Description
Book SynopsisThis CEPS book comprises a first-ever economic and regulatory analysis of a possible Free Trade Area (FTA) between China and the EU, whose design is supposed to be 'deep and comprehensive'. It provides an overview of the global economic environment in which EU-Chinese economic relations have developed in recent years, including global value chains linking the two economies. The substance of the FTA design is then elaborated in nine, largely empirical and technical chapters ranging from tariff analysis (at the 6- and 8-digit level) and technical barriers to trade, to services, government procurement and investment. A third part comprises a CGE-model-based empirical simulation of the economic effects on GDP per member state (and on China), bilateral trade in goods and services, wages for workers with three distinct skill-levels and a series of goods and services sectors. The year-long study was led by Jacques Pelkmans of CEPS, and the research was carried out by a team of trade specialists at CEPS in partnership with another team of researchers led by Prof. Joseph Francois of the World Trade Institute (WTI) in Bern.
Table of ContentsExecutive Summary / Introduction / Part I: The Global and Bilateral Context / 1. Why an EU-China free trade area? / 2. China and the EU in a rapidly changing world economy / 3. Bilateral economic relations: Trade and investments / 4. Global value chains: Significance for the EU and China / Part II: Design and Substance of an EU-China FTA / 5. What would an EU-China FTA look like? / 6. Market access in industrial goods: An analysis of tariffs / 7. Market access in goods: Trade defence remedies / 8. Market access in agriculture: Tariffs and tariff-rate quotas / 9. Technical barriers to trade / 10. Reducing SPS barriers in an EU-China FTA / 11. Market access in services: China and the EU / 12. Public procurement / 13. Intellectual property rights and geographical indications / 14. State-owned enterprises (SOEs) and competition policy / 15. Investment and the BIT / Part II: Potential Economic Impact: A CGE-based simulation of effects of the FTA / 16. Introduction / 17. Trade and production linkages / 18. Removing tariffs and reducing NTM costs in a China-EU FTA / 19. Modelling the FTA between China and the EU / Part IV: Conclusions and Policy Implications / 20. Policy implications of an EU-China free trade agreement / References
