Analyzing the Impact of Rules of Origin on the Industrial Value Chain Under the Upgraded African Continental Free Trade Area in the Context of Biotechnology

Abstract

In light of recent developments, the enhancement of the ASEAN-China Free Trade Area (ACFTA) emphasizes the commitment of ASEAN and China to adapt the free trade agreement to better meet contemporary business needs and address global challenges. Within this upgraded framework, the Rules of Origin (RoO) are pivotal in shaping the regional industrial value chain. These rules, by establishing diverse compliance standards, significantly influence resource allocation strategies of exporting firms, thereby impacting how deeply and broadly industries within member countries are integrated into the value chain. This paper explores the transformative role of RoO in restructuring the industrial value chain under the upgraded ACFTA, highlighting their strategic implications for biotechnological advancements and cross-regional economic synergies in the biotechnology sector.