IDEAS home Printed from https://ideas.repec.org/a/spr/josatr/v4y2019i1d10.1186_s41072-019-0041-x.html
   My bibliography  Save this article

Are trade and transport logistics activities mutually reinforcing? Some empirical evidences from ASEAN countries

Author

Listed:
  • Kee-hung Lai

    (The Hong Kong Polytechnic University)

  • Yu Pang

    (Macau University of Science and Technology)

  • Christina W. Y. Wong

    (The Hong Kong Polytechnic University)

  • Y. H. Venus Lun

    (The Hong Kong Polytechnic University)

  • Y. N. Eppie Ng

    (The Hong Kong Polytechnic University)

Abstract

Both trade and transport logistics activities have impressively flourished among the Association of Southeast Asian Nations (ASEAN) countries over the past decades. Based on these observations, this paper conjectures that trade liberalization and transport logistics development are mutually reinforced. Elimination of internal tariff in the free trade area facilitates trade thereby increasing the demand for transport logistics. Transport logistics development generates spillover effect to promote trade with nonmembers. The findings of this paper indicate that a country’s transport logistics development will bolster both of its regional and global trade development.

Suggested Citation

  • Kee-hung Lai & Yu Pang & Christina W. Y. Wong & Y. H. Venus Lun & Y. N. Eppie Ng, 2019. "Are trade and transport logistics activities mutually reinforcing? Some empirical evidences from ASEAN countries," Journal of Shipping and Trade, Springer, vol. 4(1), pages 1-17, December.
  • Handle: RePEc:spr:josatr:v:4:y:2019:i:1:d:10.1186_s41072-019-0041-x
    DOI: 10.1186/s41072-019-0041-x
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1186/s41072-019-0041-x
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1186/s41072-019-0041-x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ustundag, Alp & Tanyas, Mehmet, 2009. "The impacts of Radio Frequency Identification (RFID) technology on supply chain costs," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 45(1), pages 29-38, January.
    2. Laird, James J. & Venables, Anthony J., 2017. "Transport investment and economic performance: A framework for project appraisal," Transport Policy, Elsevier, vol. 56(C), pages 1-11.
    3. Lai, Kee-hung, 2004. "Service capability and performance of logistics service providers," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 40(5), pages 385-399, September.
    4. Simeon Djankov & Caroline Freund & Cong S. Pham, 2010. "Trading on Time," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 166-173, February.
    5. Magee, Christopher S.P., 2008. "New measures of trade creation and trade diversion," Journal of International Economics, Elsevier, vol. 75(2), pages 349-362, July.
    6. David L. Hummels & Georg Schaur, 2013. "Time as a Trade Barrier," American Economic Review, American Economic Association, vol. 103(7), pages 2935-2959, December.
    7. John S. Wilson & Catherine L. Mann & Tsunehiro Otsuki, 2005. "Assessing The Potential Benefit Of Trade Facilitation: A Global Perspective," World Scientific Book Chapters, in: Philippa Dee & Michael Ferrantino (ed.), Quantitative Methods For Assessing The Effects Of Non-Tariff Measures And Trade Facilitation, chapter 8, pages 121-160, World Scientific Publishing Co. Pte. Ltd..
    8. Douglas H. Brooks & Jayant Menon (ed.), 2008. "Infrastructure and Trade in Asia," Books, Edward Elgar Publishing, number 13171.
    9. Claudio Ferrari & Marco Percoco & Andrea Tedeschi, 2010. "Ports And Local Development: Evidence From Italy," Articles, International Journal of Transport Economics, vol. 37(1).
    10. Portugal-Perez, Alberto & Wilson, John S., 2012. "Export Performance and Trade Facilitation Reform: Hard and Soft Infrastructure," World Development, Elsevier, vol. 40(7), pages 1295-1307.
    11. Toke S. Aidt & Martin Gassebner, 2010. "Do Autocratic States Trade Less?," The World Bank Economic Review, World Bank, vol. 24(1), pages 38-76, January.
    12. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," Journal of Economic Literature, American Economic Association, vol. 42(3), pages 691-751, September.
    13. Okabe, Misa & Urata, Shujiro, 2014. "The impact of AFTA on intra-AFTA trade," Journal of Asian Economics, Elsevier, vol. 35(C), pages 12-31.
    14. Julia Devlin & Peter Yee, 2005. "Trade Logistics in Developing Countries: The Case of the Middle East and North Africa," The World Economy, Wiley Blackwell, vol. 28(3), pages 435-456, March.
    15. Carolyn L. Evans & James Harrigan, 2005. "Distance, Time, and Specialization: Lean Retailing in General Equilibrium," American Economic Review, American Economic Association, vol. 95(1), pages 292-313, March.
