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Begin New Search Topic Trade Liberalization Publication Year within 5 Years

1. What makes a legislator promote or thwart trade liberalization in developing democracies?

Author:
Simón Lodato, Andrés Dockendorff Dockendorff, and Dorotea López
Publication Date:
04-2025
Content Type:
Journal Article
Journal:
Revista Brasileira de Política Internacional (RBPI)
Institution:
Instituto Brasileiro de Relações Internacionais (IBRI)
Abstract:
This paper investigates how ideological polarization and constituency factors influence legislators’ voting behaviour on Free Trade Agreements (FTAs). We explore the Chilean case, where trade policy has recently become highly politicized, to test three key relationships. First, we argue that right-wing legislators are more likely to champion FTAs when trade becomes a highly politicized issue, as the ratification of the CPTPP shows. Conversely, when trade is less politically salient, right-wing legislators are less likely to vote favourably for FTAs. Second, legislators representing regions with a high concentration of workers in tradable sectors are less likely to support trade liberalization, as it can put jobs at risk in their districts. Our results show that ideology explains legislators’ support to FTAs but only when the trade policy is politicized. Also, the probability of voting in favour of FTAs decreases as the proportion of workers in tradable sectors within the region increases. From a comparative perspective, the results highlight how the effect of politicization, observed mainly in European settings, is generalizable to a different set up: a presidential developing democracy.
Topic:
Ideology, Trade Liberalization, Trade Policy, Politicization, Legislators, and Free Trade Agreements
Political Geography:
South America and Chile

2. Tricks of the trade: Strengthening EU-African cooperation on trade in services

Author:
Iza Lejarraga
Publication Date:
03-2023
Content Type:
Policy Brief
Institution:
European Council on Foreign Relations (ECFR)
Abstract:
Services are increasingly important for international trade, accounting for about half of global trade flows. Trade in services is growing more rapidly than trade in goods. Trade in services is critical for improving the competitiveness of African economies, increasing their participation in regional and global value chains, and promoting inclusive growth. Improved trade in services with African countries could help the EU diversify its supply chains, strengthening resilience and reducing dependencies on China and other Asian countries. The cooperation on domestic regulatory frameworks required for trade in services can promote a shared understanding of regulatory goals and standards between the EU and Africa across many sectors. None of the trade agreements between the EU and African countries currently covers services, and only one African country is part of the WTO Joint Initiative on Domestic Services Regulation. There is therefore no dedicated platform for cooperation on services regulations. The African Continental Free Trade Area agreement provides an unprecedented opportunity for African countries to improve domestic services regulations and could be a new basis for cooperation with the EU.
Topic:
International Cooperation, Treaties and Agreements, European Union, Trade Liberalization, and Trade
Political Geography:
Europe and Africa

3. EU-Ukraine wartime trade: Overcoming difficulties, forging a European path

Author:
Svitlana Taran
Publication Date:
08-2023
Content Type:
Working Paper
Institution:
European Policy Centre (EPC)
Abstract:
During the first year of Russia’s war in Ukraine, EU trade-liberalisation measures and EU-Ukraine Solidarity Lanes provided Ukraine with alternative export routes and allowed the country to reorient part of its exports to the EU market. However, the insufficient logistics capacity and lack of adequate coordination and cooperation during the operation of Solidarity Lanes led to tensions between Ukraine and its Eastern European neighbours. While a compromise between the European Commission and the Eastern European countries allowed the extension of temporary trade-liberalisation measures for a further year, resolving the immediate crisis, more is needed to ensure their smooth operation. This Discussion Paper provides recommendations on how the EU can further intensify efforts to facilitate Ukraine’s trade flows and prevent sudden trade disruptions and restrictions. These include: Enhance the strategic alignment and connectivity between Ukraine and the EU; Ensure security guarantees and increase the capacity of seaport corridors; Enhance coordination and unity between the Commission, EU member states and Ukraine; Avoid sudden and unjustified Solidarity Lanes' disruptions; Protect critical port and export infrastructure from Russia’s attacks; Facilitate EU-Ukraine trade liberalisation and Ukraine’s integration into the EU Single Market.
Topic:
Security, European Union, Trade Liberalization, Trade, and Russia-Ukraine War
Political Geography:
Russia, Europe, and Ukraine

4. For inflation relief, the United States should look to trade liberalization

Author:
Gary Clyde Hufbauer, Megan Hogan, and Yilin Wang
Publication Date:
03-2022
Content Type:
Policy Brief
Institution:
Peterson Institute for International Economics (PIIE)
Abstract:
With US inflation running at 40-year high rates, the Federal Reserve is signaling more interest rate hikes in 2022 and 2023. President Joseph R. Biden Jr. has also vowed to act against what he calls anticompetitive behavior by corporations. But policymakers are overlooking one set of actions that could make a meaningful contribution to taming inflation: trade liberalization. The data cited in this Policy Brief indicate that a feasible package of liberalization could deliver a one-time reduction in consumer price index (CPI) inflation of around 1.3 percentage points, amounting to $797 per US household, about half the size of pandemic relief in 2021. As a bonus, the embrace of trade liberalization would curb inflationary expectations taking hold in American firms now protected by trade barriers from foreign competition.
Topic:
Economy, Inflation, and Trade Liberalization
Political Geography:
North America and United States of America

