Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model
The Regional Comprehensive Economic Partnership (RCEP), one of the globe's most expansive free trade agreements (FTAs), has profoundly influenced its member countries' trading patterns. This fact is especially critical for a major economic powerhouse such as China. Understanding its trade...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Canadian Center of Science and Education
2024
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| Online Access: | http://psasir.upm.edu.my/id/eprint/117560/ http://psasir.upm.edu.my/id/eprint/117560/1/117560.pdf |
| _version_ | 1848867282096226304 |
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| author | Zhang, Wenjie Abd Rahman, Muhammad Daaniyall Muhamad Senan, Mohamad Khair Afham |
| author_facet | Zhang, Wenjie Abd Rahman, Muhammad Daaniyall Muhamad Senan, Mohamad Khair Afham |
| author_sort | Zhang, Wenjie |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | The Regional Comprehensive Economic Partnership (RCEP), one of the globe's most expansive free trade agreements (FTAs), has profoundly influenced its member countries' trading patterns. This fact is especially critical for a major economic powerhouse such as China. Understanding its trade creation and trade diversion within the RCEP context can facilitate successful formulation strategies and result in effective economic policies. In this study, we utilize the World Integrated Trade Solution Software for Market Analysis and Restrictions on Trade (WITS-SMART), a partial equilibrium modeling tool, on both state-level and industrial-tier tariff reductions under two distinct scenarios. Our findings confirm that China will benefit from impactful trade results across all RCEP members. Looking from industry point of view: machinery, chemicals, metals sector together with plastics and rubber production are projected to enjoy maximum rewards through increased trade creation and diversion opportunities from Japan and Korea. On the contrary, Australia and ASEAN have the greatest influence on the animal and vegetable sector. This crucial understanding creates strategic indicators that aid in evaluating the most appropriate alignments to harness the untapped potential in the RECP domain. |
| first_indexed | 2025-11-15T14:34:01Z |
| format | Article |
| id | upm-117560 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T14:34:01Z |
| publishDate | 2024 |
| publisher | Canadian Center of Science and Education |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-1175602025-05-30T02:58:15Z http://psasir.upm.edu.my/id/eprint/117560/ Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model Zhang, Wenjie Abd Rahman, Muhammad Daaniyall Muhamad Senan, Mohamad Khair Afham The Regional Comprehensive Economic Partnership (RCEP), one of the globe's most expansive free trade agreements (FTAs), has profoundly influenced its member countries' trading patterns. This fact is especially critical for a major economic powerhouse such as China. Understanding its trade creation and trade diversion within the RCEP context can facilitate successful formulation strategies and result in effective economic policies. In this study, we utilize the World Integrated Trade Solution Software for Market Analysis and Restrictions on Trade (WITS-SMART), a partial equilibrium modeling tool, on both state-level and industrial-tier tariff reductions under two distinct scenarios. Our findings confirm that China will benefit from impactful trade results across all RCEP members. Looking from industry point of view: machinery, chemicals, metals sector together with plastics and rubber production are projected to enjoy maximum rewards through increased trade creation and diversion opportunities from Japan and Korea. On the contrary, Australia and ASEAN have the greatest influence on the animal and vegetable sector. This crucial understanding creates strategic indicators that aid in evaluating the most appropriate alignments to harness the untapped potential in the RECP domain. Canadian Center of Science and Education 2024-06-28 Article PeerReviewed text en cc_by_4 http://psasir.upm.edu.my/id/eprint/117560/1/117560.pdf Zhang, Wenjie and Abd Rahman, Muhammad Daaniyall and Muhamad Senan, Mohamad Khair Afham (2024) Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model. Asian Social Science, 20 (4). pp. 1-11. ISSN 1911-2017; eISSN: 1911-2025 https://ccsenet.org/journal/index.php/ass/article/view/0/50379 10.5539/ass.v20n4p1 |
| spellingShingle | Zhang, Wenjie Abd Rahman, Muhammad Daaniyall Muhamad Senan, Mohamad Khair Afham Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title | Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title_full | Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title_fullStr | Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title_full_unstemmed | Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title_short | Changes in the trade pattern in China under the RCEP: an analysis of trade creation and diversion using the SMART-WITS model |
| title_sort | changes in the trade pattern in china under the rcep: an analysis of trade creation and diversion using the smart-wits model |
| url | http://psasir.upm.edu.my/id/eprint/117560/ http://psasir.upm.edu.my/id/eprint/117560/ http://psasir.upm.edu.my/id/eprint/117560/ http://psasir.upm.edu.my/id/eprint/117560/1/117560.pdf |