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The PRC’s Free Trade Agreements with ASEAN, Japan, and the Republic of Korea: A Comparative Analysis

  • Estrada, Gemma

    ()

    (Asian Development Bank)

  • Park, Donghyun

    ()

    (Asian Development Bank)

  • Park, Innwon

    ()

    (Division of International Studies, Republic of Korea University)

  • Park, Soonchan

    ()

    (Department of Economics and International Trade, Kongju National University)

The role of the People’s Republic of China (PRC) in East Asia’s recovery from the recent global financial and economic crisis highlighted the PRC’s growing role as an engine of growth for the region. From the viewpoint of the PRC, there are many potential gains from entering into free trade agreements (FTAs) with its neighbors, who collectively form a large and fast-growing market. In this paper we qualitatively and quantitatively assess the four main permutations of the PRC’s FTAs with the region’s major economies: PRC–ASEAN, PRC–Japan, PRC–Republic of Korea, and ASEAN+3. We compare the effects of the FTAs on the PRC’s output and welfare. Our comparative analysis shows that the PRC would gain from all three bilateral FTAs, while gaining the most from a larger region-wide FTA such as ASEAN+3.

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Paper provided by Asian Development Bank in its series Working Papers on Regional Economic Integration with number 92.

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Length: 40 pages
Date of creation: 01 Jan 2012
Date of revision:
Handle: RePEc:ris:adbrei:0092
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