On Monday, U.S. President Donald Trump has formally abandoned the Trans-Pacific Partnership, calling the move “a great thing for the American workers.”

Eight years of trade negotiations, advanced by President Obama’s trade technocrats, have become history.

CGTN’s Daniel Ryntjes reports.Follow Daniel Ryntjes on Twitter @danielryntjes

Singapore’s Prime Minister Lee Hsien Loong warned months ago that scrapping the TPP would damage U.S. credibility in the Asia-Pacific. 

However, during a meeting with American union leaders, Trump said that he would instead advance bilateral trade deals in order to exercise greater leverage.

“We’re going to have trade, but we’re going to have one-on-one. So if somebody misbehaves, we’re going to send them a letter of termination, 30 days. And they will either straighten it out, or we’re gone. Not one of these deals where you can’t get out of them, it’s a disaster. We’re going to have plenty of trade. But TPP wasn’t the right way,” Trump said.

The Obama administration said that China was always welcome to join. However, several aspects of TPP have created high barriers to entry, leading policy experts to conclude that it was effectively a way to counter China’s growing influence. 

Trump has suggested the US adopt a 35 percent border adjustment tax on manufactured goods entering the United States to help revive traditional industrial production. China’s Ministry of Foreign Affairs is warning against protectionism.

“Trade wars or confrontation will produce no winner, but only harm the interests of both and all parties. China and the US should work together to expand cooperation in trade, create a level playing field for trade on the basis of mutual respect, equality and mutual benefit,” Hua Chunying, spokesperson for China’s Ministry of foreign affairs said.

Donald Trump is still exploring a possible renegotiation of the North American Free Trade Agreement or NAFTA, depending on the outcome of talks with the leaders of the two main signatories, Canada and Mexico.

Though many details about Trump’s “America First” approach remain unclear, the White House says abandoning TPP “ushers in a whole new era of trade policy.”

Dan McClory discusses Trump’s withdrawing the USA from the TPP

On Monday, President Donald Trump abandoned the Trans-Pacific Partnership. Many countries, including China and Singapore have warned the economic impact of the move. CGTN’s Mike Walter spoke with Dan McClory, president and head of China for Boustead & Company.