@article{Darma_Hastiadi_2017, title={Trade Creation and Trade Diversion Effects of the ASEAN-China Free Trade Agreement, ASEAN-Korea Free Trade Agreement, and ASEAN-India Free Trade Agreement Implementation on the Export of Indonesia’s Food and Beverages Industry Products}, volume={7}, url={https://econjournals.com/index.php/ijefi/article/view/5530}, abstractNote={<p>This research is aimed at analyzing the effect of trade creation and trade diversion which occurs on the establishment of such cooperation for the<br />export of Indonesian food and beverage industry products with trading partners either with its members or non-members cooperation. This research<br />is conducted by using a test from 12 countries in the period of 2005-2015 estimated using a modified gravity model by increasing the variable on<br />dummy Free Trade Agreement (FTA) as a proxy from the impact on the implementation of ASEAN-China FTA (ACFTA), ASEAN-Korea FTA<br />(AKFTA), and ASEAN-India FTA (AIFTA). The estimate results of this research suggest that the implementation of ACFTA, AKFTA and AIFTA<br />provides positive and significant effect of trade creation and trade diversion on export of Indonesian food and beverage products. This signifies that<br />the implementation of ACFTA, AKFTA and AIFTA creates a trade creation effect by increasing intra-regional trade between ACFTA, AKFTA and<br />AIFTA member countries and not occur trade diversion with non-member countries.<br /><strong>Keywords:</strong> Asean-China Free Trade Agreement, Asean-Korea Free Trade Agreement, Asean-India Free Trade Agreement, Trade Creation, Trade<br />Diversion, Gravity Model, Indonesian Food and Beverage Industry Products<br /><strong>JEL Classifications:</strong> F13; L15</p>}, number={6}, journal={International Journal of Economics and Financial Issues}, author={Darma, Wahyudi Setia and Hastiadi, Fithra Faisal}, year={2017}, month={Dec.}, pages={51–58} }