Trade Mode Research Articles

Foreseeing Potential Trade Effects of Additive Manufacturing: Evidence from Trade in Sound Recordings

Additive manufacturing (AM), known as three-dimensional printing, has the potential to drastically change the mode of production and trade in goods. However, it is challenging to investigate the effects of AM on trade because existing AM production patterns are still immature. As an analogy for the impacts of AM, this study investigates the effects of internet distribution on trade in sound recordings, which has changed after the emergence of online shops or streaming services. Specifically, we estimate the gravity equation in the bilateral trade in sound recordings among 197 countries in 2003–2017 and demonstrate that internet penetration significantly decreases trade in sound recordings. Furthermore, the strong protection of intellectual property rights in importing countries weakens the trade-reducing effect, whereas that in exporting countries magnifies such an effect.

Digital trade liberalization and quality upgrading: evidence from Chinese intermediate imports

ABSTRACT This article investigates how the import quality of intermediate products responds to digital trade liberalization using Chinese Customs data and the composite index of digital trade liberalization obtained from OECD database for 2014–2019. The results reveal that digital trade liberalization has significantly improved the quality of Chinese manufacturing intermediate imports. Further mechanism tests show that digital trade liberalization will boost the improvements through trade cost reduction effects. For the influence path, digital trade liberalization will promote the quality upgrading through both intensive and extensive margins. The heterogeneity analyses find that imports from countries with high economic developments experienced larger quality promotion than those from lower economic area. Meanwhile, the quality upgrading effects of digital trade liberalization are mainly reflected in Chinese non-comparative industries, such as downstream, digital-intensive, R&D-intensive and technology-intensive industries. Moreover, compared to homogeneous products and those by processing trade mode, the quality of intermediate imports for differentiated products by general trade are more responsive to the liberalization of digital trade barriers.

Impact and mechanism analysis of industrial robot imports on export performance of Chinese firms

Digital import trade is of great practical significance for enhancing the export performance of enterprises and preventing external shocks. This paper empirically examines the impact and mechanism of industrial robot imports on Chinese firms’ export performance based on Chinese microenterprise data from 2004 to 2014. The study shows that the application of imported robots can significantly improve firms’ export performance, and this conclusion still holds after a series of robustness tests. Heterogeneity analysis shows that imported robots have a more significant role in boosting the export performance of state-owned enterprises and enterprises in capital- and technology-intensive industries; at the same time, they have a significant effect on the export performance of enterprises in different modes of trade; and they have a significant role in boosting the export performance of enterprises in eastern China compared with those in central and western regions. Mechanism analysis shows that the enhancement of export performance of enterprises by imported robots is mainly realized by promoting enterprise productivity and human capital efficiency. The policy implication of this paper is that in the era of digital trade, Chinese enterprises should fully utilize the import of digital products to enhance their productivity and promote the high-quality development of foreign trade.

Advanced Research on the Sustainable Maritime Transportation

With globalization and environmental sustainability growing in importance, the sustainable development of maritime transportation, as the main mode of international trade, is particularly significant [...]

Does the cross‐border e‐commerce comprehensive pilot zones policy affect the urban–rural income gap in China?

AbstractWith the development of Internet technology and modern supply chains, cross‐border e‐commerce (CBEC) has become one of the most important forms of international trade. The impact of this new mode of trade on economic growth and income disparity is worthy of further examination. This study treats the CBEC pilot zone policy as a quasi‐natural experiment, using the difference‐in‐differences approach to examine its impact on the urban–rural income gap. The findings showed that: (1) This policy significantly widened the urban–rural income gap; (2) innovation, entrepreneurship, and export are important paths toward expanding the impact of the CBEC pilot policy on the income gap, but the digital environment suppresses these expanding paths; and (3) the impact of this policy on the income gap shows distinct regional heterogeneity. This study provides several recommendations on how to promote balanced incomes.

