Dissemination of Non-Tariff Measures in ASEAN and Some Implications

Abstract

By aggregating the calculation of indicators assessing the popularity of non-tariff measures including coverage ratio, frequency index and prevalence score, combined with the tallying method of the number of non-tariff measures applied by ASEAN member states collected from sources such as TRAINS – UNCTAD, WITS – World Bank, this study has assessed the dissemination of the application of ASEAN’s non-tariff measures in the period from 2015 to 2022. The results have shown that the non-tariff measures applied by ASEAN nations tend to increase exponentially. SPS and TBT are the two types of non-tariff measures recorded as the most applicable at ASEAN. The agricultural products sector is being affected by non-tariff measures much more than those in the industrial or mineral sectors. The dense application of non-tariff measures is one of the main reasons why intra-regional trade has not flourished. Non-tariff measures have become the biggest challenge for domestic and foreign enterprises to penetrate into ASEAN markets. Therefore, the study provides some implications to reduce non-tariff barriers, and solutions to help governments and businesses in ASEAN overcome these obstacles.