Journal article

How Restrictive Are ASEAN's Rules of Origin?

  • Cadot, Olivier Université de Lausanne BFSH 1, CH 1015 Dorigny, Switzerland CEPR and FERDI
  • Ing, Lili Yan Economic Research Institute for ASEAN and East Asia (ERIA)and University of Indonesia Sentral Senayan ll Building, 6th floor Jl.Asia Afrika no. 8, Senayan, Jakarta Pusat 10270, Indonesia
Published in:
  • Asian Economic Papers. - MIT Press - Journals. - 2016, vol. 15, no. 3, p. 115-134
English This paper uses a product-level gravity approach to estimate the effect of ASEAN's product-specific rules of origin (ROOs) on regional trade, using original data on rules applicable at the six-digit level of the harmonized system. We find that the average tariff ad valorem equivalent (AVE) of ASEAN's ROOs is 3.40 percent across all instruments and sectors. The trade-weighted average is 2.09 percent. This moderate estimate is in line with the existing literature. We also find fairly high AVEs for some sectors, however, including leather, textile and apparel, footwear, and automobiles. Additionally, we find that some rules appear more restrictive than others; in this regard, the textile rule seems to stand out as a relatively more trade-inhibiting rule than others.
Language
  • English
Open access status
green
Identifiers
Persistent URL
https://sonar.ch/global/documents/106659
Statistics

Document views: 17 File downloads:
  • fulltext.pdf: 0