Offsetting Openness? The Impact of Gender Provisions on US Trade With Developing Countries

Abstract

The inclusion of non-trade issue (NTI) provisions in preferential trade agreements (PTAs)—extending beyond traditional trade matters to encompass labor, environmental, and gender commitments—has become a notable trend in international trade. While existing research has focused on the motivations behind such provisions and their effects on non-trade objectives, there remains a significant gap in understanding their impacts on bilateral trade flows, especially in the context of North–South trade partnerships. Gender provisions, in particular, have fallen outside the main focus of research. To fill this gap, we ask: How do gender-related provisions in US PTAs with developing countries affect trade? We argue that gender provisions decrease US imports by raising production costs for developing countries, with stronger effects in sectors with higher female employment in the US. Using industry-level bilateral data encompassing all US trade with developing countries (1996–2022), we find that gender provisions reduce US imports, especially in female-dominated manufacturing industries. Our study highlights the hidden protectionist potential of deep trade agreements in rich democracies, while contributing to research on gendered policy outcomes and trade and development.