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Effects of the Emerging Multilateral Trading Arrangement on the Malaysian Economy

Author

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  • Mohamed Ariff
  • Mahani Zainal Abidin
  • Eu Chye Tan

Abstract

Because it is a country with relatively large export orientation, Malaysia is likely to benefit from the emerging multilateral trading arrangement through improvements in market access, gains due to competition, and strengthened international trade regulations. Despite this optimism, there are concerns about the effect of liberalization because major industrial exports may not grow much more due to the low Pre-Uruguay Round tariff rates. Furthermore, Malaysia’s services sector may face new challenges in the areas of domestic production capability, regulatory environment, and trade. Similarly, the inclusion of trade-related intellectual property rights and antidumping provisions means that exporters will need special help in adapting to the new trading system. Malaysia’s immediate concern is the successful implementation of the present arrangement and is apprehensive about the presence of issues such as labor standards and environment on the trade agenda. In its view these are not trade issues.

Suggested Citation

  • Mohamed Ariff & Mahani Zainal Abidin & Eu Chye Tan, 1996. "Effects of the Emerging Multilateral Trading Arrangement on the Malaysian Economy," Asian Development Review (ADR), World Scientific Publishing Co. Pte. Ltd., vol. 14(02), pages 44-72.
    • Handle: RePEc:wsi:adrxxx:v:14:y:1996:i:02:n:s0116110596000085
    DOI: 10.1142/S0116110596000085
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