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Regional deals can divert trade rather than create it.
Even so, harmonisation and recognition agreements can both create and divert trade.
If the agreements with Peru and Panama are approved, the effect would be to divert trade and investment from Colombia.
While Britain has failed to divert trade away from France, Spain, Ireland and Germany, Turkey is now selling goods to fast growing economies to the east and beyond.
But the Asian Development Bank (ADB) is worried that such deals will divert trade away from the region's poorest states, such as Cambodia and Laos.In America and Europe, firms play a big part in shaping trade deals.
Under the AGOA, for example, preferences for African garments are tightly linked to reverse preferences for American fabrics.Since preferences typically divert trade away from non-preferred countries, they tend to pitch poor nations against each other.
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A day earlier, the trading software used by the National Stock Exchange stopped functioning properly for nearly an hour, forcing other exchanges to divert trades around it.
Such deals risk diverting trade from countries outside the club to those inside it.
At worst, they do damage, artificially diverting trade away from excluded countries or clogging up commerce with fiendishly complicated "rules of origin".
They diverted trade from these older imperial cities to their own centres and also helped create a new set of routes to Lahore and the northwest.
By acting now, the United States and the European Union would also demonstrate that T.T.I.P. is about opening markets rather than diverting trade.
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