ASEAN industrial cooperation: supply and demand considerations

Abstract

The prospects

Demand Prospects

The future of the ASEAN for a self-sustained industrial development depends essentially on the growth of demand for industrial products that the ASEAN coun- tries are capable of producing; the growth of their capacity to meet additional demand following the liberalization of intra-regional trade; the size of tariff cuts and the change in the degree of effective protection following the tariff cuts; the change in the level of income and income distribution after trade liberalization; the nature of the products, whether they are complementary or competitive, and the related issue of the adjustment mechanism and facilities for the reallocation of resources.