'Positive' sign on free trade pact

China is becoming 'positive' toward the US-led Asia-Pacific free trade agreement, saying it may join the Trans-Pacific Partnership, although it will take time to do so, according to sources at the Ministry of Commerce.

'China is still doing its research (on the TPP),' said a source close to the issue.

Consensus has been reached on the importance of the free trade pact, a step forward from some time ago, when many people were opposed to the proposal, an official told China Daily on condition of anonymity.

The US launched the TPP in 2010 in an attempt to strengthen trade relations with the Asia-Pacific region, and in April participating countries approved Japan joining the TPP talks. Eleven nations are involved, including Canada, Peru, Chile, Vietnam and New Zealand.

The Obama administration hopes to conclude talks on the proposed pact by the end of the year, but many trade experts expect them to stretch into 2014.

With Japan, the world's third-largest economy, on board, the final TPP pact will cover nearly 40 percent of global economic output and one-third of trade worldwide.

Experts said the US sees the TPP as part of its economic rebalancing toward Asia, and also as a response to the growing power of China in Asia and the world. China has repeatedly said it will follow and observe the progress of the TPP, without making its position clear.

But with some government officials recently saying they are willing to research the TPP, China's attitude seems to be changing.

Tian Deyou, deputy director-general of the Department of American and Oceanian Affairs with the Ministry of Commerce, agreed. The Chinese government realizes it's time to change its mind on the matter, he said.

In May, the US Under Secretary of Commerce for International Trade, Francisco J. Sanchez, said the United States would welcome China joining the TPP.

In response, Shen Danyang, a spokesman for the Ministry of Commerce, said China will analyze the possibilities of joining the pact, and assess the pros and cons based on research and the principles of equality and mutual benefit.

Hong Lei, a spokesman for the Ministry of Foreign Affairs, said China is open to all trade pacts that boost the integration and prosperity of the regional economy in Asia, including the TPP.

But there is a long way to go before China could eventually join, as the pact would involve the core interests of many sectors including finance, foreign exchange and State-owned enterprises, Tian said.

Arvind Subramanian, who researches trade issues at the Center for Global Development and the conservative Peterson Institute for International Economics in Washington, said: 'It's not clear to me that the US wants China in the TPP, at least during the negotiating phase, if the whole premise of this is asymmetric globalization. If China is in on the negotiations, they could sink because China's too big.'

With the Doha round of talks under the framework of the World Trade Organization, which were launched more than 10 years ago, stalled, countries worldwide are pursuing new market openings through bilateral and regional trade pacts.