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Trade and Innovation: Report on the Chemicals Sector

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  • Nobuo Kiriyama
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    Abstract

    This study analyses linkages between trade and innovation in the chemicals sector, building on past work at the OECD on trade and innovation. The chemicals sector has a long history of innovation and is a large trading item. It covers very diverse sub-sectors. This paper analyses and compares different trade and innovation linkages in basic industrial chemicals, speciality and fine chemicals and consumer chemicals. This sector has also been a subject of successive rounds of multilateral trade negotiations, and partly as a consequence tariff rates have been reduced over time. Nonetheless remaining tariffs are still non-negligible and constitute impediments to trade. Export restrictive measures on raw material inputs are also being highlighted on the trade negotiating agenda. Moreover, the chemicals sector is heavily regulated for health and environmental reasons and further legislative initiatives have been pursued, whose practical impact on innovation remains to be seen. Intellectual property has played a very important role in technology diffusion in this sector, and infringement of intellectual property continues to be a major problem.

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    File URL: http://dx.doi.org/10.1787/5km69t4hmr6c-en
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    Bibliographic Info

    Paper provided by OECD Publishing in its series OECD Trade Policy Papers with number 103.

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    Date of creation: 29 Sep 2010
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    Handle: RePEc:oec:traaab:103-en

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    Related research

    Keywords: multilateral trade negotiations; intellectual property; technical barriers to trade; financial crisis; innovation; Chemicals Tariff Harmonization Agreement; environmental regulations; chemicals; export restrictive measures; emerging economies;

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