U.S., allies strike Pacific Rim trade deal

The United States and 11 other Pacific Rim nations struck a tentative trade agreement Monday, a landmark deal that has the potential to transform the global economy, divide political parties in Congress and roil the U.S. presidential race.

As President Obama and aides began selling the agreement to Congress and the public, critics denounced it as yet another free-trade deal that will help ship American jobs overseas.

The Trans-Pacific Partnership will "promote economic growth" and "support higher paying jobs," said U.S. Trade Rep. Michael Froman, making the announcement along with other trade ministers in Atlanta after days of  negotiations.

The massive proposed agreement — which faces months of debate in Congress — would tie together nearly 40% of the world's economy, from Canada to Chile to Japan to Australia; it would be the largest regional trade agreement in history.

In hailing the agreement, Obama said, "Congress and the American people will have months to read every word" before he signs the deal that he described as a win for all sides.

Prep for the polls: See who is running for president and compare where they stand on key issues in our Voter Guide

"If we can get this agreement to my desk, then we can help our businesses sell more Made in America goods and services around the world, and we can help more American workers compete and win," Obama said.

Critics, including Democratic presidential candidate Bernie Sanders, said employers will use the agreement to move jobs to poorer countries that have lower wages and fewer regulations.

Q&A: Pacific Rim trade negotiations

“In the Senate, I will do all that I can to defeat this agreement," said Sanders, a senator from Vermont. "We need trade policies that benefit American workers and consumers, not just the CEOs of large multinational corporations."

Senate Majority Leader Mitch McConnnell, R-Ky., the chamber's top Republican, vowed "intense scrutiny" of the proposed agreement, noting that it "could shape our engagement and commerce with these nations for decades." McConnell said the Senate wants to open trade "in a way that benefits American manufacturers, farmers and innovators," but "serious concerns have been raised on a number of key issues."

Outgoing House Speaker John Boehner, R-Ohio, said more trade means better jobs and pay, but the GOP-led Congress must ensure that the deal as proposed "meets the highest standards before moving forward."

Government officials across the Pacific Rim hailed the proposed agreement as an advance for the global economy. In Tokyo, Prime Minister Shinzo Abe called it  "a major outcome not just for Japan but also for the future of the Asia-Pacific."

In addition to the United States and Japan, other TPP countries are Brunei, Chile, New Zealand, Singapore, Australia, Peru, Vietnam, Malaysia, Mexico and Canada.

Not included in the deal: China. For years, Obama and aides have promoted the TPP as a way for the United States and its allies to counter China's economic power in Asia.

During a decade of talks about a Pacific Rim trade agreement, the United States and other countries worked through many disputes over tariffs and trade rules for  international products, from automobiles to textiles, agricultural products to medical patents, dairy products to intellectual property.

The proposed trade deal may play a role in the 2016 presidential election in the USA.

Candidates in both parties — including Sanders and Republican front-runner Donald Trump — have criticized trade deals, saying they encouraged U.S. employers to move jobs overseas. The North American Free Trade Agreement, ratified by Congress and signed by President Clinton in 1993, is a frequent target of these attacks.

Sanders' opposition to the Trans-Pacific Partnership could put political pressure on Hillary Clinton, the former secretary of State and ex-member of the administration that negotiated the deal.

Trump, the businessman who leads early Republican polls, has  denounced the TPP, while some of his more establishment GOP opponents have embraced the idea of free trade.

Report: Trump companies hire foreign workers

Critics of the Trans-Pacific Partnership pounced quickly after the announcement, saying it will encourage employers in the USA and other nations to move jobs to nations with lesser labor and environmental standards.

Arthur Stamoulis, executive director of the Citizens Trade Campaign, predicted  Congress would reject the deal, especially on the eve of an election year.

"Heading into 2016 and beyond, Congress members know that American voters are not going to accept a massive trade agreement with undemocratic countries that offshores jobs and drives down wages," he said.

Asked about the politics of ratification, Froman said Monday's announcement was "an important first step." The administration will  speak with congressional lawmakers and others about the details, he said, and "we're confident that people will see this is a very strong deal."

Japan's Abe urges support for trade pact in speech to Congress

In pledging to work with Congress, Obama said the pact includes "the strongest commitments on labor and the environment of any trade agreement in history" and removes trade barriers that have blocked U.S. products.

The president plans to sell the deal in person Tuesday at a meeting with business leaders who will gather at the Agriculture Department in Washington. A multitude of farm products are covered in the agreement, and Agriculture Secretary Tom Vilsack said it would "eliminate or significantly reduce tariffs on our products and deter non-science-based sanitary and phytosanitary barriers that have put American agriculture at a disadvantage" to other countries.

A variety of business and public health groups endorsed the agreement.

As lawmakers begin to consider the agreement, the Obama administration has at least one big advantage: a vote  this year requiring Congress to vote up-or-down on the entire agreement, without any amendments.

"This partnership levels the playing field for our farmers, ranchers and manufacturers by eliminating more than 18,000 taxes that various countries put on our products," Obama said, calling the TPP "an agreement that puts American workers first and will help middle-class families get ahead."