Fifteen Asia Pacific countries have signed the largely China-backed Regional Comprehensive Economic Partnership, otherwise known as RCEP. India, however, is not one of them. The country opted out after negotiations failed to address their concern on the elimination of tariffs, which would open India’s markets to imports and harm local producers. India’s reluctance to free trade agreements is nothing new; according to the Global Trade Alert database, the country comes second, among the larger economies within the G20 group, in imposing restriction on trade. Will India’s withdrawal from the RCEP and its rising protectionism hurt it in the long run?

Image Credit: Shutterstock.com