Overview on tariff and non-tariff barriers faced by the GMS countries
The Greater Mekong Subregion (GMS) economies have grown impressively during the past decade. Every GMS country, except Thailand, posted GDP growth rates of greater than 4% between 1992 and 2007. Total exports of GMS countries increased more than 300% over the same period. Intra-regional trade soared even more; that trade is 11 times more than what it was in 1992. The foreign direct investment into the sub-region has almost doubled from 1992 to 2007. All six GMS countries have engaged themselves increasingly in the global market. However, challenges in terms of tariffs and non-tariffs have been posed to these countries. Such challenges have prevented them from reaping the full benefits from undertaking international trade. This paper provides an overview on trade barriers faced by the GMS countries. It starts with Part 1, which reports the information regarding the export product diversification and market diversification of these economies. Part 2 shows the tariff rates imposed by major export destinations for each GMS country. In part 3, an account of the types of non-tariff barriers faced by countries in the sub-region is provided.
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