Research on the Impact of Digital Trade on Urban Carbon Emissions in China under the "Dual Carbon" Target

After the "dual carbon" goal was put forward, low-carbon development has gradually become the focus of attention from all walks of life, and digital technology plays an important role in the process of helping carbon emission reduction. Digital trade, as an active field in international economy and trade, is of great significance to the economic growth of all countries and to deal with the problem of carbon emission reduction. This paper analyzes the transmission path of digital trade on urban carbon emission reduction in China from the theory of scale effect, structure effect and technological progress effect, and based on the panel data of 280 cities in China from 2011 to 2019, uses two-way fixed effect model to conduct regression analysis on the carbon emission reduction effect of digital trade. The study finds that China's digital trade development reduces urban carbon emission intensity, and the conclusion is still valid after the robustness test. Heterogeneity analyses show that the carbon emission reduction effect of digital trade varies in different regions in the East, West and Centre, as well as in regions with different degrees of carbon emissions. In terms of the transmission path, digital trade reduces regional carbon emission intensity by promoting scale effects, technological progress and industrial structure upgrading. Therefore, on the road of actively realizing the goal of "dual carbon", China should vigorously promote the development of international trade mode mainly represented by digital trade. At the same time, we fully recognize the heterogeneity of the impact of digital trade on carbon emissions, and adopt differentiated policies according to the different utility levels of digital trade on carbon emissions in different regions. This will narrow the "digital divide" between cities and help achieve China's "dual carbon" goal.

Exploration and Practice of Innovative Talent Cultivation Mode of International Economics and Trade for Digital Economy

Exploration and Practice of Innovative Talent Cultivation Mode of International Economics and Trade for Digital Economy

Polluted air, smarter factories? China's robot imports shed light on a potential link

Robot-centered intelligent manufacturing is leading a new round of technological revolution and industrial change. Existing studies have neglected the impact of air pollution, a non-monetary factor, on firms' intelligent manufacturing transformation (FIMT). Using matched samples from China's industrial enterprise database and China's customs database, and based on enterprises' “machine replacing human” strategy, this paper reveals the facilitating effect of air pollution on FIMT. The robustness estimation results after endogeneity treatment, replacing the core variables, changing the clustering level, removing the policy influence, avoiding the interference of domestic robots, changing the estimation strategy, and restricting the import trade mode still support the conclusion. The mechanism by which air pollution accelerates FIMT lies in the first: the factor substitution effect of rising labor costs due to air pollution. The second is the skill-capital complementarity effect due to increased firms' human capital investment induced by air pollution. The third is the intelligent investment effect due to increased economic policy uncertainty induced by air pollution. In addition, air pollution accelerates FIMT more significantly in non-state-owned firms, high labor-intensity industries, and regions with high population aging. This paper argues that there is no conflict between environmental governance and intelligent manufacturing transformation. Air pollution and “machines replacing humans” in the labor market efficiency and fairness issues need attention.

Description of community behavior regarding the trade mode of babirusa (Babyroussa babirussa Celebensis Deniger), a protected endemic animal circulating at the Langowan traditional market, Minahasa Regency, North Sulawesi of Indonesia

Introduction and aim: The babirusa (Babyrousa babyrussa Celebensis Deniger) is a genetic resource of immeasurable value, even though it has held protected status for nearly 60 years. Unfortunately, its status remains declared as endangered due to factors such as forest encroachment in the North Sulawesi region. This research aims to investigate the behaviours of community collectors, traders, and consumers concerning their level of interest in babirusa meat, which continues to circulate in the Langowan traditional market, Minahasa Regency. The findings of this study can provide valuable recommendations for the government to formulate new policies and regulations. Methods: The research employed a survey method, focusing on the community of collectors, traders, and buyers of babirusa meat in the Langowan traditional market, Minahasa Regency, and its surroundings. Results: The results from the field survey were then juxtaposed with the outcomes of sensory test analyses conducted by several panellists at the Animal Products Technology Laboratory. Until now, babirusa meat remains a sought-after commodity for Minahasa residents in the Langowan area and its surroundings. This indicates that despite the existence of government regulations in the form of Conservation Law No. 5 of 1990, there is still evidence of the covert sale of protected babirusa meat in the Langowan traditional market, Minahasa Regency, North Sulawesi province of Indonesia. In conclusion: The local individuals in the Langowan traditional market of Minahasa Regency who purchase and consume babirusa meat are predominantly under 50 years old, with a higher representation of males with the majority holds of elementary school education, and their primary occupation of farmers. Public awareness of the endemic babirusa is remarkably high. The sensory test results indicated that babirusa meat is perceived as highly attractive in terms of colour, possesses a distinctive meaty aroma, rough texture, excellent taste, and high tenderness. This positive perception is linked to the understanding that babirusa meat has its own benefits, leading to a genuine liking for this unique meat. Implications: There exists a notable public awareness of babirusa as an endemic animal. The overall acceptability of babirusa meat was noteworthy, reinforcing its significance as an endemic animal in North Sulawesi. Specifically, the Langowan traditional market has been a focal point for the buying and selling of babirusa meat. This practice, which was more prevalent before 1990, continues to be carefully executed in the Langowan market being protected for the next sustainability of this endemic animals.

