Foreign Export Research Articles

Foreign competition and export diversification: Evidence from domestic firms in China

Foreign competition and export diversification: Evidence from domestic firms in China

How do exchange rates affect environmental quality?

AbstractExchange rates are integral to explaining the environmental consequences of globalization because they govern the prices of imported inputs and the price competitiveness of exports and, consequently, firms' input use decisions, production levels and emissions. We study how exchange rates, foreign input sourcing and export orientation determine environmental outcomes across countries and industries in both theoretical and empirical contexts. For industries that rely intensively on imported intermediate inputs, a stronger domestic currency leads to higher emission intensities (emissions per unit of output), while the reverse holds for industries that export intensively. Our results thus show that exchange rates have implications for the environment that have heretofore remained unexplored.

한국의 대외 수출에 미치는 TBT와 미통보 기술 규제의 영향분석: 중력모형과 PPML 방법론을 통한 접근

This study investigates the impact of Technical Barriers to Trade (TBT) and unnotified technologies on South Korea’s foreign exports, analyzing the background and objectives. With the expansion of regional economic blocks such as FTAs, the EU, and NAFTA, the scope of non-tariff barriers, including TBT and Sanitary and Phytosanitary (SPS) measures, has broadened. These non-tariff barriers, often implemented for safety purposes like environmental protection, can increase shipping and compliance costs, imposing a burden on domestic industries. The main objective of this study is to quantitatively evaluate the effects of TBT and unnotified technologies on South Korea's exports across various industries from 1995 to 2022. To achieve this, we employ the gravity model, one of the most widely used models in explaining trade conflicts, alongside the Poisson Pseudo Maximum Likelihood (PPML) method, which is suitable for handling the complexities of trade data with zero trade flows. This approach enables a detailed analysis of the impact of TBT and unnotified technologies on export performance, disaggregated by objective and industry. The results reveal that while TBT has a positive effect in promoting exports, unnotified technologies have a negative impact. These findings highlight the importance of distinguishing between the two in international trade negotiations.

Export Dynamics and Performance of Tree Seeds in Tanzania: An Analytical Study of Tanzania Forest Services Agency

Purpose: This study investigates the determinants of export performance for tree seeds by the Tanzania Forest Services (TFS) through an analytical framework grounded in the Resource-Based View (RBV) theory. It aims to identify and analyze the influence of Foreign Market Characteristics (FMC), Export Competence (EC), and Business Environment (BE) on the export performance of tree seeds in Tanzania. Design/Methodology: The study adopted a longitudinal research design to analyze the export dynamics and performance of tree seeds in Tanzania over 14 years, from 2003 to 2016. Data was collected from TFS over 14 years, covering export volumes and values. The analysis examines the effects of FMC, EC, and BE on tree seed export performance. Findings: The findings indicate that FMC, EC, and BE significantly affect export performance. Foreign market characteristics enhance export performance by improving market demand and accessibility. Export competence contributes to success through superior production quality and logistics. A supportive business environment facilitates exports by reducing trade barriers and improving infrastructure. Thus, these insights suggest the need to foster internal competencies, improve export strategies, and enhance regulatory and economic frameworks to boost the export potential of tree seeds from Tanzania. Originality/Value: This study offers new insights into how internal capabilities and external market conditions jointly influence the export performance of tree seeds. It bridges theoretical frameworks with practical implications for TFS. The study provides actionable recommendations for policymakers to improve export strategies, optimize market access, and strengthen business conditions, thereby advancing Tanzania’s position in the global tree seed market.

Imports and the CO2 emissions of firms

We explore how importing of intermediate goods affects the carbon intensity of firms in the Swedish manufacturing sector. By exploiting exogenous shocks to foreign export supply of intermediate goods, we estimate that a 10 percent increase in imports causes a 5.6 percent reduction in carbon intensity. Average carbon intensity among the firms in our sample between 2004 and 2016 decreased by around 50 percent, and our results suggest that import growth accounted for about a third of this decline. Exploring the mechanisms, we find evidence for both a technique effect and a product composition effect. Importing has a positive impact on productivity, scale of production, and abatement investments. It also encourages firms to focus more on their core products. We find no evidence for a pollution haven effect.

