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Regional Trade Agreement, Global Trade Implications: EU-Mercosur Agricultural Trade Liberalization

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  • Heerman, Kari E.R.
  • Riche, Stephanie M.

Abstract

We examine the impact of EU-Mercosur trade liberalization on bilateral trade patterns, both among exporting countries within these trade blocs and with their competitors. We focus in particular on the sensitivity of U.S. agricultural exports to expanded access for Mercosur in the European Union and for the European Union in Mercosur. We find that the U.S. market share is particularly sensitive to such an agreement to the extent that it lowers the trade costs faced by Brazilian and Argentine exporters in E.U. markets. U.S. market share is also vulnerable to increased access for Spain and Italy, but to a much lesser degree.

Suggested Citation

  • Heerman, Kari E.R. & Riche, Stephanie M., 2015. "Regional Trade Agreement, Global Trade Implications: EU-Mercosur Agricultural Trade Liberalization," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205058, Agricultural and Applied Economics Association.
    • Handle: RePEc:ags:aaea15:205058
    DOI: 10.22004/ag.econ.205058
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    Keywords

    Agricultural and Food Policy; International Relations/Trade;

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