Integración y desviación de comercio

The Trade Effects of Regional Agreements and Economic Integration Processes in Europe, South America, and North America

“…3 Moreover, this proliferation has weakened international negotiations. Trade diversion occurs, but there are also fluctuations in investment and little clarity regarding the reasons for which a country enters or remains in an agreement, which directly affects their success and permanence (Bauman, 1993). However, the formation of RTAs between countries has evolved given that RTAs have long focused on members that were geographically close to each other, for example the European Union (EU), NAFTA, Economic Community of West African States (ECOWAS), and the Association of Southeast Nations (ASEAN) (Sorgho, 2016).…”

“…In MERCOSUR and CAN, it has been observed that trade diversion occurred in at least one-member country in each group. In essence, there is excess demand for imports as well as little interdependence among intra-zone countries, which in the long term causes these processes to be very limited (Bauman, 1993). Despite the fact that Colombia and Venezuela experienced a period of recession from 1988 to 2000, the negative impact on the Ecuadorian economy is explained by the trade diversion generated in its exports to the CAN (Coulibaly, 2004).…”

“…Part of the trade diversion in the region is due to weak intra-zone trade relationships prior to the formation of integration processes. Integration processes do not produce the expected comparative advantages, since the new products of member countries tend to consist of raw materials and light manufacturing (Bauman, 1993). This situation occurs because the economic effects of integration processes are not entirely clear (Kokko et al, 2005), especially in South America.…”

“…This situation occurs because the economic effects of integration processes are not entirely clear (Kokko et al, 2005), especially in South America. Meanwhile, the differentiated trade preferences do not produce the expected results within integration processes, which prevents improvements in the competitiveness of manufactured goods in South America, with the exception of some specific sectors; consequently, products are distanced from the objective of achieving industrial transformation (Bauman, 1993). Thus, one of the main concerns is the effects of integration processes with regard to trade diversion from efficient producers, which reduces the prosperity of developing countries and has ambiguous results for member countries (Kokko et al 2005).…”