Is 3D printing a threat to global trade? The trade effects you didn't hear about
Caroline Freund,
Alen Mulabdic and
Michele Ruta
Journal of International Economics, 2022, vol. 138, issue C
Abstract:
In the mid-2000s, the production of hearing aids shifted almost entirely to 3D printing. Using difference-in-differences and synthetic control methods, this paper examines the effects of this shift on trade flows. Exploiting variation in the timing of adoption of the new technology by different producers to identify the causal effects of 3D printing, the analysis finds that exports of hearing aids increased by roughly 80% following the introduction of the new technology. There is no evidence of a localization effect, as overall trade in hearing aids expanded by a similar amount. As a robustness check, the paper examines 35 products that are partially 3D printed and finds positive and significant effects on trade. These effects are stronger for more complex and lighter goods. The results counter widespread views that 3D printing will shorten supply chains and reduce trade.
Keywords: 3D printing; Trade (search for similar items in EconPapers)
JEL-codes: F14 O33 (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (2)
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Working Paper: Is 3D Printing a Threat to Global Trade ? The Trade Effects You Didn't Hear About (2019) 
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Persistent link: https://EconPapers.repec.org/RePEc:eee:inecon:v:138:y:2022:i:c:s0022199622000782
DOI: 10.1016/j.jinteco.2022.103646
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