Australia is entering into the biggest trade agreement the world has yet seen – a 15-nation partnership that accounts for nearly a third of global output.

Prime Minister Scott Morrison and Trade Minister Simon Birmingham signed the regional comprehensive economic partnership on Sunday.

The deal covers about 30 per cent of the world’s population.

“This is a huge accomplishment,” Senator Birmingham said.

“This is an incredibly important agreement in terms of the timing … we see huge pressures globally on the trading system and, of course, pressures Australia faces too.”

Wave of the future: Simon Birmingham sees the agreement reshaping Australia’s economic future. Photo: Getty

Aside from goods trading, the agreement also provides a common set of rules for digital trade and intellectual property, while providing better market access for Australia’s services industries, such as financial services, health care and education.

Senator Birmingham was disappointed India was not part of the final agreement, but said it still provided a huge platform for Australia to deliver more exports and create more jobs.

However, he welcomed the fact Australia and China are partners in this agreement, which has been eight years in the making.

“It is an important sign of our willingness to work in regional co-operation and regional economic partnership,” Senator Birmingham said.

“There are difficulties at present and I am deeply concerned by the fact that in a number of areas Chinese regulatory actions have disrupted trade flow.”

Australia, Japan, China, South Korea, New Zealand and the 10 members of ASEAN will be part of the deal.

Business groups saw the trade agreement as critical for Australia’s recovery from the COVID-19 recession.

▪ ASIA-PACIFIC TRADE DEAL

President Moon to take part in signing of Regional Comprehensive Economic Partnership#ASEAN #Pres_Moon #Economic_Partnership pic.twitter.com/1iSv78n7j8

— Arirang News (@arirangtvnews) November 15, 2020

“Australians need jobs and selling more of our world-class products and services to the world is one of the best ways we can create them,” Business Council of Australia chief executive Jennifer Westacott said.

“Our success over the last 30 years has been built on trade and investment with Asia. This agreement will help lock in a new wave of growth and new jobs just when we need it most.”

Australian Industry Group chief executive Innes Willox said the agreement will put Australia and the Asia Pacific region at the forefront of modern trade rules.

“While the FTA gives limited new market access to individual markets, the uniform rules for trading in the region will support regional supply chains and improve the international competitiveness of Australian companies,” he said.

-AAP