Impact of TBT and SPS measures on domestic value-added exports: evidence from the United States

Jie Wu, Jacob Wood, Keun-Yeob Oh, Yilin Li and Md Iqbal Bhuyan

Asia-Pacific Journal of Accounting & Economics, 2023, vol. 30, issue 5, 1150-1164

Abstract: This study explores the impact that TBT and SPS measures have on 42 countries domestic value-added exports (DVAs) into the US. The results from this empirical analysis show that both TBT and SPS measures have no significant effect on gross exports, however, TBT measures have a significant inhibiting effect on DVAs, indicating that the traditional gross trade estimation approach underestimates the substantial impact of non-tariff measures on trade gains. To be specific, a 1 percentage point increase in TBT measures leads to DVA exports decrease of 2.37%. Moreover, the negative impact is mainly manifested in developing countries and high-technology products.

Date: 2023
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DOI: 10.1080/16081625.2022.2077779

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Asia-Pacific Journal of Accounting & Economics is currently edited by Yin-Wong Cheung, Hong Hwang, Jeong-Bon Kim, Shu-Hsing Li and Suresh Radhakrishnan

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