How Does Regional Trade Policy Uncertainty Affect the Quality of Imported Products?—An Analysis Using CAFTA

Kexuan Zhou, Linhui Yu, Yonghui Han, Sanjay Kumar and Ying Wang

The World Economy, 2025, vol. 48, issue 7, 1483-1495

Abstract: We study the impact of regional trade policy uncertainty on the product quality imported from ASEAN by Chinese enterprises. The research uses micro‐enterprise‐level data from CAFTA and employs the DID method for empirical tests. The analysis shows that China's FTA strategy has helped reduce regional trade policy uncertainty and significantly improved the quality of imported products. The quality‐improvement effect varies based on ownership types, regions, factor densities and usage properties. An impact mechanism test reveals that the decline in regional trade policy uncertainty promotes the improvement in the product quality imported from ASEAN by Chinese enterprises through the competition effect and financial constraint mitigation effect.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/twec.13701

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:worlde:v:48:y:2025:i:7:p:1483-1495

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0378-5920

Access Statistics for this article

The World Economy is currently edited by David Greenaway

More articles in The World Economy from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().