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2011•Journal of Fujian Agriculture and Forestry UniversityRequires access

Empirical analysis on the effects of trade creation and trade diversion in China-ASEAN Free Trade Area——Taking the fruit products as a case

Peifen Zhuang

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Abstract

Based on the data from the Trade Development Association of the United Nations and from China relevant departments and by using Balassa model,the paper analyzes the effects of trade creation and trade diversion on China-ASEAN Free Trade Area by taking fruit products as an example,and it has been discovered that fruits in aggregate as well as by categories,like agricultural products in general,enjoy trade creation effects.This effect improves the welfare of China and ASEAN nations and positively contributes to their internationalization.The paper concludes that China should enhance the processed fruit products and further develop CAFTA.

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What this paper is about

Based on the data from the Trade Development Association of the United Nations and from China relevant departments and by using Balassa model,the paper analyzes the effects of trade creation and trade diversion on China-ASEAN Free Trade Area by taking fruit products as an example,and it has been discovered that fruits in aggregate as well as by categories,like agricultural products in general,enjoy trade creation effects.This effect improves the welfare of China and ASEAN nations and positively contributes to their internationalization.The paper concludes that China should enhance the processed fruit products and further develop CAFTA.

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Available abstract

Based on the data from the Trade Development Association of the United Nations and from China relevant departments and by using Balassa model,the paper analyzes the effects of trade creation and trade diversion on China-ASEAN Free Trade Area by taking fruit products as an example,and it has been discovered that fruits in aggregate as well as by categories,like agricultural products in general,enjoy trade creation effects.This effect improves the welfare of China and ASEAN nations and positively contributes to their internationalization.The paper concludes that China should enhance the processed fruit products and further develop CAFTA.

Key concepts: Trade diversion, China, Trade creation, Internationalization, International free trade agreement, International trade, Trade barrier, Free trade

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Empirical analysis on the effects of trade creation and trade diversion in China-ASEAN Free Trade Area——Taking the fruit products as a case — Research Paper | ScholarLens