Yi Che a, Weiqiang Liu b , Yan Zhang c, Lin Zhao d
Author information
a Antai College of Economics and Management, Shanghai Jiao Tong University, Shanghai 200030, China
b School of Economics, Shanghai University of Finance and Economics (SUFE), Shanghai 200433, China
c School of Economics, Shanghai University of Finance and Economics (SUFE), Shanghai 200433, China
d Institute for Advanced Research, Shanghai University of Finance and Economics (SUFE), Shanghai 200433, China
E-mail: yufei.liu@163.sufe.edu.cn (Yi Che), xiqu@sjtu.edu.cn (Weiqiang Liu), wangwei2@mail.shufe.edu.cn (Yan Zhang), xkchang@shmtu.edu.cn (Lin Zhao)
The global COVID-19 pandemic caused various economic contraction in most countries, including all of China’s major trading partners. Using a difference-in-differences model, this study examines the impact of the COVID-19 pandemic on China’s monthly exports from January 2019 to May 2020. We find strong and robust evidence that China’s exports to countries at high risk from the pandemic experienced a larger decline than exports to low-risk countries after the onset of the pandemic, with the prices of exports increasing significantly. Furthermore, the results of a triple differences model show heterogeneous effects across different industries and goods. Chinese industries located upstream in the global value chain are more vulnerable than those located downstream. Industries with high labor and contract intensity (proxies for processing trade) experienced greater declines than other industries. Exports of goods with high import elasticity of substitution experienced higher prices and moderate volume losses due to the pandemic.
China’s exports, COVID-19 pandemic, global value chain, processing exports, elasticity of substitution
Yi Che, Weiqiang Liu, Yan Zhang, Lin Zhao. China’s Exports during the Global COVID-19 Pandemic. Front. Econ. China, 2020, 15(4): 541‒574 https://doi.org/10.3868/s060-011-020-0023-7