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El. knyga: Asian Free Trade Agreements And Wto Compatibility: Goods, Services, Trade Facilitation And Economic Cooperation

(Asian Development Bank, Philippines)
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It is an appropriate time to rethink the relationship between trade regionalism and multilateralism in the Asian context as we witness the proliferation of free trade agreements (FTAs) in Asia. In the 1980s and 1990s, many scholars and policymakers believed that Asian integration was market-based, rather than legal-based, and that Asian integration would never be codified through agreements. Yet today, there are a large number of FTAs signed and under negotiation in Asia.This book investigates the appropriate relationship between regionalism and multilateralism, with a special reference to recent FTAs in Asia. It is undeniable that past trade multilateralism-regionalism debates centered on the trade-in-goods aspect. However, the majority of recent FTAs in Asia cover issues beyond trade-in-goods and tariff liberalization, such as trade facilitation, services, and economic cooperation. While the General Agreement on Tariffs and Trade (GATT) Article XXIV governs regional integration initiatives in trade in goods, there is no (or at most a thin) World Trade Organization (WTO) Agreement that stipulates the relationship between regionalism and multilateralism in issue areas other than goods.Thus, this study carefully considers the meaning of WTO-compatible FTAs by distinguishing WTO consistency and WTO friendliness, going beyond GATT Article XXIV debates and proposes a general framework for examining the openness of regionalism in various issue areas by identifying tree-type questions to distinguish several types of exclusiveness. It then specifically asks the following questions: Can Asian FTAs that cover several issues be considered multilateralism friendly? How does the relationship between regionalism and multilateralism differ between trade-in-goods and non-goods issue areas? What are policies that might reduce the exclusiveness of regional initiatives? The study concludes by listing counterintuitive policy suggestions to make FTAs truly WTO compatible. The book also includes a comprehensive list of FTAs in Asia and several WTO Agreements relating to trade regionalism.
Preface vii
List of Illustrations xv
List of Abbreviations xvii
Chapter 1 Introduction Conceptualizing the WTO Compatibility of FTAs 1(10)
1.1 WTO Compatibility, WTO Consistency and WTO Friendliness
1(5)
1.2 Overarching Research Question of the Study
6(5)
Chapter 2 Analytical Framework for WTO Friendliness of FTAs How to Check If They Are Real "Friends" of WTO? 11(40)
2.1 Introduction
11(1)
2.2 First-generation Literature: Open Regionalism
12(12)
2.3 Second-generation Literature
24(12)
2.4 Analytical Framework for WTO Friendliness of FTAs
36(11)
2.5 Summary
47(4)
Chapter 3 Free Trade Agreements in Goods Is Trade Bilateralism in Asia Consistent with WTO Rules and Norms? 51(62)
3.1 Introduction
51(2)
3.2 Difference in Multilateral Principles of Regionalism: GATT Article XXIV versus Enabling Clause
53(14)
3.3 Analytical Framework for Assessing the Openness of Enabling Clause-based FTAs
67(5)
3.4 Overview of FTAs around the World
72(10)
3.5 Empirical Study of Enabling Clause-based FTAs in Asia
82(9)
3.6 Policy Issues of Bilateral Enabling Clause-based FTAs
91(7)
3.7 Summary
98(2)
Appendix 3.1: GATT Article XXIV
100(4)
Appendix 3.2: Understanding on the Interpretation of Article XXIV of the General Agreement on Tariffs and Trade 1994
104(5)
Appendix 3.3: Differential and More Favorable Treatment Reciprocity and Fuller Participation of Developing Countries
109(4)
Chapter 4 Regional Approaches to Trade Facilitation Are Regional Trade Facilitation Measures Discriminatory against Non-members? 113(42)
4.1 Introduction
113(6)
4.2 Difference in Multilateral Principle of Regionalism: Trade Liberalization versus Trade Facilitation
119(3)
4.3 Analytical Framework for Assessing the Openness of Regional Trade Facilitation
122(7)
4.4 Overview on Trade Facilitation Measures under FTAs in the World
129(3)
4.5 Discriminatory and Non-discriminatory Cases of Regional Trade Facilitation
132(14)
4.6 Policy Suggestions: Minimizing Negative Externality of Regional Trade Facilitation
146(6)
4.7 Summary
152(3)
Chapter 5 Regional Services Agreements What Is the Value of GATS-plus Regional Services Commitments? 155(46)
5.1 Introduction
155(3)
5.2 Differences in Multilateral Principles of Regionalism: Goods versus Services
158(4)
5.3 Analytical Framework for Assessing the Openness of Regional Services Agreements
162(10)
5.4 Overview on Regional Services Agreements
172(4)
5.5 Case Study: Achievements of the ASEAN Framework Agreement on Services
176(12)
5.6 Policy Issues: Regional Services Agreements as a Trigger for Services Reforms
188(8)
5.7 Summary
196(2)
Appendix 5.1: GATS Article V Economic Integration
198(3)
Chapter 6 Economic Cooperation under FTAs Do FTAs Impose WTO-Plus Technical Assistance Obligations on Members? 201(48)
6.1 Introduction
201(2)
6.2 Multilateral Governance on Developmental Issues
203(1)
6.3 Analytical Framework for WTO-plus Elements of Technical Assistance under FTAs
204(5)
6.4 Overview on Technical Assistance Provisions under WTO Agreements
209(11)
6.5 Case Study: Technical Assistance under Japan-ASEAN EPAs
220(20)
6.6 Policy Implications: The Developmental Perspective of Regionalism Debates
240(2)
6.7 Summary
242(2)
Appendix 6.1: Technical Assistance Provisions in WTO Agreements
244(5)
Chapter 7 Conclusion Counter-intuitive Policy Implications for WTO-Compatible FTAs 249(8)
7.1 Summary of Important Empirical Findings
249(3)
7.2 Counter-intuitive Policy Implications
252(5)
References 257(16)
Index 273
Shintaro Hamanaka is an Economist at the Asian Development Bank (ADB). He also holds the position of Honorary Research Fellow at White Rose East Asia Centre in the United Kingdom (UK). In the Office of Regional Economic Integration of ADB, he is currently responsible for economic and political analysis of regional trade and investment integration in the Asia-Pacific, including FTAs and bilateral investment treaties. He also designs and organizes ADB trade and investment capacity building projects. Before joining ADB, he served as a service negotiator for the Doha Round at the Japanese Mission to the World Trade Organization (WTO) in Geneva. Prior to this, he was an economist at the Bank of Japan (BOJ), where he was involved in macroeconomic research and policymaking on international financial relations. His research interests include international political economy; global and regional economic governance; political economy of regionalism; regional economic architecture in Asia; and FTAs, particularly regional services agreements. He has authored several books and numerous academic journal articles in the fields of political science, international relations, economics, and international law. He holds a BA from Kyoto University and a PhD from the University of Sheffield.
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