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1 – 10 of over 1000Jung Taik Hyun and Jin Young Hong
The economic success of East Asia was due to an export-led growth strategy, which was heavily dependent on the global trading system underpinned by the General Agreement on…
Abstract
The economic success of East Asia was due to an export-led growth strategy, which was heavily dependent on the global trading system underpinned by the General Agreement on Tariffs and Trade (GATT) and the World Trade Organization (WTO). In recent years, however; East Asian countries have shifted their trade policy focus to regional agreements and made Free Trade Agreements (FTAs) among themselves arid with other regions. Government organization has been restructured to increase FTA activities. Generally, the current literature predicts that FTA activities of East Asia would help to increase the welfare of the region. In this paper; we offer a critical assessment of East Asia FTAs. We note that East Asia FTAs provide incomplete coverage of sectors and are likely to lead to an inefficient resource allocation. FTA movements are not matched with actual trade flows. The benefits of East Asia FTAs are fairly limited and potential benefits, if any, would not likely be materialized in the near future. Our overall assessment is that the recent policy shift in East Asian countries from multilateral trade orientation or unilateral action to regionalism or a parallel multilateral and regional trade approach will not produce much gain. The governments should increase their efforts at economic reform and reduce barriers to trade and investment, rather than to allocate more resource and manpower to FTA activities.
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Philipp Galkin, Carlo Andrea Bollino and Tarek Atalla
China is a major energy import powerhouse, its trade deals have significant impact on international energy trade and global energy markets. The purpose of this paper is to explore…
Abstract
Purpose
China is a major energy import powerhouse, its trade deals have significant impact on international energy trade and global energy markets. The purpose of this paper is to explore the role of energy in China’s preferential trade agreements (PTAs) and their impact on Chinese imports of oil, gas and coal.
Design/methodology/approach
An extended trade gravity model framework is applied to explore the dynamics of China’s annualized energy import flows from the 22 economies that have PTAs with it for the period 1995–2015.
Findings
The effect of PTAs on trade patterns varies across the product groups and agreement clauses. The dominant factor affecting trade flows of coal, crude oil and oil products is the average tariff level. Its impact is less significant for gas imports, which are more affected by policy arrangements represented by a PTA variable. The depth and scope of a PTA do not affect Chinese energy imports patterns.
Research limitations/implications
This paper is focused on exploring the effect of China’s trade and foreign relations strategies on its energy imports through the prism of its PTAs. Estimating the direct impact of China’s initiatives in the areas of trade, investment, security, culture, etc., on its trade flows of energy products and other product groups using the methodological framework proposed in this study would contribute to better understanding of the issue.
Practical implications
The findings can assist both China and energy exporting countries that target Chinese market in better understanding the drivers of trade flows of energy products and design their PTA strategies accordingly.
Originality/value
This study applies the trade gravity model framework to assess the impact of specific components of preferential trade agreements – tariff reduction and depth and scope of agreement – on energy trade flows differentiated by product group.
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This paper examines the influence Japan’s participation in the TPP negotiations will have on the course of subsequent East Asian economic integration, and mainly from the…
Abstract
This paper examines the influence Japan’s participation in the TPP negotiations will have on the course of subsequent East Asian economic integration, and mainly from the perspective of the three Northeast Asian countries of Japan, China and the ROK. In the first half, as a premise thereto, we first bring together the development of the FTA policies of China, the ROK and Japan, and then the connections with East Asian economic integration.
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The government of Korea considers the promotion of Free Trade Agreements (FTA) as necessary to develop its economy into an open trading nation. As for the countries with which the…
Abstract
The government of Korea considers the promotion of Free Trade Agreements (FTA) as necessary to develop its economy into an open trading nation. As for the countries with which the Korean government is actively investigating possible FTAs, there are Japan, Singapore, the Association of South East Asian Nations (ASEAN,) and Mexico. For the time-being, the FTA with Japan seems to be a critical one in practicing Korea s FTA policy. Recently, Korean industries show negative positions against a Korea-Japan FTA, with strong opposition from the labor union insisting that it is evident that Korea will sustain damages in the short-run and the dynamic (long-term) benefits are still ambiguous and uncertain. Regardless of whether their argument is correct or not, it will be difficult for Korea to conclude the FTA with Japan unless there is concrete confidence of balanced economic gains through the FTA between the two countries.
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Economists along with policy makers are generally viewing trade agreements as a “second best” process for trade expansion and economic growth on a global scale. The current surge…
Abstract
Economists along with policy makers are generally viewing trade agreements as a “second best” process for trade expansion and economic growth on a global scale. The current surge of preferential trade arrangements on a bilateral basis, particularly in Asia, is somehow challenging such common view. The following paper is based on updated rough facts and put forward that the standard economic approach is a bit flawed. Obviously, the outcomes and prospects for Asian countries seem much more problematic insofar as power asymmetry and discrimination are embedded in these agreements.
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This paper aims to explore the contours of the future intellectual property (IP) protocol of the African Continental Free Trade Area (AfCFTA) Agreement.
Abstract
Purpose
This paper aims to explore the contours of the future intellectual property (IP) protocol of the African Continental Free Trade Area (AfCFTA) Agreement.
