ANALYSIS OF TRADE INTENSITY AND EXPORT PERFORMANCE IN ASEAN-AUSTRALIA-NEW ZEALAND FREE TRADE AREA (AANZFTA) USING TRADE INTENSITY INDEX (TII) AND CONSTANT MARKET SHARE (CMS) METHODS
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The ASEAN-Australia-New Zealand Free Trade Area which has been implemented since 1 January 2010 aims to build sustainable economic growth in the region by providing market and more market liberalization, facilitative and transparent among member countries incorporated in market agreements free. Trade between ASEAN-Australia-New Zealand which has a considerable trade value should be analyzed in the trade to be able to find out trade performance between ASEAN-Australia-New Zealand and analyze the factors that affect trade performance between the two cooperation so that the trade is expected to be effective and efficient. The aim of this research is to analyze the intensity of bilateral trade and export performance between the countries joined before and after the enactment of the ASEAN-Australia-New Zealand Free Trade Area. This study uses annual data from 2004-2016 obtained from United Nations International Trade Statistics Database. Analyzer used in this research is Trade Intensity Index and Constant Market Share. The results showed that the trade intensity between ASEAN-5 countries to Australia decreased, while the trade intensity between the ASEAN-5 countries to New Zealand increased after the implementation of ASEAN-Australia-New Zealand Free Trade Area while the export performance analysis resulted in three effects. World Trade Effect has become an export surplus of ASEAN-5 countries to Australia and New Zealand. While Commodity Composition Effect and Competitiveness Effect is the weakness of ASEAN-5 countries in bilateral trade with Australia and New Zealand. ASEAN-Australia-New Zealand Free Trade Area has had different impacts on ASEAN-5 countries that have changed from negative to positive or vice versa and there are countries that remain consistent.
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