Negotiating a Preferential Trading Agreement


Negotiating a Preferential Trading Agreement

Issues, Constraints and Practical Options

9781847204813 Edward Elgar Publishing
Edited by Sisira Jayasuriya, Monash University, Australia, Donald MacLaren, formerly of the Department of Economics, University of Melbourne, Australia and Gary Magee, Department of Economics, Monash University, Australia
Publication Date: July 2009 ISBN: 978 1 84720 481 3 Extent: 288 pp
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).

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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).

PTAs are currently proliferating. However, the existing economics literature provides little guidance for trade negotiators and analysts grappling with complex technical problems when negotiating PTAs. The authors use the Australia–China Free Trade Agreement as an illustrative case study to provide concrete insights into the political economy roots of disagreements and conflicts, and discuss the pros and cons of alternative formulations and approaches.

This informative and insightful book would appeal to academic analysts, particularly those interested in the economic and legal aspects of international trade, and to those involved in negotiating international trade agreements. It would also be of great interest to trade negotiators and trade policy makers.
Critical Acclaim
‘International trade – which is just another name for international business – involves a tightly woven bundle of cross-border “movements”. Firms that sell internationally need to move goods, services, investment, skilled personal and intellectual property across international boundaries. This reality means that today’s FTAs are about a great deal more than tariffs. This book, which focuses on the proposed China–Australia FTA, provides a wondrous overview of what a modern bilateral trade agreement has to address. Its 12 chapters, written mostly by world-renowned experts, are succinct, up-to-date and highly informative. I recommend it to anyone interested in the new wave of FTAs in Asia and beyond.’
– Richard E. Baldwin, Graduate Institute, Geneva, Switzerland

‘Are Preferential Trading Agreements building blocks or stumbling blocks? Most economists are skeptical of their benefits, but politicians and bureaucrats evidently like them. This timely and rich contribution to the debate, by an eminent group of economists and lawyers, assesses the issues with reference to the Australia–China negotiations. Importantly, if we are in a second-best world, the authors show clearly how to at least minimise the negative impacts of PTAs. A must-read for policy makers, practitioners, business people and academics.’
– Hal Hill, The Australian National University
Contributors: P. Adams, P. Dee, C. Findlay, R. Hillberry, S. Jayasuriya, P. Lloyd, N.J.S. Lockhart, D. MacLaren, G. Magee, Y. Mai, A.D. Mitchell, N. Norman, M. Richardson, J. Waincymer, D. Wang, K. Weatherall


1. Introduction
Sisira Jayasuriya and Gary Magee

2. Review of International Experience: Ex Post Studies of Other PTAs and Implications for PTA Design
Russell Hillberry

3. Multilateralism and FTAs: A Chinese Perspective on an Australia–China FTA
Dashu Wang

4. Manufacturing Products and Related Issues in a Free Trade Agreement between China and Australia
Neville Norman

5. Agriculture
Donald MacLaren

6. Services in PTAs – Donuts or Holes?
Philippa Dee and Christopher Findlay

7. Resources Sector and Foreign Investment
Yinhua Mai and Philip Adams

8. Intellectual Property in a Possible China–Australia Free Trade Agreement
Kimberlee Weatherall

9. Rules of Origin
Peter Lloyd and Donald MacLaren

10. Settlement of Disputes under Free Trade Agreements
Jeff Waincymer

11. Safeguards, Anti-Dumping Actions and Countervailing Duties
Martin Richardson

12. Ensuring Compliance between a Bilateral PTA and the WTO
Andrew D. Mitchell and Nicolas J.S. Lockhart

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