5. Trade Liberalization and Economic Development: Lessons for Africa

Author:
Henri Kouam and Fabien Sundjo
Publication Date:
01-2022
Content Type:
Working Paper
Institution:
The Nkafu Policy Institute
Abstract:
What happens when countries lower their tariff & import duties and open up their economy to other countries? This policy brief looks at the impact of trade liberalization on economic development, drawing from broad-based international literature. It shows how free trade can positively impact economic development, boost incomes, and improve standards of living. The African Continental Free Trade Area will stimulate intra-regional trade and help countries like Cameroon address acute development challenges. However, the expected positive results will depend on its successful implementation.
Topic:
Development, Economics, Regional Cooperation, Trade Liberalization, Trade, Economic Development, and Liberalism
Political Geography:
Africa

6. Assessing the Effects of Trade Liberalization With Third Countries: The Case of the Eurasian Economic Union

Author:
Simon Sngryan
Publication Date:
06-2022
Content Type:
Journal Article
Journal:
Journal of Liberty and International Affairs
Institution:
Institute for Research and European Studies (IRES)
Abstract:
The processes of objectively conditioned integration in the economic, political, legal, and institutional spheres of the Eurasian Economic Union (EEU) Member States took place step by step, starting from preferential trade agreements, passing to the customs union, the common market and other stages of integration. This process is accompanied by the gradual deepening of trade liberalization with potential partners. The selection of potential partners should be carried out through a comprehensive and detailed analysis of the structure and volumes of foreign trade of the EEU Member States (Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia) with third parties, their markets structure, existing customs regulation, trade barriers, and possible export potential. The research evaluated the EEU's possible enlargement effects on the Member States' economic indicators. The research aimed to assess the possible consequences of EEU expansion and signing free trade agreements, considering Pakistan, Korea, and Malaysia as potential trade partners. Modeling the effect of an FTA assumes horizontal zeroing of tariffs between partners. Then, using the GTAP model, a new state of general equilibrium was calculated corresponding to the changed parameters of customs and tariff regulation. In this case, most variables, such as change in GDP, production output, and export-import volumes, were estimated, manifesting the economic effect of trade liberalization.
Topic:
Economics, International Trade and Finance, Regional Cooperation, and Trade Liberalization
Political Geography:
Europe, Eurasia, and Asia

7. Trade Liberalization along the Firm Size Distribution: The Case of the EU-South Korea FTA

Author:
Sonali Chowdhry and Gabriel Felbermayr
Publication Date:
07-2021
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
How do firms of different sizes react to trade liberalization? Leading theories suggest that, amongst continuing exporters, lower trade costs should boost exports of smaller firms by the same or a greater rate than those of larger firms. However, studying the entry into force of the ambitious EU-South Korea Free Trade Agreement (EUKFTA) with French customs data, we find robust evidence to the contrary. Applying a triple-difference framework, we report that the FTA increased sales in the top quartile of continuous exporters by 71 percentage points more than in the bottom quartile. More than 90 percent of that growth premium is driven by a stronger effective reduction in broadly defined non-tariff barriers (NTBs); the remainder by a higher sensitivity to trade costs. These findings have implications for both heterogeneous firm trade models and for the capacity of FTAs to magnify inequality. In contrast, on the entry margins, our results are in line with the literature with the FTA selecting intermediate-sized firms into exporting to South Korea.
Topic:
International Cooperation, European Union, Trade Liberalization, and Trade
Political Geography:
Europe, Asia, and South Korea

8. Free Trade Agreements Have Limited Impact (Because Manufactured Goods are a Perfect Market)

Author:
David Henig and Anna Guildea
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
Free Trade Agreements between two or more countries or parties have been the centrepiece of international trade policy since the formation of the World Trade Organisation 25 years ago. Since 1995, no major round of multilateral trade liberalisation has been concluded, but there has been a sharp rise in the number of bilateral trade agreements. While some of these agreements have real consequences for trade in services and some administrative rules for trade, most of them do not because they focus mainly on tariffs on industrial and agricultural goods. Yet the economic gains from these reductions are now extremely limited. In fact, it is now difficult to improve the global market in goods by cutting tariffs.
Topic:
Globalization, World Trade Organization, Global Markets, Trade Liberalization, and Free Trade
Political Geography:
Global Focus

9. The Political Economy of Syria: Deepening Pre-War Orientations

Author:
Joseph Daher
Publication Date:
10-2020
Content Type:
Working Paper
Institution:
Arab Reform Initiative (ARI)
Abstract:
Since 2011, the Syrian authorities have continued to develop economic policies with the aim of consolidating their power and their various patronage networks, all while allowing new forms of capital accumulation. This process had already started in the early 2000s with the liberalization and privatization of the Syrian economy. Tradesmen and new businessmen affiliated with the regime have since then considerably increased and deepened their domination over the Syrian economy, especially in recent years. The policies of the Syrian government after 2011 continued in the same vein.
Topic:
Privatization, Authoritarianism, Trade Liberalization, and Centralization
Political Geography:
Middle East and Syria