Assessing the impact of free trade agreement (FTA) signing on China’s outbound labor services

This study utilizes panel data encompassing 164 countries to analyze China’s foreign labor export from 2008 to 2017. Employing the multi-period double-difference method, the research investigates the impact of Free Trade Agreement (FTA) signings on China’s labor export. Empirical findings reveal the following insights:The signing of FTAs significantly enhances China’s foreign labor export, demonstrating a temporal effect. Importantly, this conclusion withstands rigorous testing through various robustness checks. FTAs have a positive impact on China’s labor export to developing countries but do not exhibit a similar effect on developed countries. The impact of FTAs on labor export is pronounced in contractual engineering scenarios, while no discernible effect is observed in China’s labor cooperation. Through a meticulous examination of specific WTO+ and WTO-X provisions, the study underscores that it is primarily the WTO+ provisions that drive China’s foreign labor export. Consequently, strategic recommendations are proposed. These include fostering additional FTAs between China and developing nations, prioritizing labor export within contracted projects, encouraging expansion of Chinese labor export enterprises into new markets, promoting multi-party cooperation to facilitate overseas labor export, diligent consideration of existing FTA provisions, and exploration of transitioning from WTO+ to WTO-X provisions.

Unveiling the Power of Nation Branding: Exploring the Impact of Economic Factors on Global Image Perception

Nation branding, which demonstrates countries’ power on an international platform, has gained prominence in the literature in recent years. How countries can build their strategies around these factors and make themselves attractive has become an issue of increasing interest to countries in recent years. Increasing a country’s role in the political arena, making the country more attractive to tourists, increasing the volume of foreign trade and foreign direct investment, and making the country more attractive in terms of skilled labor will improve its reputation and image, as perceived by other countries. The main objective of the study is to investigate the impact of foreign direct investment, tourism expenditure, human capital, and export on nation branding in the ten countries with the highest value in nation branding (USA, Germany, China, Japan, England, France, Italy, Canada, India, South Korea) applying the dynamic panel data model for the period 2010–2020. In the present study, we use the cross-sectional dependence, the slope homogeneity test, the CIPS unit root test, and the Generalized Method of Moments (GMM) method, one of the dynamic panel data methods. This study examined the factors involved in nation branding and found a positive and statistically significant relationship between exports, foreign direct investment, tourism, human capital, and nation branding.

Evaluation of Trend of Foreign Exchange Reserve and Shipping Industry Trade Performance in Nigeria

This study focused on evaluation of the trend of Foreign Exchange Reserve (FX) and performance of shipping industry trade through examining the export and import trades within the periods 2011 to 2022. The objectives were to determine the correlation between trend values of FX with export and import shipping trades in Nigeria. Provisional data on Foreign Exchange Reserve, export and import trades from World Bank, CBN and Trend Economy were analyzed using spearman’s rank correlation coefficient analysis and it was observed that Foreign Exchange positively influences export and import shipping trades, however, the study infers that the impacts were not significant at 0.05 (2-tailed) Significance level. It concludes that the positive correlations between the data variables informs that decrease in FX influences decrease in export and import trade which also retar economic growth, development and reduced people’s standards of living in Nigeria. However, the reserve becomes the case. The study recommends immediate policy adjustment to hold and maintain strong Foreign Exchange which could boost country’s reserve for better performance of the shipping industry and other sectors of the economy.

Sectoral Composition of Outward FDI and its Impact on Export Diversification in Saudi Arabia

This research explores the relationship between outward foreign direct investment (FDI) and export diversification in emerging economies, with a focus on the case study of Saudi Arabia. Utilizing a multi-equation model and vector autoregression analysis, the study investigates various factors such as the level and sectoral composition of outward FDI, income levels, institutional factors, and regional trade agreements. The findings suggest that while outward FDI can influence export diversification, its impact varies based on factors such as the sectoral distribution of investments, income levels, and institutional quality. Additionally, cointegration and vector error correction models reveal long-term relationships among key variables, highlighting the complex interplay between economic development, governance, and investment patterns. Impulse response analysis sheds light on the dynamic nature of shocks and their effects on the economy over time, emphasizing the interconnectedness of variables. Variance decomposition analysis further elucidates the significance of shocks in explaining fluctuations in model variables, underscoring the systemic interdependencies at play. Overall, the study provides valuable insights into the mechanisms through which outward FDI influences export diversification and economic development in emerging economies like Saudi Arabia and institutional reforms are essential; strengthening institutions and improving regulatory frameworks can amplify the positive effects of outward FDI on export diversification.

