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The Analysis of Effects of Enhancement Policies for FTA Export Utilization Rate

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  • Taeil Kang
  • Giseok Nam

Abstract

As the number of FTAs signed by Korea increases, the issue of enhancing utilization in export, which can be called as the fruits of FTAs in terms of trade policies, is attracting a lot of attention. Concerning FTA utilization in export, the government has been making various efforts to increase credibility to origin-related documents including certificate of origin, to increase the approved exporters, and has been spending a lot of financial and human resources on publicity so that more businesses can access the information on origin. These policies taken by the government were confirmed to be mostly useful in enhancing FTA utilization in export by theoretical models and statistical analysis. Even in the case of some policies not confirmed yet, their effects will be proven in the near future through empirical data after the history of FTAs becomes longer. However, there are also some points to be improved to constantly promote FTA utilization. That is, policymakers need to make FTA contracting parties honor the other party’s approved exporter, reduce burdens of FTA utilization caused by post verification, and strengthen cooperation and collaboration with related agencies.

Suggested Citation

  • Taeil Kang & Giseok Nam, 2022. "The Analysis of Effects of Enhancement Policies for FTA Export Utilization Rate," SAGE Open, , vol. 12(2), pages 21582440221, May.
    • Handle: RePEc:sae:sagope:v:12:y:2022:i:2:p:21582440221100442
    DOI: 10.1177/21582440221100442
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    References listed on IDEAS

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    1. Hamanaka, Shintaro, 2013. "A note on detecting biases in assessing the use of FTAs," Journal of Asian Economics, Elsevier, vol. 29(C), pages 24-32.
    2. Bottega, Ana & Romero, João P., 2021. "Innovation, export performance and trade elasticities across different sectors," Structural Change and Economic Dynamics, Elsevier, vol. 58(C), pages 174-184.
    3. Hayakawa, Kazunobu, 2013. "Does the use of multiple FTAs force firms to raise local input share?: Evidence of the spaghetti bowl phenomenon," Economic Modelling, Elsevier, vol. 33(C), pages 458-461.
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