Free trade areas of israel: design experience and prospects for Eurasian Economic Union and Ukraine

  • Vera Ozhigina Belarus State Economic University
Keywords: free trade area, free trade agreement, integration, trade, hub-and-spoke integration, Israel, Eurasian Economic Union (EAEU), European Union, United States, Canada, Mexico, Turkey, Southern Common Market (MERCOSUR), India, China, Republic of Korea, Panama, Colombia, Peru, Chile, Association of Southeast Asian Nations (ASEAN), Taiwan, Viet Nam

Abstract

Subject of research is the free trade areas (FTA) of Israel, created or under negotiation. The aim is to identify the features of integration system designed by Israel and its integration policies on the establishment of the FTAs, to develop recommendations for designing Israel FTAs with EUAU and Ukraine. Methodological basis of the study is a systematic approach, methods of analysis and synthesis, quantitative and qualitative analysis, theories of integration. Results of the study: on the basis of the analysis of the Israel’s FTAs with the EU, NAFTA countries, EFTA, Turkey, MERCOSUR, Colombia, Panama, Egypt, Jordan, negotiations on the FTAs with China, India, Republic of Korea, ASEAN, etc. countries of the APR identified the features of integration system and policies of Israel, offered recommendations for design of Israel’s FTAs with the EAEU and Ukraine. Scope of application: design of the integration systems of the EUAU and Ukraine taking into account the world experience. Conclusions: 1. Features of Israel’s integration system and policies are: lack of regional multilateral agreements and the presence of flexible interregional bilateral, asymmetry; emergence of hub-and-spoke situation during creation FTAs with the EU, the United States and MERCOSUR; potential of inclusion into TTIP and TISA; diversification of ties by entering the markets of APR; special status of agreements with neighbors; narrow scope of old agreements and the introduction of «WTO +» rules in the new. 2. Guidelines for designing the FTAs of EAEU and Ukraine with Israel: broad scope of FTAs, including intellectual property, services and investments, liberalization of trade in intermediate and high-tech goods; possibility of revision of agreement, application of special safeguard measures and long transitional period; trade liberalization, contributing to diversification; using the potential of FTAs of Israel with other countries to include jointly produced products in global production chains in APR and Europe.

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Author Biography

Vera Ozhigina, Belarus State Economic University

Ozhigina Vera, Candidate of Economic Sciences (Ph.D.), Associate Professor of the Department of World Economy

Published
2017-03-22
How to Cite
Ozhigina, V. (2017). Free trade areas of israel: design experience and prospects for Eurasian Economic Union and Ukraine. University Economic Bulletin, (33/1), 142-153. Retrieved from https://economic-bulletin.com/index.php/journal/article/view/209
Section
Economy and Management