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Asian Trade Structures and Trade Potential : An Initial Analysis of South and East Asian Trade

  • Shiro Armstrong

    (Crawford)

  • Peter Drysdale
  • Kaliappa Kalirajan

A frontier of potential trade is constructed for trade flows from a world trade matrix of trade determinants to compare East Asian trade performance with that of South Asia. The results suggest that East Asian trade, led by ASEAN, is outperforming the world while South Asia lags behind significantly. Within East Asia, the transformation of Chianis trade performance is remarkable with its accession to the WTO. Australia is efficiently integrated with East Asia and performing close to its trade frontier. There is scope to lift intraregional trade among the East Asian economies but South Asia has even more unrealised potential, including within its own region.

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File URL: http://www.eaber.org/node/21753
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Paper provided by East Asian Bureau of Economic Research in its series EABER Working Papers with number 21753.

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Date of creation: Jan 2008
Date of revision:
Handle: RePEc:eab:wpaper:21753
Contact details of provider: Postal: JG Crawford Building #13, Asia Pacific School of Economics and Government, Australian National University, ACT 0200
Web page: http://www.eaber.org

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  1. James Harrigan, 2001. "Specialization and the Volume of Trade: Do the Data Obey the Laws?," NBER Working Papers 8675, National Bureau of Economic Research, Inc.
  2. Athukorala, Prema-chandra & Yamashita, Nobuaki, 2006. "Production fragmentation and trade integration: East Asia in a global context," The North American Journal of Economics and Finance, Elsevier, vol. 17(3), pages 233-256, December.
  3. Shiro Armstrong, 2007. "Measuring Trade and Trade Potential : A Survey," Trade Working Papers 21904, East Asian Bureau of Economic Research.
  4. Ross Garnaut & David Vines, 2007. "Regional free-trade areas: sorting out the tangled spaghetti," Oxford Review of Economic Policy, Oxford University Press, vol. 23(3), pages 508-527, Autumn.
  5. Kalirajan, K.P., 2000. "Indian Ocean Rim Association for Regional Cooperation (IOR-ARC): Impact on Australia’s Trade," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 15, pages 533-547.
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