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How Preferential are RCEP Tariffs?

In: Dynamism of East Asia and RCEP: The Framework for Regional Integration

Author

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  • Kazunobu Hayakawa

    (Bangkok Research Center, Institute of Developing Economies, Thailand)

Abstract

This study discusses the extent to which the tariffs provided in the Regional Comprehensive Economic Partnership (RCEP) are preferential. RCEP does not necessarily adopt a common concession rule in tariffs, and the speed and depth of tariff reduction/elimination also differ by country. We show that RCEP tariffs become the best choice in trading some specific products with some specific countries in some specific years. Furthermore, there are some specific cases where the use of RCEP tariffs becomes beneficial even if RCEP tariffs are not lower. Therefore, we demonstrate that RCEP tariffs are beneficial in specific types of supply chains. In short, this study aims to enhance our comprehensive understanding of how preferential RCEP tariffs are compared with other types of available tariffs.

Suggested Citation

  • Kazunobu Hayakawa, 2022. "How Preferential are RCEP Tariffs?," Chapters, in: Fukunari Kimura & Shujiro Urata & Shandre Mugan Thangavelu & Dionisius Narjoko (ed.), Dynamism of East Asia and RCEP: The Framework for Regional Integration, chapter 2, pages 13-37, Economic Research Institute for ASEAN and East Asia (ERIA).
    • Handle: RePEc:era:chaptr:2022-rcep2-2
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