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The decline in world trade volume in 2009 was the worst since the Great Depression. The United States (US) spread the global recession as a major source of external demand. US import and export data are examined to understand the repercussions, particularly for developing economies divided into preferential and non-preferential trading partners. A key finding is that US trade with preferential partners contracted faster than with non-preferential partners. Case studies of autos and textiles provide insights. A new global trade deal may be the way forward as the US will have to expand net exports to restore growth.
Journal of International Commerce, Economics and Policy – World Scientific Publishing Company
Published: Oct 1, 2010
Keywords: Asia autos textiles Free Trade Agreements North American Free Trade Agreement (NAFTA) United States
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