Impact of Trade Liberalization Policies on Investment and Development in Developing Countries

Purpose: The aim of the study was to analyze the impact of trade liberalization policies on investment and development in developing countries Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries. Findings: Trade liberalization policies have led to increased foreign direct investment (FDI) inflows and export opportunities in developing countries. However, they have also posed challenges such as heightened competition and vulnerability to external shocks. The effectiveness of trade liberalization policies varies across countries and depends on factors such as institutional capacity, infrastructure, and trade-related regulations. Unique Contribution to Theory, Practice and Policy: Dependency theory, institutional theory & stages of economic development theory may be used to anchor future studies on the impact of trade liberalization policies on investment and development in developing countries. Policymakers should prioritize the design and implementation of targeted interventions aimed at maximizing the benefits of trade liberalization while mitigating its potential adverse effects. Moreover, policymakers should prioritize investments in education, healthcare, and social protection to enhance human capital development and ensure that the benefits of trade liberalization are equitably distributed across society

The asymmetric effect of global value chain on environmental quality: Implications for environmental management

This study examines the dynamic relationship between global value chain integration, and carbon emissions, in 57 developing economies from 2000 to 2018. Our results show a multipart link between GVC involvement and carbon emissions. Specifically, forward participation, which involves domestic content in foreign exports, offers the potential to reduce emissions, whereas backward participation, defined by foreign content in domestic exports, typically increases emissions. This imbalance draws attention to the dual nature of using mineral resources, which can contribute to and mitigate environmental damage depending on the extent of GVC engagement. The NARDL model employed in the study also reveals the dynamic and nonlinear responses of carbon emissions to variations in the utilization of mineral resources within GVCs. Our findings show that positive shocks to mineral resources use within GVCs negatively influence carbon emissions, while adverse shocks have less impact. The results have significant policy implications, indicating that developing nations should prioritize environmental sustainability while planning their GVC participation. This entails promoting value-added mining resource use initiatives and pushing for strict environmental regulations in GVCs. Our results also highlight the significance of implementing customized measures to mitigate economic activity's asymmetric and nonlinear impacts on environmental quality. It enlightens policymakers in developing nations on balancing environmental conservation and economic growth in a global economy that is becoming more interconnected.

Investigating the Nexus Between Foreign Direct Investment and Export Performance: Empirical Evidence from Somalia

Investigating the Nexus Between Foreign Direct Investment and Export Performance: Empirical Evidence from Somalia

Comparative Studies of Hybrid ARIMA and Artificial Neural Network (ANN) Techniques for Predicting Exchange Rate in Pakistan

For predicting time series data the ARIMA and ANN provides a good technique in the field of research. Time series data often contain both linear and nonlinear patterns. Therefore, neither ARIMA nor neural networks can be adequate in modeling and predicting time series data. When applying the linear models, most existing studies seem to use the same specification for estimation and forecasting, but the dynamic impact of the concerned variables is ignored. In this study combined the ARIMA and Artificial neural network model by adopting both an equal weighted approach and profit weighted approach to capture both th linear and nonlinear components of the exchange rate, and also developed a hybrid techniques by using models of artificial neural network (ANN) and autoregressive integrated moving average (ARIMA) and their performance were compared to ANN and Hybrid ARIMA models. The Hybrid models are used for forecasting the future exchange rate for dollar, the exports and imports of data The findings showed that combining both ARIMA and ANN models reap the advantage of linear and nonlinear modeling. The capability of the two models are analyzed based on standard statistical measures such as, mean absolute error (MAE), root mean square error (RMSE), and mean squared error (MSE). Models effectiveness The effectiveness of the models are analyzed for the foreign exchange rate, imports and exports of the data and concluded that hybrid techniques provided the best forecasting results.

The relationship between foreign direct investment and trade openness: Evidence from six developed economies

Abstract Subject and purpose of work In recent years, the competition for economic dominance globally has led developed economies increasingly to focus on outward foreign direct investment (FDI) and exports to other developing nations. However, there has been a notable research gap, with most studies concentrating on assessing the significance of FDI and trade openness in developing countries, while less attention has been paid to developed countries. This study explores the relationship between FDI and trade openness with economic growth in six developed economies. Material and methods Utilising annual data spanning from 1990 to 2022 from the World Bank, the study employs the panel Autoregressive Distributed Lag (ARDL) method for analysis. Results The estimated results indicate a negative long-run relationship and a positive short-run effect of FDI in the selected economies. Furthermore, the findings reveal a positive long-run association and a negative short-run impact of trade openness. The causality test indicated a bidirectional relationship between trade openness and economic growth. Conclusions The study suggests that various governments should enhance their investment environments to leverage the benefits of FDI inflows.

