[Script Info]
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[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:05.95,0:00:08.14,Default,,0000,0000,0000,,The TPPA is...
Dialogue: 0,0:00:08.14,0:00:12.33,Default,,0000,0000,0000,,a proposal to extend an existing agreement New Zealand has with
Dialogue: 0,0:00:12.33,0:00:22.29,Default,,0000,0000,0000,,Brunei, Singapore and Chile. And... but the negotiations also include Australia, Malaysia, Vietnam, Peru,
Dialogue: 0,0:00:22.29,0:00:26.17,Default,,0000,0000,0000,,the United States [and Japan]. And of course having
Dialogue: 0,0:00:26.17,0:00:28.49,Default,,0000,0000,0000,,the United States up there makes it huge.
Dialogue: 0,0:00:28.49,0:00:31.14,Default,,0000,0000,0000,,The negotiations are held in secret, we don't see the
Dialogue: 0,0:00:31.14,0:00:33.92,Default,,0000,0000,0000,,drafts of the text of the agreement, so what I'm telling you
Dialogue: 0,0:00:33.92,0:00:37.41,Default,,0000,0000,0000,,is partly from leaks, partly from media speculation,
Dialogue: 0,0:00:37.41,0:00:40.94,Default,,0000,0000,0000,,partly from what we know from other agreements these
Dialogue: 0,0:00:40.94,0:00:44.63,Default,,0000,0000,0000,,countries have signed. It's not mainly about trade at all.
Dialogue: 0,0:00:44.63,0:00:47.76,Default,,0000,0000,0000,,Most of the tariffs amongst these countries have gone.
Dialogue: 0,0:00:47.76,0:00:50.94,Default,,0000,0000,0000,,The goods, the restrictions on goods trade most of them
Dialogue: 0,0:00:50.94,0:00:53.34,Default,,0000,0000,0000,,have gone. They've been negotiated away in other areas
Dialogue: 0,0:00:53.34,0:00:56.59,Default,,0000,0000,0000,,such as the World Trade Organisation. The chief
Dialogue: 0,0:00:56.59,0:01:00.49,Default,,0000,0000,0000,,New Zealand negotiator made this statement in private.
Dialogue: 0,0:01:00.49,0:01:05.02,Default,,0000,0000,0000,,He said "There is a public perception a United States
Dialogue: 0,0:01:05.02,0:01:07.87,Default,,0000,0000,0000,,Free Trade Agreement would be an el dorado to
Dialogue: 0,0:01:07.87,0:01:10.12,Default,,0000,0000,0000,,New Zealand's commercial sector but the reality is different and
Dialogue: 0,0:01:10.12,0:01:13.84,Default,,0000,0000,0000,,New Zealand must manage expectations about the benefits
Dialogue: 0,0:01:13.84,0:01:19.77,Default,,0000,0000,0000,,of such an agreement. So if we're gaining dairy access
Dialogue: 0,0:01:19.77,0:01:22.78,Default,,0000,0000,0000,,or whatever we will have to pay for it in other ways, and
Dialogue: 0,0:01:22.78,0:01:25.75,Default,,0000,0000,0000,,there's a whole list of other parts of the agreement which
Dialogue: 0,0:01:25.75,0:01:29.17,Default,,0000,0000,0000,,have nothing to do with goods trade. So the first I want to
Dialogue: 0,0:01:29.17,0:01:32.89,Default,,0000,0000,0000,,talk about, and this is quite recent, it's on State... it's a whole chapter
Dialogue: 0,0:01:32.89,0:01:36.80,Default,,0000,0000,0000,,on State Owned Enterprises. State Owned Enterprises are
Dialogue: 0,0:01:36.80,0:01:42.03,Default,,0000,0000,0000,,things like [hydro] electricity companies, Solid Energy, Air New Zealand.
Dialogue: 0,0:01:42.03,0:01:48.30,Default,,0000,0000,0000,,But more than that it can be things like ACC, it could be... it could be
Dialogue: 0,0:01:48.30,0:01:51.48,Default,,0000,0000,0000,,anything owned by the Government and run by the Government.
Dialogue: 0,0:01:51.48,0:01:57.35,Default,,0000,0000,0000,,The United States wants provisions on these in the agreement.
Dialogue: 0,0:01:57.35,0:02:02.93,Default,,0000,0000,0000,,They want to force State Owned Enterprises, and
Dialogue: 0,0:02:02.93,0:02:08.59,Default,,0000,0000,0000,,think Electrocorp, think ACC, think possibly even CRIs (Crown Research Institutes),
Dialogue: 0,0:02:08.59,0:02:14.35,Default,,0000,0000,0000,,whatever you like... to act solely in accordance with
Dialogue: 0,0:02:14.35,0:02:17.56,Default,,0000,0000,0000,,commercial considerations. Right. So they should have
Dialogue: 0,0:02:17.56,0:02:22.99,Default,,0000,0000,0000,,no non-commercial goals, like public-interests goals for example.
Dialogue: 0,0:02:22.99,0:02:28.31,Default,,0000,0000,0000,,For example [protecting rivers is] inconsistent with this agreement.
Dialogue: 0,0:02:28.31,0:02:33.95,Default,,0000,0000,0000,,[It prevents] Electricity SOEs from helping technology startups, which
Dialogue: 0,0:02:33.95,0:02:37.04,Default,,0000,0000,0000,,is one of the ideas the Greens and Labour had.
