IDEAS home Printed from https://ideas.repec.org/a/eri/review/1243-67.html
   My bibliography  Save this article

Impacts of Mongolian FTAs with the Countries in Northeast Asia: CGE Analysis with the GTAP 8 Data Base

Author

Listed:
  • Sh. Enkhbayar

    (Economic Research Institute for Northeast Asia (ERINA))

  • Tomoyoshi Nakajima

    (Economic Research Institute for Northeast Asia (ERINA))

Abstract

Having joined the WTO in 1997, Mongolia is a country with relatively liberal trade policies; but the country is not yet party to any regional or bilateral free trade agreements (FTAs). At the outset toward further robust economic development, Mongolia is keen to diversify its export markets. Recently, Mongolia began talks on concluding an EPA (Economic Partnership Agreement) with Japan. An analysis using the CGE model and employing the Global Trade Analysis Project (GTAP) 8 Data Base revealed that the macroeconomic impacts of Mongolia’s bilateral FTAs with the four Northeast Asian countries of Russia, the ROK, Japan and China—Mongolia’s major trading partners—would be almost negligible. This result was consistent with the fact that currently Mongolia’s import tariff rates are already relatively low and the partner countries exercise almost near zero-tariffs for Mongolia’s major export commodities, of mining and livestock origin. Raw materials or low value-added products of mining or livestock origin account for more than 90% of the country's total exports. However, some of Mongolia's manufacturing industries, such as textiles and apparel, leather and meat products can expect positive changes in their value-added along with increases of export sales. Also, these sectors would be the greatest potential sources of employment generation in Mongolia. Yet due to the relatively small shares of these products within Mongolia’s exports, their impacts on the country's GDP were very small. Therefore, Mongolia needs to promote high value-added, export-oriented industries if the economy aims to benefit from free trade agreements with its trading partners.

Suggested Citation

  • Sh. Enkhbayar & Tomoyoshi Nakajima, 2013. "Impacts of Mongolian FTAs with the Countries in Northeast Asia: CGE Analysis with the GTAP 8 Data Base," The Northeast Asian Economic Review, ERINA - Economic Research Institute for Northeast Asia, vol. 1(2), pages 43-67, December.
  • Handle: RePEc:eri:review:1:2:43-67
    as

    Download full text from publisher

    File URL: https://www.unii.ac.jp/erina-unp/archive/en/wp-content/uploads/2018/05/naer12-4_tssc.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Shagdar, Enkhbayar & Nakajima, Tomoyoshi, 2020. "Economic Impacts to Be Brought by the DPRK’s Return to International Society: CGE Analysis with the GTAP 9A Data Base," Conference papers 333199, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    2. Enkhbayar Shagdar & Tomoyoshi Nakajima, 2018. "Economic Effects of Free Trade Agreements in Northeast Asia: CGE Analysis with the GTAP 9.0a Data Base," The Northeast Asian Economic Review, ERINA - Economic Research Institute for Northeast Asia, vol. 6(1), pages 37-53, July.
    3. Enkhbayar Shagdar & Nakajima Tomoyoshi, 2018. "Economic Effects of Free Trade Agreements in Northeast Asia: CGE Analysis with the GTAP 9.0a Data Base," The Northeast Asian Economic Review, ERINA - Economic Research Institute for Northeast Asia, vol. 6(1), pages 37-53, July.
    4. Enkhbayar Shagdar & Tomoyoshi Nakajima, 2018. "Economic Effects of the USA - China Trade War: CGE Analysis with the GTAP 9.0a Data Base," Discussion papers 1806, ERINA - Economic Research Institute for Northeast Asia.
    5. Enkhbayar Shagdar & Tomoyoshi Nakajima, 2018. "Economic Effects of the USA - China Trade War: CGE Analysis with the GTAP 9.0a Data Base," Discussion papers 1806e, ERINA - Economic Research Institute for Northeast Asia.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eri:review:1:2:43-67. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Hirofumi Arai (email available below). General contact details of provider: https://edirc.repec.org/data/erinajp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.