Latin American Economy & Business - September 2016 (ISSN 1741-7430)

The fate of the world’s largest free trade agreement, the Trans Pacific Partnership (TPP), hangs in the balance. Three of the 12 signatories to the agreement are from Latin America – Chile, Peru and Mexico. There is a danger that the TPP, finalised in October last year, will fail to get legislative approval, particularly in the US, where the two main presidential candidates for the November elections say that they don’t support it. If the TPP fails, it may signal a more protectionist trend in global trade, which could have negative effects for the Latin America as a whole.