IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

ASEAN’s Preferential Trade Agreements (PTA) Strategy

  • Guanyi Leu

    ()

Registered author(s):

    This paper provides a diversification explanation in order understand the development of PTAs in Southeast Asia. I argue that an important reason why ASEAN states participate in PTAs has been to diversify existing trade ties and to reduce overdependence on a narrow range of export markets. Southeast Asian countries have formed PTAs with markets with which they had weak or unexplored economic relations, as demonstrated by three case analyses: the ASEAN Free Trade Area (AFTA), the ASEAN-China Free Trade Agreement (ACFTA) and the ASEAN-Japan Comprehensive Economic Partnership Agreement (AJCEP). To maximise the economic gains and the diversification effects of PTA participation, ASEAN countries have pursued a strategy of strengthening economic unity while keeping external economic linkages as diversified as possible. Although East Asia, and especially China, was an important alternative market to reduce ASEAN’s dependence on trade with America, ASEAN countries have also pursued PTAs with a number of other trading partners. This paper explains how PTAs have helped ASEAN states to develop more policy autonomy in their trading environment.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://hup.sub.uni-hamburg.de/giga/jsaa/article/view/444/442
    Download Restriction: no

    Article provided by Institute of Asian Studies, GIGA German Institute of Global and Area Studies, Hamburg in its journal Journal of Current Southeast Asian Affairs.

    Volume (Year): 30 (2011)
    Issue (Month): 2 ()
    Pages: 31-64

    as
    in new window

    Handle: RePEc:gig:soaktu:v:30:y:2011:i:2:p:31-64
    Contact details of provider: Postal:
    Neuer Jungfernstieg 21, D-20354 Hamburg

    Phone: +49 (0)40 42825-593
    Fax: +49 (0)40 42825-547
    Web page: http://www.currentsoutheastasianaffairs.org
    Email:


    More information through EDIRC

    Order Information: Web: http://www.giga-hamburg.de/suedostasien-aktuell Email:


    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as in new window
    1. Chase, Kerry A., 2003. "Economic Interests and Regional Trading Arrangements: The Case of NAFTA," International Organization, Cambridge University Press, vol. 57(01), pages 137-174, December.
    2. Kimberly Ann Elliott & Thomas O. Bayard, 1994. "Reciprocity and Retaliation in U.S. Trade Policy," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 78, January.
    3. Kreinin, Mordechai E. & Plummer, Michael G., 2008. "Effects of regional integration on FDI: An empirical approach," Journal of Asian Economics, Elsevier, vol. 19(5-6), pages 447-454.
    4. Jose L. Tongzon, 2005. "ASEAN-China Free Trade Area: A Bane or Boon for ASEAN Countries?," The World Economy, Wiley Blackwell, vol. 28(2), pages 191-210, 02.
    5. Baldwin, Richard, 1997. "The Causes of Regionalism," CEPR Discussion Papers 1599, C.E.P.R. Discussion Papers.
    6. Drezner, Daniel W., 2003. "The Hidden Hand of Economic Coercion," International Organization, Cambridge University Press, vol. 57(03), pages 643-659, June.
    7. Takashi Terada, 2006. "The Making of Asia's First Bilateral FTA: Origins and Regional Implications of the Japan-Singapore Economic Partnership Agreement," Asia Pacific Economic Papers 354, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
    8. Kensuke Tanaka, 2011. "China's Ties with Southeast Asia : From Green Shoots to Sustained Recovery," Working Papers PB-2011-02, Economic Research Institute for ASEAN and East Asia (ERIA).
    9. Arvind Panagariya, 2000. "Preferential Trade Liberalization: The Traditional Theory and New Developments," Journal of Economic Literature, American Economic Association, vol. 38(2), pages 287-331, June.
    10. Mansfield, Edward D. & Reinhardt, Eric, 2008. "International Institutions and the Volatility of International Trade," International Organization, Cambridge University Press, vol. 62(04), pages 621-652, October.
    11. Richard Pomfret, 2006. "Is Regionalism an Increasing Feature of the World Economy?," The Institute for International Integration Studies Discussion Paper Series iiisdp164, IIIS.
    12. Takashi Terada, 2006. "The Making of Asia’s First Bilateral FTA : Origins and Regional Implications of the Japan–Singapore Economic Partnership Agreement," Trade Working Papers 21838, East Asian Bureau of Economic Research.
    13. Elkins, Zachary & Guzman, Andrew T. & Simmons, Beth A., 2006. "Competing for Capital: The Diffusion of Bilateral Investment Treaties, 1960 2000," International Organization, Cambridge University Press, vol. 60(04), pages 811-846, October.
    14. Fernández, Raquel, 1997. "Returns to Regionalism: An Evaluation of Non-traditional Gains from RTAs," CEPR Discussion Papers 1634, C.E.P.R. Discussion Papers.
    15. Milner, Helen V. & Kubota, Keiko, 2005. "Why the Move to Free Trade? Democracy and Trade Policy in the Developing Countries," International Organization, Cambridge University Press, vol. 59(01), pages 107-143, January.
    16. Yunhua Liu & Beoy Kui Ng, 2010. "Facing the Challenge of the Rising Chinese Economy: ASEAN's Responses," Review of Development Economics, Wiley Blackwell, vol. 14(s1), pages 666-682, 08.
    17. Dieter Ernst, 1999. "Responses to the Crisis Constraints to a Rapid Trade Adjustment in East Asia´s Electronics Industry," DRUID Working Papers 99-2, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:gig:soaktu:v:30:y:2011:i:2:p:31-64. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Marco Bünte)

    or (Howard Loewen)

    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.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.