In a major breakthrough, trade ministers from 11 Pacific Rim countries said they reached a deal Saturday to proceed with the free-trade Trans-Pacific Partnership deal that was in doubt after President Donald Trump abandoned it in January.
A statement issued early Saturday said an accord had been reached on "core elements" of the pact. The compromise was delayed by last-minute disagreements that prevented the TPP leaders from meeting to endorse a plan Friday.
"Ministers are pleased to announce that they have agreed on the core elements of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership," the 11 nations said in a statement.
It said that the ministers maintained "the high standards, overall balance and integrity of the TPP while ensuring the commercial and other interests of all participants and preserving our inherent right to regulate, including the flexibility of the parties to set legislative and regulatory priorities."
The TPP member countries are trying to find a way forward without the U.S., the biggest economy and, before Trump took office, one of the pact's most assertive supporters. Trump, however, has said he prefers country-to-country deals and is seeking to renegotiate several major trade agreements to, as he says, "put America first."
Trump reiterated his markedly different stance on trade before the 21-member Asia-Pacific Economic Cooperation summit convened late Friday in Danang, Vietnam, with a gala banquet.
The U.S. president told an APEC business conference that "we are not going to let the United States be taken advantage of anymore." He lambasted the World Trade Organization and other trade forums as unfair to the United States and reiterated his preference for bilateral trade deals, saying, "I am always going to put America first."
Trump said he would not enter into large trade agreements, alluding to U.S. involvement in the North American Free Trade Agreement and the TPP.
In contrast, Chinese President Xi Jinping told the same group that nations need to stay committed to economic openness or risk being left behind.
The Chinese president drew loud applause when he urged support for the "multilateral trading regime" and progress toward a free-trade zone in the Asia-Pacific. China is not part of the TPP.
APEC operates by consensus and customarily issues nonbinding statements. TPP commitments would eventually be ratified and enforced by its members.
But even talks this week on a declaration to cap the APEC summit had to be extended for an extra half day as ministers haggled over wording. It's unclear what the exact sticking points were, but officials have alluded to differences over the unequal impact more open trade has had on workers and concerns over automation in manufacturing that could leave many millions in a wide array of industries with no work to do.
As a developing country with a fast-growing export sector, this year's host country, Vietnam, has a strong interest in open trade and access for its exports to consumers in the West. The summit is an occasion for its leaders to showcase the progress its economy has made thanks largely to foreign investment and trade. Danang, Vietnam's third-largest city, is in the midst of a construction boom as dozens of resorts and smaller hotels pop up along its scenic coastline.
APEC's members are Australia, Brunei, Canada, Chile, China, Hong Kong, Indonesia, Japan, South Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, Philippines, Russia, Singapore, Taiwan, Thailand, the U.S. and Vietnam.