US–Singapore Free Trade Agreement: Implications for Singapore, Australia and other ASEAN Countries

Author(s):  
Jose Tongzon
2019 ◽  
Vol 1 (1) ◽  
pp. 18-37
Author(s):  
Muhammad Arif Junaidi

Using trade flows data of ASEAN countries and China from 2002 to 2017, this studyestimates the impact of ACFTA on ASEAN countries and China’s trade balance in general,and also for Indonesia’s trade balance in specific by elaborating the impact of ACFTA onthe trade flows both exports and imports. Using the gravity model and estimating by OLSand PPML, this paper finds that the impact of tariffs elimination due to the implementationof ACFTA increased exports and imports for ASEAN countries and China in general, andfor Indonesia in particular. However, the aggregate trade balances of ASEAN membercountries and China is zero since the impact of ACFTA on imports offset the impact ofACFTA on exports. Tariff’s elimination due to the implementation of ACFTA on Indonesiashows a negative and statistically insignificant effect on imports and exports. Thus, tariffshave not played significant role on increasing Indonesia’s exports and imports. As a result,the impact of ACFTA on Indonesia’s trade balance cannot be quantified clearly since theimpact of tariffs on exports and imports are not significant.


2010 ◽  
Vol 13 (1) ◽  
pp. 5-22
Author(s):  
Amalia Adininggar Widyasanti

Indonesia has involved in quite many regional trade agreements, since more than a decade ago. Theoritically, Free Trade Agreements (FTAs) are very beneficial to the countries, as resources are more efficiently allocated due to production specialization. However, presence of asymmetric information, market inefficiency, and economic distortion in the real world have led to a deviation of FTAs benefits from its theoritical framework. This paper studies whether Indonesian export competitiveness is improving after Indonesia involves in ASEAN Free Trade Agreement (AFTA) and ASEAN-Cina Free Trade Agreement (ACFTA). Export competitiveness are measured by some trade indicators, such as: trade intensity index, market share, export product dynamics, and RCA, for some Indonesian main export products. The indices are compared across ASEAN countries and Cina to reveal: (i) which products are gaining or losingcompetitiveness in ASEAN and Cina markets; and (ii) which countries are  becoming Indonesian main competitors in ASEAN and Cina markets. Additionally, this paper ends up with some policy recommendations that Indonesia should undertake to improve competitiveness of its products in ASEAN and Cina markets.JEL Classification: R11, F16Keywords: FTA, export competitiveness, Indonesia


Author(s):  
Parul Bajaj ◽  
Anuj Sharma

The trade agreement in goods between India and ASEAN became operational in January, 2010. The paper attempts an enquiry into the Tariff concession given to India by the ASEAN countries in the electrical goods sector and also attempts to identify product lines at HS 4 levels sub segments in the same where there could be possibility for the exports to increase due to tariff cuts in the significant product categories as the two regions become more important trading partners in times to come. The paper will also give an overview of the tariff cuts in the identified tariff lines given by the ASEAN nations to India.


2010 ◽  
Vol 13 (1) ◽  
pp. 5-22
Author(s):  
Amalia Adininggar Widyasanti

Indonesia has involved in quite many regional trade agreements, since more than a decade ago. Theoritically, Free Trade Agreements (FTAs) are very beneficial to the countries, as resources are more efficiently allocated due to production specialization. However, presence of asymmetric information, market inefficiency, and economic distortion in the real world have led to a deviation of FTAs benefits from its theoritical framework. This paper studies whether Indonesian export competitiveness is improving after Indonesia involves in ASEAN Free Trade Agreement (AFTA) and ASEAN-Cina Free Trade Agreement (ACFTA). Export competitiveness are measured by some trade indicators, such as: trade intensity index, market share, export product dynamics, and RCA, for some Indonesian main export products. The indices are compared across ASEAN countries and Cina to reveal: (i) which products are gaining or losingcompetitiveness in ASEAN and Cina markets; and (ii) which countries are  becoming Indonesian main competitors in ASEAN and Cina markets. Additionally, this paper ends up with some policy recommendations that Indonesia should undertake to improve competitiveness of its products in ASEAN and Cina markets.JEL Classification: R11, F16Keywords: FTA, export competitiveness, Indonesia


2021 ◽  
Vol 36 (3) ◽  
pp. 437-461
Author(s):  
Shandre M. Thangavelu ◽  
Dionisius Narjoko ◽  
Shujiro Urata

This study examines the impact of the Association of Southeast Asian Nations (ASEAN)-Australia-New Zealand Free Trade Agreement (AANZFTA) on Australian trade with a particular focus on imports from ASEAN member countries to Australia. We examine the AANZFTA’s utilization by ten ASEAN countries at the six-digit trade classification level from 2012 to 2016 using Australian customs data. We implement Ando and Urata’s (2018) and Hayakawa et al.’s (2014) framework of free trade agreement (FTA) utilization based on preferential tariff margins. We also account for overlapping FTAs that are likely to impact the AANZFTA’s utilization. The results indicate that preferential tariff margins positively impact FTA utilization. However, the results also indicate that the AANZFTA’s utilization rate across ASEAN countries is low relative to Australia’s bilateral FTAs with Malaysia, Thailand, and Singapore. We also find evidence that co-sharing rules of origin positively impact FTA utilization.


2011 ◽  
Vol 10 (1) ◽  
pp. 36-52
Author(s):  
Bogusława Skulska

Process of the Economic Integration of China with Asean Countries. An OverviewChina occupies an important economic position in Eastern Asia, accounting for circa 60% of trade turnover and capital flows in the region. Based on the regional production network in Eastern Asia, the Chinese economy might constitute an integral part of the regional market. China is interested in a liberal, secure and stable regional market which promotes the adoption of an active role of a participant and promoter of regional trade agreements (RTA) by China, i.e. the free trade agreement China - ASEAN, proposed trilateral free trade agreement of South-Eastern Asia, or EAFTA. China is also interested in participating in and promoting regional monetary and financial cooperation, for example as part of the Chiang Mai Initiative and the development of the regional capital market. The Chinese concept of regionalism is complex due to the diversity of the neighbouring geographic areas. Despite the attachment of China to the ASEAN+3 variant, this country is relatively flexible in its approach to the form and nature of its own participation in multi-dimensional integrations structures, i.e. EAS1. At the same time China has made effort for developing institution outside the regional, i.e. for example SOC, potential security system for the North-Eastern Asia based on Hexalateral Talks.


Asian Survey ◽  
2003 ◽  
Vol 43 (3) ◽  
pp. 507-526 ◽  
Author(s):  
John Wong ◽  
Sarah Chan

The China-ASEAN Free Trade Agreement has been hailed as a landmark pact in pushing for freer trade between China and the ASEAN countries. With the establishment of the free trade zone, trade and investment between the Chinese and ASEAN economies are expected to increase significantly; but while the economic benefits are inexorable, the extent of gains derived from closer integration hinges on the Sino-ASEAN economic relationship, which is both complementary and competitive in nature. At the present stage of development, China and ASEAN are more competitive than complementary, given the similarity in their trade and industrial structures. ASEAN and China are also direct competitors for foreign investment, rather than significant investors in each other's economies. Despite these challenges, the prospects for bilateral trade to flourish are bright if both China and ASEAN can interlock their economies through deeper integration in the long term.


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