The Roles of Insurance on Economic Growth in Malaysia: An ARDL Approach

Malaysia’s economic growth has been rising steadily over the years and one of the main contributors is the insurance sector. The literature has recorded mixed findings on the relationship between insurance and economic growth. This paper examines the relationship between the insurance sector and economic growth in Malaysia over an extended period of 1990-2021. This paper uses three proxies for the insurance sector i.e. life insurance premiums, nonlife insurance premiums, and total insurance premiums. The Autoregressive-Distributed Lag (ARDL) and Error Correction Model (ECM) approaches are employed to achieve the objective. While controlling for foreign direct investment, export, and import, this paper found that there is a positive long-run relationship between non-life insurance premiums and economic growth. Conversely, a negative short-run relationship is observed between life insurance premiums and economic growth. The total insurance premium has a negative short-run relationship with economic growth yet is insignificant for the long-run. The non-life insurance sector has a larger contribution compared to life insurance on Malaysia's economic growth as the market depends more on capital formation and investments, particularly in infrastructure, real estate, and capital markets. The insurance sector provides financial expansion in terms of payment for protection which results in an economic boost.

Statistical Properties of the Department of Commerce’s Antidumping Duty Calculation Method with Implications for Current Trade Cases

The Department of Commerce (DOC) uses differential pricing analysis in order to detect whether a foreign exporter dumps goods in the U.S. market at prices lower than the exporter sells the goods for in its domestic market. A dumping duty is then levied on the exporter, the amount of which depends on the dumping margin. Several recent cases at the Federal Circuit Court of Appeals have challenged the DOC’s methodology on statistical grounds. In this article, the DOC’s procedure for calculating the dumping margin is described in detail, including the rules for the controversial zeroing policy. Several statistical issues with the DOC’s approach are identified and some potential improvements are proposed.

Analysis of the Internationalization Strategy of Peanut Butter Export Industry

Qingdao Food is the mainstream enterprise for exporting peanut butter from China. By analyzing the export situation of peanut butter from Qingdao Food Co., Ltd., analyze the problems and countermeasures of peanut butter export.Founded in 1950, Qingdao Food Co., Ltd. is a leading enterprise in Qingdao's food industry. In the long run, Qingdao Food Co., Ltd. has developed a large foreign markets with its peanut butter and cookies, but compared with other enterprises of the same type,Qingdao Food Co., Ltd. still has great deficiencies in its foreign export. This paper carries out a series of researches on the international strategy of Qingdao Food Co., Ltd. to further analyze its existing problems, and puts forward solutions or improvement measures on the basis of the researches, in order to a better promote the international trade of Qingdao Foodstuffs and accelerate the development of China's foreign trade in food industry products.

Exports And Their Implications for The Position of Foreign Exchange Reserves in Indonesia 2005-2022

The purpose of this study was to determine the effect of oil and gas exports and non-oil and gas exports on the position of foreign exchange reserves in Indonesia for the period 2005–2022. The discussion of this research relates to oil and gas exports, non-oil and gas exports, and the position of foreign exchange reserves. In this regard, the approach taken is theories related to the field. This research was conducted in Indonesia. This type of research is quantitative research. The data used in this study are secondary data of the time series type in the form of publications on oil and gas exports, non-oil and gas exports, and the position of foreign exchange reserves from 2005 to 2022 obtained from the Central Bureau of Statistics. The research method used in this study is the explanatory method. The data analysis technique in this study is descriptive analysis and multiple linear regression analysis. The results of this study partially show that there is no effect of oil and gas exports on the position of foreign exchange reserves, while non-oil and gas exports have an effect on the position of foreign exchange reserves. Simultaneously, it shows that there is an influence of oil and gas exports and non-oil and gas exports on the position of foreign exchange reserves.

Influence Path Analysis of Coordination between Material and Spiritual Civilization Based on the VAR Model

This paper quantitatively analyzes the degree of coordination between China's material civilization and spiritual civilization by establishing an entropy method-coupled coordination degree model. Based on the quantitative results, indicators of China's 1987-2021 tax policy, monetary policy, and open economy policy are introduced to construct a vector autoregressive model to deeply analyze the dynamic relationship between the level of coordination and these influencing factors from multiple perspectives. It is found that maintaining a robust monetary policy, optimizing the structure of foreign trade and exports, and optimizing the structure of taxation are conducive to further enhancing the level of the degree of harmonization between China's material and spiritual civilization, and promoting the high-quality development of China's modernization.

Coordination with Foreign Distributors and Export Performance: Moderating Effects of International Experience and Firm Size

Coordination with Foreign Distributors and Export Performance: Moderating Effects of International Experience and Firm Size