China's Free Trade Negotiations: Economics, Security, and Diplomacy

Author(s):  
S. Hoadley ◽  
J. Yang
Author(s):  
Badar Iqbal ◽  
Munir Hasan

More than 11 years have passed and Doha Development Round (DDR) has been in the doldrums, having full uncertainties that may result in closure. Trade negotiations are at a standstill, resulting in revivalism of trade protectionism in the name of “new regionalism” or preferential agreements (India-Japan, India-EU). This would lead to dismantling multilateral trading system for which World Trade Organization was created in January 1995. It is vital to protect and preserve the gains of the WTO in a variety of related areas. Therefore, the success of a multilateral trading system is imperative, and this could only be possible when DDR is successful and revivalism takes place. If impasse is continued, the concept and practices of free trade would be transformed into trade protectionism in the name of new regionalism. If it happens, then the future of global trade is uncertain and there would be enormous loss of potential and opportunities of creation of trade, and no country could afford it. Doha is stuck. Where do we go from here? The present chapter analyses the issues relating to the closure vs. success of the DDR. Every effort must be made to keep it alive both in the interest of mankind and the globe. If in 12th round, nothing concrete comes up, then the member countries are thinking and planning to replace it by Global Recovery Round (GRR), which is becoming more significant to deal with. Hence, this chapter attempts to examine the three options, namely closure, revival, and replace.


Author(s):  
Peter Debaere ◽  
Christine Davies

This case describes and analyzes the negotiations surrounding the U.S.–Thailand free trade agreement (FTA) that never materialized. The case offers an excellent opportunity to discuss the complexities of trade negotiations, the welfare analyses of FTAs (with trade diversion and creation), and the growth of FTAs and customs unions (CUs) as opposed to multilateral trade liberalizations.


2008 ◽  
Vol 40 (2) ◽  
pp. 225-249 ◽  
Author(s):  
JESSICA LEIGHT

AbstractThe 2003 US-Chile free trade agreement, regarded by many as consistent with Chile's long-held trade liberalisation strategy, nonetheless engendered a surprisingly vigorous debate focused on the proposed elimination of the bandas de precio protecting traditional agricultural crops. Opposition to the agreement, mounted by the conservative Alianza por Chile, offers an intriguing political case study that suggests that populist posturing surrounding free trade agreements may persist long after a trade liberalisation strategy has become well-established. This article argues that agricultural liberalisation will be a significant challenge for Chile's governing coalition if it wishes to pursue trade negotiations while seeking to avoid costly political battles at home over the economic costs of abandoning price supports and the challenges of ‘reconverting’ to an export-oriented sector. Even given the strong elite consensus around trade liberalisation in Chile, the interconnections between sectoral interest groups, domestic politics and trade negotiations remain relevant, and deserving of analytical attention.


2004 ◽  
Vol 20 ◽  
pp. 95-111
Author(s):  
Jose L. Tongzon

The World Trade Organization (WTO) (formerly GATT) was established primarily to achieve free trade across the globe based on the principle of non-discrimination and the process of multilateral trade negotiations. The fact that most countries are members of WTO reflects the worldwide belief in the benefits of a global free trade. Despite its achievements since the first round of multilateral trade negotiations was held, the effectiveness of the process has been called into question. Most WTO members are now proposing new regional trading arrangements (RTAs), such as free trade agreements (FTAs). What implication does these RTAs have for the WTO and ASEAN countries? Should ASEAN countries give regionalism priority over the WTO-based multilateral approach? To answer this questions, this paper will first summarize the motivations behind the formation of RTAs before presenting the merits and demerits of RTAs as an approach to achieve universal free trade and maximize developing countries' welfare. It is argued that despite its inherent limitations it is important for ASEAN countries to remain primarily committed to the principles of WTO and the process of multilateral trade negotiations.


2005 ◽  
Vol 22 (1) ◽  
pp. 81-135
Author(s):  
Gerald J. Schmitz-Le Grand

This article with minor revisions, was originally presented as a paper at the annual meeting of the Canadian Political Science Association in Victoria, B.C., May 27, 1990. Since then, Canada has been accused of simply following Washington's lead in sending troops to the Gulfand in seeking to join United States-Mexico free trade negotiations. These developments do not alter the paper's challenging conclusion : namely, that the current bilateral free-trade regime neither obliges nor justifies a subordinate Canadian foreign policy — however much the terms of the Free Trade Agreement may impinge on the international dimensions of some Canadian policies (e.g., on energy and investment), and notwithstanding the potential momentum (but uncertain prospects) of North American integration. Free trade, in fact seems to have increased, not reduced, the salience of the national question in Canada. As well, the Gulf crisis is a test more of United Nations resolve than bilateral solidarity. And on the trade front, Canada has been reminded of the extent to which it remains on its own. U.S. negotiators were angered by Canada's middle-ground position on agricultural subsidies - the issue over which GATT talks collapsed, increasing Canadian vulnerability. Moreover, Canadian participation in U.S.Mexico trade negotiations has been privately less welcome than the official public rhetoric suggests. More than ever perhaps, Canadian national interests depend on strong international diplomacy mode no less necessary, if arguably encumbered, by the evolving context of continental free trade.


1970 ◽  
Vol 27 (1) ◽  
pp. 75-91
Author(s):  
Hiranya Nath ◽  
Halis Yildiz

Following the failure of multilateral trade negotiations at the Cancun meetingand the Doha Round, developing countries have pursued an alternative in so called"south-south" trade agreements. Since these agreements lead to trade diversionfrom efficient north (developed) countries to less efficient south (developing)partners, there have been widespread concerns regarding their welfare implications.Using a three country oligopoly model of trade, we first examine staticallythe implications of a south-south customs union (CU) on the pattern of tariffs andwelfare. We find that south countries always have incentives to form a CU that reducesthe welfare of the north country. Moreover, when south firms are sufficientlyinefficient relative to north firms, a south-south CU leads to a large trade diversioneffect and reduces world welfare. We further show that, in a repeated interactionmodel, free trade is less likely to be sustainable under the south-south CU relativeto no agreement.


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