Design/methodology/approach
This paper frames the IP protocol within the architecture of the AfCFTA Agreement, meaning that it will follow the structure of other protocols and will be guided by the Agreement’s foundational principles and objectives. With the place, shape and form of the protocol so established, the paper considers the substantive aspects that ought to be addressed. It also considers provisions on technical assistance, capacity building and cooperation.
Findings
The paper finds that the Tripartite Free Trade Phase 2 IP agenda is a credible starting place, which must be broadened to better meet gendered challenges and the continent’s developmental priorities. This will entail including provisions on specific aspects enumerated in the paper, which must be aligned with provisions on technical assistance, capacity building and cooperation to enhance implementation. The best outcomes in the negotiation, adoption and implementation of the IP protocol will be achieved by an inclusive approach incorporating all national, sub-regional and regional institutions guided by coherent policy and coordinated to ensure efficiency in resources and capacity mobilisation.
Originality/value
To the best of the author’s knowledge, this is the first paper to formally consider both the architecture and substantive provisions of the future AfCFTA IP protocol with specific focus on gendered dimensions.
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Vietnam has been actively integrated into a multilateral trading system based on its accession to the WTO and the implementation of a series of ASEAN+1 FTAs. Now Vietnam is…
Abstract
Vietnam has been actively integrated into a multilateral trading system based on its accession to the WTO and the implementation of a series of ASEAN+1 FTAs. Now Vietnam is negotiating to be a member of the Trans-Pacific Partnership (TPP) agreement, which is a region-wide FTA in the Asia-Pacific region, and a total of 21 working groups have been negotiating 29 chapters of the TPP. This paper tries to assess major issues of Vietnam’s joining the TPP, and to draw policy implications such as initiatives for Vietnam’s acceleration of its renovation and economic restructuring programs; and domestic measures for facilitating FTA implementation by firms and enhancing the country's implementation capacity.
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Kyong Han Lee and Sang-Yoon Lee
The purpose of this study is to empirically analyze the impact of logistics efficiency on trade volume growth, and to examine the effects of lower tariffs resulting from free trade…
Abstract
The purpose of this study is to empirically analyze the impact of logistics efficiency on trade volume growth, and to examine the effects of lower tariffs resulting from free trade agreements. In order to measure the impact of logistics efficiency on trade volume growth, the export and import trade volume among 53 countries was introduced as the dependent variable. Macroeconomic indicators including annual average tariff rate, logistics efficiency indicators for port, air, railroad, road and container vessel connectivity, as well as dummy variables such as whether a free trade agreement was signed, were introduced as the explanatory variables. Bilateral panel data between trading nations was used to estimate the gravity panel model, and analysis followed the categorization: 1) separate inputs of the five logistics efficiency variables and 2) one aggregated input of the five variables as a single indicator. The analysis found that logistics efficiency had a statistically significant impact on bilateral trade volume growth, while the impact of lowering tariff rates on increasing trade was insignificant. In addition, logistics efficiency was found to have a greater impact on increasing trade volume than free trade agreements. These results imply that trade can be promoted more effectively by establishing and efficiently operating logistics-related infrastructure rather than traditional methods of reducing trade barriers such as lowering tariffs and signing free trade agreements.
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Since the financial crisis, East Asian countries have worked on bilateral/regional Free Trade Agreements (FTAs). Currently, East Asian countries are working on over 30 FTAs. So…
Abstract
Since the financial crisis, East Asian countries have worked on bilateral/regional Free Trade Agreements (FTAs). Currently, East Asian countries are working on over 30 FTAs. So far, the United States (U.S.) has exerted its considerable political and economic power in East Asia, but its political and diplomatic position is increasingly shaky for many reasons-emergence of China’s economic and military strength, growing regionalism in East Asia, weakening influence of the Asia Pacific Economic Conference (APEC) forum, and growing anti-American sentiment after the anti-terrorism war. The U.S. will be even more concerned about the development of FTAs in East Asia, since the country will suffer economic and non-economic losses when the East Asian regionalism is developed. This article evaluates a U.S.-Korea FTA in terms of U.S. involvement in East Asian regionalism, and tries to provide an economic assessment of the FTA. This article points out that the U.S. should take advantage of the U.S.-Korea FTA to secure its interests in East Asia and to avoid exclusion from East Asian regional economic integration.
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Paul T-W Lee, Tsung-Chen Lee and Tzu-Han Yang
This paper aims to explore the impacts of the recent development of Korean free trade agreements (FTAs) on its seaborne trade volumes. The paper firstly estimates the changes in…
Abstract
This paper aims to explore the impacts of the recent development of Korean free trade agreements (FTAs) on its seaborne trade volumes. The paper firstly estimates the changes in cargo value flows caused by Korea-EU FTA, Korea-USA FTA and Korea-ASEAN FTA using a global computable general equilibrium model named Global Trade Analysis Project (GTAP) and its most recent database - version 7 with 2004 as the base year. Then a set of systematic conversion factors transferring trade value flows to volume flows of different types of commodities is calibrated according to the United Nations COMTRADE database and is used to convert the GTAP trade value flows into volume flows. Having indentified maritime cargo flows by different commodity types, this paper attempts to draw implications for maritime logistics policy in order to facilitate the trade of Korean merchandises and to propose key competitive strategy for the maritime container transport networking and logistics service providers in the Korean logistics industry.
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