Have China's exports improved the export technology level of the other BRICS countries? An empirical analysis based on data from SITC

Feng Jiang, Chaofan Chen, Qingxin Lan and Zhaoyi Zhu

International Journal of Emerging Markets, 2021, vol. 18, issue 3, 547-566

Abstract: Purpose - The purpose of this paper is to analyze whether China's exports can effectively improve the global competitiveness of other BRICS countries' exports from the perspective of intra-BRICS export trade. Design/methodology/approach - This paper extends the multinational trade model and analyzes the mechanism of the technological upgrading effect from the perspective of dynamic general equilibrium theory. In addition, this paper uses the export panel data of 217 products with three-digit SITC codes from China to other BRICS member countries from 2000 to 2016 and constructs a dynamic empirical model for parameter estimation. Findings - The results show that China's exports to other BRICS member countries can effectively promote the technological improvement of other BRICS member countries' export products. In particular, the formal establishment of the BRICS organization in 2010 has significantly improved the efficiency of China's export technology optimization. Originality/value - In the background of the prevalence of anti-globalization and the proliferation of protectionism, this paper proves that the deepening of trade cooperation between other BRICS members with China can help optimize their own international trade competitiveness and allow China's development dividend to benefit more countries and people.

Keywords: China's exports; BRICS; Technology level of export; Optimization effect; F14; F41 (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ijoemp:ijoem-08-2020-0929

DOI: 10.1108/IJOEM-08-2020-0929

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