Negotiating a Preferential Trading Agreement

Negotiating a Preferential Trading Agreement

Issues, Constraints and Practical Options

Edited by Sisira Jayasuria, Donald MacLaren and Gary Magee

Presenting a blend of economics and law, this book provides unique insights as well as practical guidance for negotiators considering major issues on the agendas of bilateral and regional preferential trading agreements (PTAs).

Chapter 4: Manufacturing Products and Related Issues in a Free Trade Agreement between China and Australia

Neville Norman

Subjects: asian studies, asian urban and regional studies, business and management, international business, economics and finance, international business, international economics

Extract

1 Neville Norman This chapter addresses the most important issues effects and policy options arising from a China–Australia Free Trade Agreement (CAFTA) involving manufacturing industry. To perform this task requires some background appreciation of the developments in and setting of manufacturing industry in both countries, of existing trade and related barriers that might be removed and some important pointers from economic analysis. We bring all three things together in this chapter. We also incorporate some recent findings from other situations of adjustment to significant trade policy changes to assist in predicting economic consequences and business and political sensitivities. The purpose is also to identify some tensions and negotiation issues that are specific to manufacturing in the context of the proposed CAFTA. We show that the product, industry and business setting for manufacturing is in many ways distinctly different from the agricultural, resources and services sectors, which are treated separately in this volume. Moreover, some recent trends in manufacturing trade policy issues have not been captured in the standard trade theory that is the usual framework for conducting exercises of this kind. We outline those trends and features as important ingredients for assessing and shaping the CAFTA and similar future free trade agreements (FTAs). The context for this study is a global scene for trade policy dominated by the emergence and execution of many FTAs, including Australia’s long-established FTA with New Zealand and the implementation of its FTA with the United States. Equally, China has invoked and is in the...

You are not authenticated to view the full text of this chapter or article.

Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.

Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.

Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.

Further information