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Dynamic Analysis of Trade and Financial Integration between China and ASEAN: A Quantitative Study of Bilateral Economic Flows

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  • Yu, Xiaoyao

Abstract

This study uses data from Chinese provinces and ASEAN countries between 2016 and 2023 to explore the impact of financial integration on trade between China and ASEAN, while analyzing the mediating role of bilateral economic flows in this process. The findings indicate that financial integration significantly promotes bilateral trade; it indirectly enhances trade between China and ASEAN by improving bilateral economic flows. The impact of financial integration on trade between China and ASEAN exhibits heterogeneity across countries with different per capita GNI and total export volumes. In comparison to countries with high per capita GNI and low total export volumes, the effect is more pronounced in countries with low per capita GNI and high total export volumes.

Suggested Citation

  • Yu, Xiaoyao, 2025. "Dynamic Analysis of Trade and Financial Integration between China and ASEAN: A Quantitative Study of Bilateral Economic Flows," Finance Research Letters, Elsevier, vol. 86(PE).
    • Handle: RePEc:eee:finlet:v:86:y:2025:i:pe:s1544612325019464
    DOI: 10.1016/j.frl.2025.108692
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    References listed on IDEAS

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