    16. Maurice Schiff & L. Alan Winters, 2003. "Regional Integration and Development," World Bank Publications - Books, The World Bank Group, number 15172.
    17. Dollar, David & Kraay, Aart, 2003. "Institutions, trade, and growth," Journal of Monetary Economics, Elsevier, vol. 50(1), pages 133-162, January.
    18. Indira M. Hapsari & Carlos Mangunsong, 2006. "Determinants of AFTA Members’ Trade Flows and Potential for Trade Diversion," Working Papers 2106, Asia-Pacific Research and Training Network on Trade (ARTNeT), an initiative of UNESCAP and IDRC, Canada..
    19. Wong, Christina W.Y. & Wong, Chee Yew & Boon-itt, Sakun, 2013. "The combined effects of internal and external supply chain integration on product innovation," International Journal of Production Economics, Elsevier, vol. 146(2), pages 566-574.
    20. M. Ayhan Kose & Guy M. Meredith & Christopher M. Towe, 2005. "How Has NAFTA Affected the Mexican Economy? Review and Evidence," Springer Books, in: Rolf J. Langhammer & Lúcio Vinhas Souza (ed.), Monetary Policy and Macroeconomic Stabilization in Latin America, pages 35-81, Springer.
    21. Matsumoto, Hidenobu, 2007. "International air network structures and air traffic density of world cities," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(3), pages 269-282, May.
    22. Li, Michael Z.F., 1998. "Air transport in ASEAN: Recent developments and implications," Journal of Air Transport Management, Elsevier, vol. 4(3), pages 135-144.
    23. Ziaul Haque Munim & Hans-Joachim Schramm, 2018. "The impacts of port infrastructure and logistics performance on economic growth: the mediating role of seaborne trade," Journal of Shipping and Trade, Springer, vol. 3(1), pages 1-19, December.
    24. David Hummels, 2007. "Transportation Costs and International Trade in the Second Era of Globalization," Journal of Economic Perspectives, American Economic Association, vol. 21(3), pages 131-154, Summer.
    25. Y. H. Venus Lun & Jan Hoffmann, 2016. "Connectivity and trade relativity: the case of ASEAN," Journal of Shipping and Trade, Springer, vol. 1(1), pages 1-13, December.
    26. Pakasa Bary, 2015. "The Time-Varying Impact of Regional Trade Agreement: Evidence from ASEAN," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 5(9), pages 1061-1075.
    27. Christopher Balding, 2011. "A re-examination of the relation between democracy and international trade," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 20(5), pages 585-603, July.
    28. Kee-Hung Lai & Christina Wy Wong & T C E Cheng & Andy C L Yeung, 2006. "Antecedents and Consequences of Electronic Product Code Adoption and its Implications for Supply Chain Management: A Framework and Propositions for Future Research," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 8(4), pages 311-330, December.
    29. Jan Hoffmann & Gordon Wilmsmeier & Y.H. Venus Lun, 2017. "Connecting the world through global shipping networks," Journal of Shipping and Trade, Springer, vol. 2(1), pages 1-4, December.
    30. Bottasso, Anna & Conti, Maurizio & Ferrari, Claudio & Tei, Alessio, 2014. "Ports and regional development: A spatial analysis on a panel of European regions," Transportation Research Part A: Policy and Practice, Elsevier, vol. 65(C), pages 44-55.
    31. Pakasa Bary, 2015. "The Time-Varying Impact of Regional Trade Agreement: Evidence from ASEAN," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 5(9), pages 1061-1075, September.
    32. Olga Memedovic & Lauri Ojala & Jean-Paul Rodrigue & Tapio Naula, 2008. "Fuelling the global value chains: what role for logistics capabilities?," International Journal of Technological Learning, Innovation and Development, Inderscience Enterprises Ltd, vol. 1(3), pages 353-374.
    33. Jane Korinek & Patricia Sourdin, 2011. "To What Extent Are High-Quality Logistics Services Trade Facilitating?," OECD Trade Policy Papers 108, OECD Publishing.
    34. Douglas H. Brooks, 2010. "Regional Cooperation, Infrastructure, and Trade Costs in Asia," Working Papers id:3090, eSocialSciences.
    35. Hildegunn Kyvik Nordås & Enrico Pinali & Massimo Geloso Grosso, 2006. "Logistics and Time as a Trade Barrier," OECD Trade Policy Papers 35, OECD Publishing.
    36. Wong, Christina W.Y. & Sancha, Cristina & Thomsen, Cristina Gimenez, 2017. "A national culture perspective in the efficacy of supply chain integration practices," International Journal of Production Economics, Elsevier, vol. 193(C), pages 554-565.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Oktaviani Turbaningsih, 2022. "The study of project cargo logistics operation: a general overview," Journal of Shipping and Trade, Springer, vol. 7(1), pages 1-19, December.
    2. Gregory Whitten & Xiaoyi Dai & Simon Fan & Yu Pang, 2020. "Do political relations affect international trade? Evidence from China’s twelve trading partners," Journal of Shipping and Trade, Springer, vol. 5(1), pages 1-24, December.
