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ASEAN Rules of Origin: Lessons and Recommendations for Best Practice

Author

Listed:
  • Erlinda M. MEDALLA

    (Philippine Institute for Development Studies (PIDS), Philippines.)

  • Jenny BALBOA

    (Philippine Institute for Development Studies (PIDS), Philippines.)

Abstract

Rules of Origin (ROO) set the criteria in determining the nationality of a product and where a product was made. The importance of ROO has increased in the past years as more countries engage in Free Trade Agreements (FTAs) and begun treating goods differently according to where the product was made, along with trade-specific preferences or restrictions to the imported good once its origin is determined. This study is done to cull the lessons from ASEAN's experience in determining and implementing the Rules of Origin. It draws the important lessons and makes recommendations for best practice that would contribute to the cooperation and integration efforts in the region. The paper examines the various design and implementation practice in ROO regimes, focusing on RTAs where the ASEAN is involved. The paper presents findings from recent studies on the cost of ROO compliance and the FTA utilization rates. It concludes with recommendations on simplification of ROO and some reforms on administrative procedures, bringing in the development country dimension, and some general guidelines to follow to improve ROOs.

Suggested Citation

  • Erlinda M. MEDALLA & Jenny BALBOA, 2009. "ASEAN Rules of Origin: Lessons and Recommendations for Best Practice," Working Papers d020, Economic Research Institute for ASEAN and East Asia (ERIA).
  • Handle: RePEc:era:wpaper:d020
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    File URL: http://www.eria.org/ERIA-DP-2009-17.pdf
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    Citations

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    Cited by:

    1. Mari PANGESTU & Lili Yan ING, 2015. "ASEAN: Regional Integration and Reforms," Working Papers DP-2015-69, Economic Research Institute for ASEAN and East Asia (ERIA).
    2. Li, Qiaomin & Scollay, Robert & Maani, Sholeh, 2016. "Effects on China and ASEAN of the ASEAN-China FTA: The FDI perspective," Journal of Asian Economics, Elsevier, vol. 44(C), pages 1-19.
    3. Rafaelita M. Aldaba, 2015. "How are Firms Responding to Philippine Free Trade Agreements?," Working Papers id:7145, eSocialSciences.
    4. Medalla, Erlinda M. & Rosellon, Maureen Ane D., 2012. "ASEAN+1 FTAs and the Global Supply Chain in East Asia: the Case of the Philippine Automotive and Electronics Sectors," Discussion Papers DP 2012-38, Philippine Institute for Development Studies.
    5. Olivier CADOT & Lili Yan ING, 2014. "How Restrictive Are ASEAN's RoO?," Working Papers DP-2014-18, Economic Research Institute for ASEAN and East Asia (ERIA).
    6. Lili Yan Ing & Shujiro Urata & Yoshifumi Fukunaga, . "How Do Exports and Imports Affect the Use of Free Trade Agreements? Firm-level Survey Evidence from Southeast Asia," Chapters, Economic Research Institute for ASEAN and East Asia (ERIA).
    7. Medalla, Erlinda M. & Rosellon, Maureen Ane D., 2012. "Rules of Origin in ASEAN+1 FTAs and the Value Chain in East Asia," Discussion Papers DP 2012-37, Philippine Institute for Development Studies.

    More about this item

    Keywords

    Rules of Origin; Free Trade Agreements; ASEAN.;

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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