Dallas, Texas 06/25/2015 (Financialstrend) – Companies like NIKE, Inc. (NYSE:NKE), General Electric Company (NYSE:GE), and United Parcel Service, Inc. (NYSE:UPS) to benefit as U.S. President Barrack Obama is close to sweeping trade accord with Trans-Pacific Partnership in order to increase the pacific trade. Major companies are looking to increase their business and lower import costs while increasing employment and even increases certainty of investing. However, the Labor groups are against the policy as they think the U.S Citizen jobs will be transferred to the other country affecting the small business units.
The Bill was presented to both the houses and the President aligned himself with congressional Republicans to reach the 60-38 voting giving him more authority for granting. The Bill is already approved by the U.S. House of Representatives and sent to Obama for signature. The senate is working on the federal assistance program in order to help the workers losing jobs on trade agreements. Reducing the tariff on cross border sales will directly benefit the apparel and shoe companies based in Vietnam and China.
NIKE, Inc. (NYSE:NKE) and General Electric Company (NYSE:GE) stated that the trade agreement will increase the manufacturing of products and jobs along with exports which is expected to see an increase of 20%.
Trade deal will benefit companies such as Pfizer Inc. (NYSE:PFE), Merck & Co., Inc. (NYSE:MRK), and GlaxoSmithKline plc (ADR) (NYSE:GSK) by restricting the lower cost drugs entering the foreign markets.
Farmers will benefit by trade agreement as it will increase the exports of Poultry and reduce the cost. Small farmers will be affected as large scale production to lower-cost sections.
Labor are unhappy with the agreement as it will move jobs from U.S to other countries. The most affected ones will be call center and other non-manufacturing positions.