The research explores how firms behave in a Free Trade Area that has special rules. When firms specialize and the rules are strict, more final goods are imported, which is good for that market but not for the intermediate goods market. Stricter rules on final goods initially increase, then decrease final good imports but increase intermediate good imports. There is a tipping point where final good imports peak and intermediate goods imports drop. Tighter rules on final goods first help, then hurt labor outcomes. the study suggests a way to improve market access, with insights useful for analyzing similar problems.