RIETI Policy Symposium

Assessing Quality and Impacts of Major Free Trade Agreements

Announcement

Beginning in the 1990s, the number of completed free trade agreements (FTAs) has been rapidly increasing. The inception of the World Trade Organization (WTO) in 1995 accelerated this trend to the degree that more than 40% of current world trade is between FTA member countries. In 21st century East Asia, FTAs exist in many combinations, such as those between Japan and Singapore (officially an economic partnership agreement, or EPA), and between China and ASEAN. Many further FTA negotiations are ongoing, such as those between Japan and ASEAN.

Various economic and political factors lie behind the rapid worldwide increase in FTAs. Major economic factors include the expansion of access to foreign markets and the promotion of domestic reforms, while political factors include the promotion of closer political and social ties and the expansion of cross-regional influence among FTA member countries. Since FTA negotiations are carried out amid these multidimensional factors, respective FTAs are diverse in terms of content, reflecting the conditions of the member countries. Due to this, it is extremely difficult to understand and compare the characteristics of respective FTAs, or the differences among them in terms of economic effects. This does not help to improve existing FTAs or support the preparation of guiding principles for concluding effective FTAs in the future.

Since 2005, however, the Research Institute of Economy, Trade and Industry (RIETI) has been conducting research to evaluate the quality of major FTAs in East Asia and throughout the world, and analyze their effects. In this way, RIETI has been trying to quantitatively understand the potential and economic effects of trade liberalization under each such FTA from a variety of angles. In this symposium, RIETI will present the findings of its research, and hold discussions with domestic and overseas researchers and experts. This symposium consists of three parts. In Part I (afternoon of March 22), an assessment of the rules of origin governing international trading, restrictions in agricultural trading, trade in services, foreign direct investment, and safeguard mechanisms under major FTAs will be discussed. In Part II, on the second day (March 23), the findings of analyses on the effects of FTAs will be reported. And finally in Part III, a panel discussion will be held in search of desirable FTA policies.

We hope this symposium will enable both ourselves and participants to develop a common awareness of objective perspectives and new issues with respect to FTAs.

Information

  • Time and Date:
    13:00-18:00, Thursday, March 22, 2007;
    10:00-17:10, Friday, March 23, 2007
  • Venue:
    ANA Hotel Tokyo, Galaxy Banquet Room, B1F
    12-33, Akasaka 1-chome, Minato-ku, Tokyo 107-0052
  • Language:
    Japanese / English (with simultaneous interpretation)
  • Charge: ¥2,000 (an official receipt will be issued)
    (Students ¥1,000; please present your student ID at the reception desk.)
  • Hosts: Research Institute of Economy, Trade and Industry (RIETI)
  • Contact: RIETI
    Ms. Tomoko KASE
    Tel: 03-3501-8398 Fax: 03-3501-8416

* Streaming video footage of and handouts pertaining to the symposium will be available for downloading from the RIETI website after the event.
* Purpose of Use of Images

Agenda (Thursday, March 22, 2007 13:00-18:00)

Symposium Chair:
KIMURA Takako (RIETI)
13:00-13:10 Opening Remarks
WAKASUGI Ryuhei (Research Counselor and Faculty Fellow, RIETI / Professor, Department of Economics, Keio University / Professor Emeritus, Yokohama National University)
Part I Ex-ante (text-based) Assessment of the Quality of FTAs
13:10-14:05 Session 1: Rules of Origin (ROO)
Session Chair:
URATA Shujiro (Faculty Fellow, RIETI / Professor, Graduate School of Asia Pacific Studies, Waseda University)
13:10-13:35 Presentation: "Rules of Origin (ROO) in Free Trade Agreements"
Inkyo CHEONG (Professor of Economics and Director for Center on FTA Studies, Inha University)
CHO Jungran (Research Fellow, Center on FTA Studies, Inha University)
13:35-13:50 Discussant
Antoni ESTEVADEORDAL (Principal Advisor, Integration and Regional Programs Department, Inter-American Development Bank)
13:50-14:05 Q&A
14:05-15:00 Session 2: Liberalization of Agricultural Trade
Session Chair:
URATA Shujiro (Faculty Fellow, RIETI / Professor, Graduate School of Asia Pacific Studies, Waseda University)
14:05-14:30 Presentation: "Agricultural Liberalization in Free Trade Agreements"
Inkyo CHEONG (Professor of Economics and Director for Center on FTA Studies, Inha University)
CHO Jungran (Research Fellow, Center on FTA Studies, Inha University)
14:30-14:45 Discussant
OHGA Keiji (Professor, College of Bioresource Sciences, Nihon University)
14:45-15:00 Q&A
15:00-15:15 Coffee Break
15:15-16:10 Session 3: Trade in Services
Session Chair:
Robert SCOLLAY (Director, APEC Study Centre, and Associate Professor of Economics, The University of Auckland)
15:15-15:40 Presentation: "Services in Free Trade Agreements"
Christopher FINDLAY (Head and Professor, School of Economics, The University of Adelaide)
15:40-15:55 Discussant
KIMURA Fukunari (Professor, Faculty of Economics, Keio University)
15:55-16:10 Q&A
16:10-17:05 Session 4: Foreign Direct Investment
Session Chair:
Robert SCOLLAY (Director, APEC Study Centre, and Associate Professor of Economics, The University of Auckland)
16:10-16:35 Presentation: "An Analysis of the Restrictions on Foreign Direct Investment in Free Trade Agreements"
URATA Shujiro (Faculty Fellow, RIETI / Professor, Graduate School of Asia Pacific Studies, Waseda University)
Presentation Paper authored with John SASUYA (Waseda University)
16:35-16:50 Discussant
Myrna AUSTRIA (Full Professor, Department of Economics, De La Salle University)
16:50-17:05 Q&A
17:05-18:00 Session 5: Safeguards
Session Chair:
Robert SCOLLAY (Director, APEC Study Centre, and Associate Professor of Economics, The University of Auckland)
17:05-17:30 Presentation: "On the Comparison of Safeguard Mechanisms of Free Trade Agreements"
KOTERA Akira (Faculty Fellow, RIETI / Professor, Graduate School of Arts and Sciences, The University of Tokyo)
17:30-17:45 Discussant
KOBAYASHI Kenichi (Consulting Fellow, RIETI / Deputy Director, Multilateral Trade System Department, Trade Policy Bureau, METI)
17:45-18:00 Q&A