Siquian City’s Exporting of Goods: Competitiveness and Survival Analysis Amidst Challenges

In 2020, in the face of the sudden impact of the new coronavirus pneumonia epidemic, Suqian's economy has withstood the test of the epidemic, showing a good situation of "rapid stabilization and gradual recovery", and the "13th Five-Year Plan" has come to a successful end. In the year of 2020, when the Sino-US trade war has not ended and the new coronavirus epidemic is raging, Suqian's foreign trade can achieve such good results, which is worthy of affirmation. However, while affirming that Suqian can still achieve such excellent results in the export of goods in such a severe situation at home and abroad, we should also see that there are still many shortcomings in the development of Suqian's foreign trade. Based on this, this paper firstly analyzes the current situation of Suqian's goods export from four aspects, such as the scale of goods export, export goods, export trade mode and the export situation of goods in each sector. Secondly, the paper analyzes the existing problems of Suqian's export of goods. The main problems are: the gap between Suqian and southern Jiangsu, the unbalanced development of various sectors, the unreasonable structure of export of goods, etc. Thirdly, from the internal and external environment, this paper analyzes the reasons for these problems in Suqian's goods export. The internal reasons include: inter-regional industrial transfer, insufficient level of industrial development, and insufficient location advantage; The external reasons are as follows: the impact of the COVID-19 epidemic, Sino-US trade friction, sluggish international market demand, the impact of international industrial transfer and trade barriers have weakened the competitiveness of Suqian's export goods; Finally, from the two levels of government and enterprises to improve the problems of Suqian goods export countermeasures and conclusions.

Omni-directional Movement on the MRT PURVI Ship Robot

Ship transportation is the primary mode of trade and transportation at sea in the maritime industry. Initially, humans employed ships as a method of pursuing and capturing fish or animals in aquatic environments. As the ship era progresses, it actively engages in all aspects pertaining to ships. Presently, the ship is propelled by its engine, which is a significant improvement over its initial reliance on wood or oars. In addition to engines, propellers are employed to transform the rotational motion of the engine into propulsive force in the marine environment. Propellers are also present on aircraft, serving the same purpose but positioned at various locations in the air. A thruster is a hybrid device that combines an engine and a propeller. This sort of thruster is specifically designed for use on tiny boats or prototypes, for the purpose of simulating, exhibiting, or participating in contests. ESC is a component that facilitates the alteration of the input value to the intended velocity. In addition to their primary function of fulfilling food requirements, ships are presently employed in diverse capacities, including military vessels, tourist vessels, submarines, passenger ships, and more.

The COVID-19 pandemics and import demand elasticities: evidence from China’s customs data

We study China’s import demand elasticities using HS 8-digit customs data on China’s provincial imports during January 2019 to March 2021. It is found that both direct bilateral exchange rate elasticity and third-country exchange rate elasticity are affected by (1) policies that these Asian economies adopted to alleviate the adverse impacts of the COVID-19 pandemic and (2) the degree of concentration of exporters exporting a certain product to a certain Chinese provincial market. It is found that economic support policies will lower the bilateral exchange rate elasticity of trade flows, or even alter the sign of the bilateral exchange rate elasticity of China’s imports. Besides, the economic support policies can alleviate the pressure of foreign competition on exporters and make the exporters more resilient to the impacts of foreign competitors’ exchange rate depreciation. In contrast, the degree of market concentration of exporters in a certain provincial market affects the exchange rate and the third-country exchange rate elasticity differently. A higher market concentration lowers the bilateral exchange rate elasticity of trade flows but magnifies the impact of foreign competitors’ currency depreciation on exporters. These results are robust to alternative modes of trade, regional heterogeneity, product heterogeneity, various measures of policy responses to the pandemic, and alternative database.

