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Chinese trade reforms, market access and foreign competition: the patterns of French exporters, Volume 1
 
Author:Bas, Maria; Bombarda, Pamela; Collection Title:Policy Research working paper ; no. WPS 6330
Country:France; China; Date Stored:2013/01/22
Document Date:2013/01/01Document Type:Policy Research Working Paper
SubTopics:Markets and Market Access; Economic Theory & Research; Free Trade; Trade Policy; MicrofinanceLanguage:English
Region:East Asia and Pacific; Europe and Central AsiaReport Number:WPS6330
Volume No:1  

Summary: A unilateral trade reform generates two opposite effects: market access expansion and strengthening of competitive pressures in the liberalized market. Using detailed trade and firm-level data from France, the authors investigate how French firms' product scope and export sales changed after Chinese liberalization vis-a-vis Asian liberalization. The findings suggest that lower Chinese import tariffs account on average for 7 percent of the new products exported by French firms, and for 18 percent of additional French export sales. These results are robust when accounting for foreign competition faced by French firms in the liberalized market.

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