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Implications of COMTRADE Compilation Practices for Trade Barrier Analyses and Negotiations

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  • Alexander J. Yeats

Abstract

U.N. Commodity Trade (COMTRADE) statistics have major shortcomings for many analyses relating to tariffs and other trade barriers. The use of a cost-insurance-freight valuation base for these data results in an upward (sometimes severe) bias in the implied dutiable value of imports for countries that utilize free-on-board tariffs. This problem can be greatly exacerbated by the 'general' trade system procedure used to compile the U.N. statistics, as opposed to the 'special' trade practice used for the World Trade Organization Integrated Database. U.S. International Trade Commission statistics show that the combined effects of these biases can reach magnitudes that preclude the legitimate use of COMTRADE for many tariff-trade simulations or related trade negotiations. Copyright 2012, Oxford University Press.

Suggested Citation

  • Alexander J. Yeats, 2012. "Implications of COMTRADE Compilation Practices for Trade Barrier Analyses and Negotiations," The World Bank Economic Review, World Bank, vol. 26(3), pages 539-555.
    • Handle: RePEc:oup:wbecrv:v:26:y:2012:i:3:p:539-555
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    File URL: http://hdl.handle.net/10.1093/wber/lhr053
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    Cited by:

    1. Rahul Sen & Sadhana Srivastava & Don J Webber, 2015. "Effects of preferential trade agreements in the presence of zero trade flows: the cases of China and India," Working Papers 20151507, Department of Accounting, Economics and Finance, Bristol Business School, University of the West of England, Bristol.
    2. Rahul Sen & Sadhana Srivastava & Don Webber, 2015. "Preferential trading agreements and the gravity model in presence of zero and missing trade flows: Early results for China and India," Working Papers 2015-02, Auckland University of Technology, Department of Economics.

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