How does bank competition affect trade-mode transformation? Evidence from Chinese export enterprises

This study investigates the effect of banking competition on the transformation of Chinese firms' export trade mode. We use matched data from the Chinese Industrial Enterprise Database and the Chinese Customs Trade Statistics between 2007 and 2013 to measure export firm trade-mode, and apply the number of commercial bank branches at the prefecture level to gauge bank competitiveness. With a large firm-level dataset, we find that bank competition affects a company's transition from processing mode to ordinary trade. The validity of our findings is confirmed through several robustness tests. Furthermore, we examine the underlying processes through which bank competition influences trade-mode transformation by means of firms' financial constraints, the regional marketization process and banking structural characteristics. Finally, we investigate the heterogeneity conditions and find that firms with distinct ownership structures and in different geographical locations demonstrate diverse performances in the aforementioned connection. The empirical findings provide crucial evidence to enhance the understanding of the relationship between banking institutions and company exports in emerging economies.

Analysis on SHEIN's Overseas Success During COVID-19 from the Perspective of Supply Chain Management

During the epidemic, cross-border e-commerce became the world's main mode of trade, and it drove a large part of the economic flows during the epidemic. At the same time, however, the supply chain for cross-border e-commerce was very unstable due to the epidemic, with supplies and orders being hampered by the epidemic. The purpose of this paper is to use a case study on SHEIN to provide suggestions as it successfully stood out with cross-border e-commerce during the dilemma of Covid-19. The involved suggestions majorly focus on the optimization of information sharing management to respond quickly to demands and quality management to achieve zero detection in products. Innovative ideas on logistics service and product design are also emphasized in the suggestion part. Moreover, the specific case study of SHEIN can help other cross-border e-commerce companies to build a more complete supply chain and provide them with ideas to gain a foothold and value on the world trade platform.

Analysis of Country Economic Growth Based on Industries Chain Position

In contrast to the past, the trade behavior of countries has become increasingly intricate, encompassing domestic trade rooted in local markets, traditional trade centered on final exports, and value chain trade reliant on intermediate goods. To tailor their strategies to their unique circumstances, nations judiciously allocate their economic focal points across these three trade modalities, engendering distinct national development models. By discerning the varying emphases placed by countries on these three trade modes, this paper employs clustering techniques to extract and analyze divergent national development models. Additionally, this paper assesses countries’ performance in various trade activities and introduces a new indicator, Total Trade Ability (TTA), to examine the impact of these models on the economy. With our approach, one can easily distinguish how different countries develop their economies. Our findings indicate a strong correlation between economic growth and TTA. In general, countries with higher TTA tend to exhibit higher economic growth.

Innovation of China’s international trade methods based on the perspective of cross-border e-commerce

Abstract The innovation of international trade methods is the business of e-commerce and network trade as the transaction method. In this paper, based on the historical data of China’s foreign trade import and export, combined with the data characteristics of its information, the predictive analysis of the effect of China’s international trade methods after innovation is proposed using the support vector regression model. In the prediction analysis, the support vector regression model is mainly used to model the prediction of China’s foreign trade import and export information in time series. Finally, the model was tested using real data from the foreign trade import and export information system, and examples of different types of support vector machines, kernel functions, and the selection of their parameters were discussed. The results show that the total import and export of China’s goods trade reached RMB 30.65 trillion in 2018, and the global share of goods import and export reached 11.9%. The share of cross-border e-commerce transactions in total imports and exports increased from 7.76% in 2011 to 27.2% in 2016. The study shows that cross-border e-commerce among new trade modes has become a driving force for China’s foreign trade growth and a new growth point and engine for developing China’s foreign trade.