Dialogue: 0,0:02:37.04,0:02:42.89,Default,,0000,0000,0000,,Prevents them prefering 'locally built', for example the railways for New Zealand Rail.
Dialogue: 0,0:02:42.89,0:02:46.81,Default,,0000,0000,0000,,Prevent them favouring local suppliers, prevent them having
Dialogue: 0,0:02:46.81,0:02:50.34,Default,,0000,0000,0000,,relatively low profit requirements, so the rest of the country can benefit
Dialogue: 0,0:02:50.34,0:02:53.96,Default,,0000,0000,0000,,from low electricty prices for example.
Dialogue: 0,0:02:53.96,0:03:00.14,Default,,0000,0000,0000,,And prevent them for example from giving incentives for sustainable energy.
Dialogue: 0,0:03:00.14,0:03:06.74,Default,,0000,0000,0000,,It would ban low cost funding, so when the Government
Dialogue: 0,0:03:06.74,0:03:11.17,Default,,0000,0000,0000,,started up Kiwibank for example it puts the capital in to start it up.
Dialogue: 0,0:03:11.17,0:03:17.51,Default,,0000,0000,0000,,That would be seen as a subsidy, if you like, to that... to Kiwibank.
Dialogue: 0,0:03:17.51,0:03:21.32,Default,,0000,0000,0000,,And they don't want that to happen. They would require
Dialogue: 0,0:03:21.32,0:03:24.50,Default,,0000,0000,0000,,Government to reduce its asset ownership. So progressively,
Dialogue: 0,0:03:24.50,0:03:30.00,Default,,0000,0000,0000,,sell off its assets. This is a requirement of Singapore in the Singapore - US
Dialogue: 0,0:03:30.00,0:03:34.37,Default,,0000,0000,0000,,Free Trade Agreement. It could apply to a whole range of State Owned Entities,
Dialogue: 0,0:03:34.37,0:03:40.57,Default,,0000,0000,0000,,including ACC, Pharmac, Zespri, Public Broadcasting, Postal Services,
Dialogue: 0,0:03:40.57,0:03:45.35,Default,,0000,0000,0000,,and many other Government services, anything that could conceiveably be in competition
Dialogue: 0,0:03:45.35,0:03:51.11,Default,,0000,0000,0000,,with a US transnational wanting to do business in New Zealand
Dialogue: 0,0:03:51.11,0:03:59.51,Default,,0000,0000,0000,,The United States has its usual... how shall I say? hypocritical opinion.
Dialogue: 0,0:03:59.51,0:04:05.81,Default,,0000,0000,0000,,Thankyou I was looking for that phrase. [It] will be requiring
Dialogue: 0,0:04:05.81,0:04:10.64,Default,,0000,0000,0000,,exemptions for its own SOEs. And this is not my imagination,
Dialogue: 0,0:04:10.64,0:04:15.35,Default,,0000,0000,0000,,so basically [it] wants to say this applies to you but not to me.
Dialogue: 0,0:04:15.35,0:04:21.04,Default,,0000,0000,0000,,But most importantly it wants to impose a provision for
Dialogue: 0,0:04:21.04,0:04:26.80,Default,,0000,0000,0000,,"Investor - State Dispute Resolution" which is particularly tricky.
Dialogue: 0,0:04:26.80,0:04:31.95,Default,,0000,0000,0000,,What that does is it allows investors to directly sue the Government,
Dialogue: 0,0:04:31.95,0:04:37.94,Default,,0000,0000,0000,,if their profits [and] value [of their] assets [are not paramount].
Dialogue: 0,0:04:37.94,0:04:42.68,Default,,0000,0000,0000,,There's going to be fierce resistance from Vietnam and Malaysia,
Dialogue: 0,0:04:42.68,0:04:47.07,Default,,0000,0000,0000,,who have large and many and very important SOEs, and
Dialogue: 0,0:04:47.07,0:04:50.39,Default,,0000,0000,0000,,Singapore will be pretty unhappy too although it's already tied up.
Dialogue: 0,0:04:50.39,0:04:54.71,Default,,0000,0000,0000,,The ultimate target as I said is actually... seems to be China.
Dialogue: 0,0:04:54.71,0:05:05.11,Default,,0000,0000,0000,,And for that reason, China has said "We're not happy with this
Dialogue: 0,0:05:05.11,0:05:09.66,Default,,0000,0000,0000,,Agreement, we seem to be on the outer on this, we're not
Dialogue: 0,0:05:09.66,0:05:14.19,Default,,0000,0000,0000,,we haven't been consulted over it." But quite fundamentally
Dialogue: 0,0:05:14.19,0:05:19.65,Default,,0000,0000,0000,,China would not enter an agreement like this. And so
Dialogue: 0,0:05:19.65,0:05:25.50,Default,,0000,0000,0000,,it's being seen more and more as actually anti-China... line-up if you like.
Dialogue: 0,0:05:25.50,0:05:32.12,Default,,0000,0000,0000,,So it is giving a foreign policy dimension if you like that will... that threatens
Dialogue: 0,0:05:32.12,0:05:36.76,Default,,0000,0000,0000,,to increase tensions in the Pacific region rather than be "kind of"
Dialogue: 0,0:05:36.76,0:05:38.59,Default,,0000,0000,0000,,a partnership as it's called.