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Chinese Exports and Non-Tariff Measures: Testing for Heterogeneous Effects at the Product Level

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  • Timini, Jacopo

    (Banco de España)

  • Conesa, Marina

    (Inter-American Development Bank)

Abstract

With international trade tariffs at historically low levels today, non-tariff measures (NTMs) play an important—and growing—role in global trade policy. Concerns about shifts in global trade policy agendas are on the rise. In this paper, we rely on a gravity model and focus on Chinese exports with two aims: the first is to test for heterogeneous effects of technical NTMs versus non-technical NTMs; the second is to verify whether the NTM’s effect is influenced by the type of good (final good vs. intermediate or capital good). We find that: 1) technical NTMs tend to have positive effects on trade flows, potentially driven by improvements in consumers’ confidence and by the technical capacities of Chinese exporters and 2) non-technical NTMs are particularly stringent for final goods, possibly due to political economy reasons or substitution effects.

Suggested Citation

  • Timini, Jacopo & Conesa, Marina, 2019. "Chinese Exports and Non-Tariff Measures: Testing for Heterogeneous Effects at the Product Level," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 34(2), pages 327-345.
    • Handle: RePEc:ris:integr:0773
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    More about this item

    Keywords

    International trade; Trade policy; Non-tariff measures; Gravity model;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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