Negotiating a Preferential Trading Agreement

Preferential trading arrangements (PTAs) are currently proliferating, but existing economics literature provides little practical guidance for trade negotiators and analysts grappling with complex technical problems in negotiating PTAs. In this Australia-China focussed study, a group of trade economists and international trade law experts draw on both theory and recent evaluations of several major PTAs to discuss the constraints to achieving meaningful liberalisation in PTAs and key practical problems facing negotiators trying to achieve the best outcomes within given political economy constraints, such as choice of rules of origin and dispute settlement procedures.The Australia-China FTA, currently under negotiation, is used as an illustrative case study to provide concrete insights into the roots of political conflicts and the pros and cons of alternative formulations and approaches. This book would appeal to both academic analysts and those involved in negotiating international trade agreements.