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John Christian P,Ocba,Yolanda T,Garcia,Emmanuel Genesis T,Andal 한국APEC학회 2017 Journal of APEC Studies Vol.9 No.2
ASEAN Trade liberalization promotes intra-regional trade through gradual elimination of tariff across various manufactured products as well as reduction of non-tariff barriers to facilitate the flow of tradable goods within the region. Covering the period of 1993 to 2014, this study analyzed the effects of both tariff and non-tariff barriers on the level of trade in the Philippine manufacturing sector and its components with other ASEAN member nations. Using an augmented gravity model, the results showed that GDP and population of the Philippines and its ASEAN trading partners exhibited significant effects on the country’s imports and exports of manufactured goods, respectively. Moreover, the results showed that both tariff and non-tariff barriers have negative effects on the trade of these goods in general and were found to be significant in many manufacturing sub-sectors. On the whole, the study showed that the ASEAN trade liberalization through tariff reduction have some but not wide ranging effect on the level of trade in the Philippine manufacturing sub-sectors as expected. This result can be attributed to the increasing incidence of non-tariff barriers (NTBs), which proved to dampen the free flow of trade in the ASEAN community.
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