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Product Specific Rules of Origin in EU and US Preferential Trading Arrangements: An Assessment

  • Olivier CADOT

    ()

    (Centre d'Etudes et de Recherches sur le Développement International)

  • Jaime MELO DE

    ()

    (Université Genève)

  • Céline CARRERE

    ()

    (Centre d'Etudes et de Recherches sur le Développement International)

  • Bolormaa TUMURCHUDUR

Building on earlier work by Estevadeordal, we construct a synthetic index (R-index)intending to capture the restrictiveness on market access due to product specific rules of origin (PSRO)that apply at the tariff-line level. The R-index is constructed for rules of origins under NAFTA and under the single list applying to PANEURO, the new regime applying to all EU preferential trade agreements. The R-index highlights how identical PSRO have different impacts across countries, and how the complexity of PSRO varies across sectors. Having controlled for the extent of tariff preference at the tariff-line level, the R-index contributes to account for differences in utilization rates at the tariff line level. The index is then used to assess composition effects across countries subjected to some set of PSRO and to compute estimates of the compliance costs associated with rules of origin under both regimes

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Paper provided by CERDI in its series Working Papers with number 200508.

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Length: 34
Date of creation: 2005
Date of revision:
Publication status: Published in World Trade Review, 2006, pages 199-224
Handle: RePEc:cdi:wpaper:678
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  1. Cadot, Olivier & Carrère, Céline & de Melo, Jaime & Portugal-Pérez, Alberto, 2005. "How Much Market Access in FTAs? Textiles Under NAFTA," CEPR Discussion Papers 5264, C.E.P.R. Discussion Papers.
  2. Kala Krishna & Anne Krueger, 1995. "Implementing Free Trade Areas: Rules of Origin and Hidden Protection," NBER Working Papers 4983, National Bureau of Economic Research, Inc.
  3. Brenton, Paul, 2003. "Integrating the least developed countries into the world trading system : the current impact of EU preferences under everything but arms," Policy Research Working Paper Series 3018, The World Bank.
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