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Technological Decoupling Between the U.S. and China

Ivan Deseatnicov, Kyoji Fukao, Kazunobu Hayakawa, Keiko Ito and Konstantin Kucheryavyy

No 756, Discussion Paper Series from Institute of Economic Research, Hitotsubashi University

Abstract: In this paper, we address the ongoing debate on technological decoupling by examining the effect of US export controls and China’s import tariffs on trade. By creating a detailed mapping between the products under the US export controls and 10-digit HS codes of US export products, we analyze the differences in US export reductions to China compared to other countries in 2017-2021. Contrary to expectations, we find no evidence that US export controls have led to a decrease in exports to China; in fact, these exports are either neutral or tend to increase relative to other countries. Additionally, our research indicates that China's imposition of additional import tariffs will likely diminish US exports to China.

Keywords: Export regulation; Trade; Tariffs; Technological decoupling; United States; China (search for similar items in EconPapers)
JEL-codes: F15 F53 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2024-09
New Economics Papers: this item is included in nep-cna and nep-int
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https://hermes-ir.lib.hit-u.ac.jp/hermes/ir/re/84144/DP756.pdf

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Persistent link: https://EconPapers.repec.org/RePEc:hit:hituec:756

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