.

Formal negotations for the TransPacific Partnership resumed this week amid serious disagreement between the US and other countries over how far-reaching the agreement will be.