Descriptive Study on the New Political Economy Models on Contemporary Foreign Trade Policy

Trade interfaces with many other policy areas, such as macroeconomic policy, intellectual property,
environmental protection, health and employment. The main aim of the article is indication of the new
political economy models on contemporary foreign trade policy. The subject of the discussion and
theoretical contribution in the undertaken research program is presents new tendencies in the
international business, the impact of the rise global supply chains on the political economy of trade
and countries motivations for cooperating on trade policies and the increasing importance of bilateral
agreements in the foreign trade policy. It is important to underline that a few multinational firms are
responsible for a major share of world trade. On the one hand, these firms should support regulatory
harmonization across different Preferential Trade Agreements (PTAs) in order to lower trade costs.
On the other hand, they might also resist harmonization – and encourage certain non-tariff measures
– in order to prevent new competitors from entering markets. It must be emphasise that WTO
members must develop new ways especially with developing countries, by financial, economic and
trade aid for them also because of the importance of agriculture, to find common ground in order to
negotiate for mutual gains from foreign trade and first of all from new models of foreign trade policy.
This may partly explain the persistence of regulatory divergence, and suggests that the political
economy of regulatory convergence may be more complex than is sometimes suggested.