Can intellectual property protection promote domestic value added in exports? Evidence from mainland China

Based on a unified framework, this study explores the influence of regional intellectual property protection (IPP) on domestic value added in exports. A theoretical model is constructed to illustrate that IPP affects the types and prices of intermediate goods through effects of market power, product category, and crowding-out, influences the choice of domestic and imported raw materials, and finally affects the domestic added value in exports of enterprises. Empirical evidence on the influence of IPP on the domestic added value in exports is provided utilizing China Customs Statistics, the Chinese Industrial Enterprise Database, and Chinese prefectural-level data from 2000 to 2007. The results show that IPP significantly promotes the domestic value added of exports in China, but the effect is heterogeneous in terms of region and mode of enterprise trade; in the eastern region and processing trade enterprises the IPP effect is more pronounced.

Trade policy uncertainty and pollution emissions of export enterprises—The case of China‐ASEAN free trade area

AbstractWe propose a theoretical framework to illustrate the impact of trade policy uncertainty on pollution emissions of export enterprises and the underlying mechanism. The magnitudes of the effect and the proposed channels are empirically estimated using the case of the formal establishment of China‐ASEAN free trade area and sulfur dioxide (SO2) emission intensity as a measure of pollution emission intensity. Our analysis relies on high‐precision micro enterprise‐level data and the difference‐in‐difference methodology. The results show that China‐ASEAN free trade area effectively reduced the trade policy uncertainty and the SO2 emission intensity of Chinese enterprises exporting to ASEAN. The study also shows that the export enterprises of different trade modes, ownership types, regions, factor intensity, and pollution intensity industries show significant heterogeneity in the extent of the reduction in the SO2 emission intensity. The mechanism test reveals that the trade policy uncertainty decline mainly reduces the emission intensity of SO2 by raising the competitive and learning effects. The contribution of the learning effect is higher and accounts for 32.54% of the total effect. In addition, through dynamic decomposition at the industry level, we found that the contribution rate of resource allocation effect among enterprises in reducing the total emission intensity of SO2 of enterprises exporting to ASEAN at the industry level is 52.22%. This effect is perhaps the most significant way trade policy uncertainty impacts the SO2 pollution emission intensity.

Empirical analysis of integrated teaching mode of international trade based on practical training data detection and neural network

With the continuous development of China's foreign trade, the foreign trade industry requires universities to train more application-oriented talents with specific theoretical basis and professional knowledge. However, on the one hand, the gap between international trade professionals within enterprises is widening; on the other hand, many international trade graduates are not engaged in the foreign trade industry because their professional skills are not recognized, resulting in a waste of teaching resources. The root of this dilemma lies in the serious disconnection between the traditional training mode of international trade professionals and the international development background of Chinese foreign trade enterprises. This paper focuses on neural network technology and then analyzes the integrated teaching mode of international trade. The integrated teaching resources studied in this paper come from various sources, mainly including traditional textbooks, courseware and other resources, as well as self-made MOOC courses and other MOOC platform course resources and other online teaching resources. In this paper, the framework of the integrated teaching model is mainly designed from three aspects: pre-analysis, curriculum design, assessment and evaluation. It can be found that the following practice on integrated teaching mode is very successful in MOOC, which improves students' self-study ability and also cultivates their ability to cooperate and communicate. This proves that the integrated teaching model of international trade in this paper is effective. Through the research and discussion of neural network technology, this paper applies it to the integrated teaching mode, which provides a more powerful technical guarantee for the training of international trade talents.

Redistributive Capacity and International Trade: A Cross-Country Analysis

ABSTRACT Existing studies have shown that the deterioration of domestic income distribution is an important cause for the decline in international trade. This paper investigates whether alleviating domestic income inequality could promote international trade. From the redistribution perspective, this study examines the relationship between state redistributive capacity and international trade by using unbalanced panel data of 153 countries from 1960 to 2018. According to our empirical findings, strengthening redistributive capacity promotes international trade by enhancing domestic society's perception of free trade. In addition, this promoting effect is independent of trade mode but varies with trade content, trade period, and trade subjects.