    3. Wang, Chao & Kim, Yul-Seong & Kim, Chi Yeol, 2021. "Causality between logistics infrastructure and economic development in China," Transport Policy, Elsevier, vol. 100(C), pages 49-58.
    4. Adedotun Joseph Adenigbo & Joash Mageto & Rose Luke, 2023. "Effect of shipping trade on economic growth in Nigeria: the Vector Error Correction Model (VECM) approach," Journal of Shipping and Trade, Springer, vol. 8(1), pages 1-18, December.
    5. Filip Ž. Bugarèiæ & Vladimir Miæiæ & Nenad Stanišiæ, 2023. "The role of logistics in economic growth and global competitiveness," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 41(2), pages 499-520.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Y. H. Venus Lun & Jan Hoffmann, 2016. "Connectivity and trade relativity: the case of ASEAN," Journal of Shipping and Trade, Springer, vol. 1(1), pages 1-13, December.
    2. Patricia Sourdin & Richard Pomfret, 2012. "Trade Facilitation," Books, Edward Elgar Publishing, number 14596.
    3. Thomas Orliac, 2012. "The economics of trade facilitation [L'économie de la facilitation des échanges]," SciencePo Working papers Main tel-03681980, HAL.
    4. Volpe Martincus, Christian & Carballo, Jerónimo & Graziano, Alejandro, 2015. "Customs," Journal of International Economics, Elsevier, vol. 96(1), pages 119-137.
    5. Bianka Dettmer & Andreas Freytag & Peter Draper, 2013. "Check-in, departure and arrival times: Air cargo in Southern Africa?," Jena Economics Research Papers 2013-018, Friedrich-Schiller-University Jena.
    6. Avetisyan, Misak & Hertel, Thomas, 2021. "Impacts of trade facilitation on modal choice and international trade flows," Economics of Transportation, Elsevier, vol. 28(C).
    7. Harald Oberhofer & Michael Pfaffermayr & Richard Sellner, 2021. "Revisiting time as a trade barrier: Evidence from a panel structural gravity model," Review of International Economics, Wiley Blackwell, vol. 29(5), pages 1382-1417, November.
    8. Huynh, Cong Minh & Hong, Thien Huong, 2022. "The multi-dimension of international logistics performance and export flows: An empirical study from developing countries," MPRA Paper 112444, University Library of Munich, Germany.
    9. Beverelli, Cosimo & Neumueller, Simon & Teh, Robert, 2015. "Export Diversification Effects of the WTO Trade Facilitation Agreement," World Development, Elsevier, vol. 76(C), pages 293-310.
    10. Dettmer, Bianka & Freytag, Andreas & Draper, Peter, 2014. "Air Cargo beyond Trade Barriers in Africa," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 29, pages 95-138.
    11. Ziaul Haque Munim & Hans-Joachim Schramm, 2018. "The impacts of port infrastructure and logistics performance on economic growth: the mediating role of seaborne trade," Journal of Shipping and Trade, Springer, vol. 3(1), pages 1-19, December.
    12. Hendy, Rana & Zaki, Chahir, 2021. "Trade facilitation and firms exports: Evidence from customs data," International Review of Economics & Finance, Elsevier, vol. 75(C), pages 197-209.
    13. Alberto Behar & Philip Manners & Benjamin D. Nelson, 2013. "Exports and International Logistics," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 75(6), pages 855-886, December.
    14. Miren Lafourcade & Jacques-François Thisse, 2011. "New Economic Geography: The Role of Transport Costs," Chapters, in: André de Palma & Robin Lindsey & Emile Quinet & Roger Vickerman (ed.), A Handbook of Transport Economics, chapter 4, Edward Elgar Publishing.
    15. Chen, Natalie & Novy, Dennis, 2008. "International Trade Integration: A Disaggregated Approach," CEPR Discussion Papers 7103, C.E.P.R. Discussion Papers.
    16. Wessel, Jan, 2019. "Evaluating the transport-mode-specific trade effects of different transport infrastructure types," Transport Policy, Elsevier, vol. 78(C), pages 42-57.
    17. Chu Ping Lo, 2018. "China's New Silk Road and China-EU Trade," Annals of Economics and Finance, Society for AEF, vol. 19(2), pages 683-701, November.
    18. W. Matekenya & R. Ncwadi, 2022. "The impact of maritime transport financing on total trade in South Africa," Journal of Shipping and Trade, Springer, vol. 7(1), pages 1-17, December.
    19. Pablo Guerrero & Krista Lucenti & Sebastián Galarza S., 2009. "Trade Logistic and Regional Integration in Latin America & the Caribbean," IDB Publications (Working Papers) 9331, Inter-American Development Bank.
    20. Reshad N. Ahsan, 2017. "Does Corruption Attenuate The Effect Of Red Tape On Exports?," Economic Inquiry, Western Economic Association International, vol. 55(3), pages 1192-1212, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:josatr:v:4:y:2019:i:1:d:10.1186_s41072-019-0041-x. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.