Brazil's industry group concerned with TPP impact on production

Brazil's National Confederation of Industry (CNI) Tuesday said it was concerned the Trans-Pacific Partnership (TPP) could potentially harm the nation's productive sector.

The CNI said in a statement that the deal could shrink markets for Brazilian goods among the 12 member states of the TPP, which on Monday signed the free trade agreement after years of negotiation. It now goes to their legislatures, where it must be ratified before taking effect.

The wide-ranging accord, the group said, will have a negative impact on Brazil's trade ties with TPP members, including Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Vietnam.

In 2014, Brazil exported 31 billion U.S. dollars' worth of manufactured goods to these countries, accounting for 35 percent of its entire exports.

"The world is divided into large blocs, and Brazil and the Mercosur (the Southern Common Market) remain isolated," the CNI said.

"With the signing of the treaty, these countries will have fewer tariff and non-tariff barriers as part of intra-bloc trade," the statement said.

As a result of the TPP, Brazil is expected to "lose preference and competitiveness in the U.S., Asia-Pacific and Latin American markets," the group warned.

CNI Director of Industrial Development Carlos Abijaodi said of the TPP that Brazil and Mercosur should speed up their trade talks, especially with the European Union. Endi