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Trade policy 2.0 and algorithms: towards the "easification" of FTA implementation

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  • Lucian Cernat

Abstract

The EU is the trading bloc with the most extensive network of bilateral free trade agreements (FTAs). These trade agreements offer tremendous market access opportunities for EU companies. However, FTAs are becoming increasingly complex. Therefore, in trying to cover many trading partners and a growing range of trade-related issues, a critical question emerges: how easy is it for EU firms to understand and take advantage of FTAs? This is a crucial question since a perfectly negotiated FTA offering optimal trade conditions would be useless if no exporter would make use of it. One effective way to facilitate FTA implementation is to rely on a combination of firm-level Trade Policy 2.0 combined with the use of algorithms to codify trade rules in simple online tools for SMEs. This paper describes two concrete examples (ROSA and Access2Procurement) deployed by the EU to "easify" the FTA implementation and ensure that companies can understand their provisions and take advantage of their benefits. L'UE est le bloc commercial qui possède le plus vaste réseau d'accords de libre-échange (ALE) bilatéraux. Ces accords commerciaux offrent d'énormes possibilités d'accès au marché pour les entreprises de l'UE. Toutefois, les ALE sont de plus en plus complexes. Par conséquent, en essayant de couvrir de nombreux partenaires commerciaux et un éventail croissant de questions liées au commerce, une question cruciale se pose : dans quelle mesure est-il facile pour les entreprises de l'UE de comprendre et de tirer parti des ALE ? Il s'agit d'une question cruciale, car un ALE parfaitement négocié offrant des conditions commerciales optimales serait inutile si aucun exportateur n'y a recours. Heureusement, il existe des preuves solides suggérant que les exportateurs utilisent les ALE, y compris les petites et moyennes entreprises (PME). Un moyen efficace de faciliter la mise en œuvre des ALE consiste à s'appuyer sur une combinaison de la politique commerciale 2.0 au niveau de l'entreprise et de l'utilisation d'algorithmes pour codifier les règles commerciales dans des outils en ligne simples pour les PME. Ce document décrit deux exemples concrets (ROSA et Access2Procurement) déployés par l'UE pour "faciliter" la mise en œuvre des ALE et faire en sorte que les entreprises puissent comprendre leurs dispositions et profiter de leurs avantages.

Suggested Citation

  • Lucian Cernat, 2021. "Trade policy 2.0 and algorithms: towards the "easification" of FTA implementation," CIRANO Papers 2021pe-05, CIRANO.
    • Handle: RePEc:cir:circah:2021pe-05
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    File URL: https://cirano.qc.ca/files/publications/2021PE-05.pdf
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    References listed on IDEAS

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    1. David Restrepo-Amariles & Gregory Lewkowicz, 2020. "Unpacking Smart Law," Working Papers hal-03501464, HAL.
    2. James Mohun & Alex Roberts, 2020. "Cracking the code: Rulemaking for humans and machines," OECD Working Papers on Public Governance 42, OECD Publishing.
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