Agenda (Friday, March 23, 2007 10:00-17:10)

Part II Ex-post Assessment of Actual Impacts of FTAs
10:00-10:55 Session 1: Impacts on Trade Flows
Session Chair:
Christopher FINDLAY (Head and Professor, School of Economics, The University of Adelaide)
10:00-10:25 Presentation: "The Impacts of Free Trade Agreements on Trade Flows: An Application of the Gravity Model Approach"
URATA Shujiro (Faculty Fellow, RIETI / Professor, Graduate School of Asia Pacific Studies, Waseda University)
Presentation Paper authored with OKABE Misa (Lecturer, Faculty of Economics, Kyoto Gakuen University)
10:25-10:40 Discussant
Robert SCOLLAY (Director, APEC Study Centre, and Associate Professor of Economics, The University of Auckland)
10:40-10:55 Q&A
10:55-11:50 Session 2: Economic Impacts
Session Chair:
Christopher FINDLAY (Head and Professor, School of Economics, The University of Adelaide)
10:55-11:20 Presentation: "Assessing the Economic Impacts of Free Trade Agreement: A Computable Equilibrium Model Approach"
ABE Kazutomo (Professor, School of Engineering, Tokyo Denki University)
11:20-11:35 Discussant
ITAKURA Ken (Assistant Professor, Faculty of Economics, Nagoya City University)
11:35-11:50 Q&A
11:50-13:00 Lunch
13:00-13:55 Session 3: Utilization of Preferential Treatment under FTA
Session Chair:
Inkyo CHEONG (Professor of Economics and Director for Center on FTA Studies, Inha University)
13:00-13:25 Presentation: "Use of Preferential Treatment under FTAs"
TAKAHASHI Katsuhide (Associate Professor, Graduate School of Economics, Kobe University)
13:25-13:40 Discussant
OKAYAMA Hidehiro (Deputy General Manager, International Division, Tokyo Chamber of Commerce and Industry)
13:40-13:55 Q&A
13:55-14:50 Session 4: Ex-post Assessment of FTAs: The Case of Japan
Session Chair:
Inkyo CHEONG (Professor of Economics and Director for Center on FTA Studies, Inha University)
13:55-14:20 Presentation: "Impact of Japanese FTAs/EPAs"
ANDO Mitsuyo (Assistant Professor, Graduate School of Economics, Hitotsubashi University)
14:20-14:35 Discussant
Jeffrey J. SCHOTT (Senior Fellow, Peter G. Peterson Institute for International Economics)
14:35-14:50 Q&A
Part III In Search of Desirable FTA Policies: Implications from FTA Quality Assessment and FTA Impact Studies
15:05-17:05 Panel Discussion
Session Chair: URATA Shujiro (Faculty Fellow, RIETI / Professor, Graduate School of Asia Pacific Studies, Waseda University)
Panelists:
- Myrna AUSTRIA (Full Professor, Department of Economics, De La Salle University)
- Inkyo CHEONG (Professor of Economics and Director for Center on FTA Studies, Inha University)
- Antoni ESTEVADEORDAL (Principal Advisor, Integration and Regional Programs Department, Inter-American - Development Bank)
- Christopher FINDLAY (Head and Professor, School of Economics, The University of Adelaide)
- NAKATOMI Michitaka (Director-General for International Trade Policy, METI)
- Jeffrey J. SCHOTT (Senior Fellow, Peter G. Peterson Institute for International Economics)
- Robert SCOLLAY (Director, APEC Study Centre, and Associate Professor of Economics, The University of Auckland)
17:05-17:10 Closing Remarks:
OIKAWA Kozo (Chairman, RIETI)
17:15-19:00 Reception
* The agenda is subject to change.