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The US–China tension and global reallocation of Chinese STEM talents

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  • Yuan, Weidi

Abstract

Science knows no borders, but is never detached from politics. We study a lesser-noticed consequence of the US–China tension since 2018: the downturn in STEM educational services trade. Our analysis reveals a pronounced drop, exceeding 40%, in Chinese STEM students pursuing graduate study in the US. Visa restrictions, geopolitical uncertainties and anti-US sentiments reduce the allure of US education, prompting students to seek alternatives in other foreign countries or China. The two reallocation effects are comparable, suggesting similar elasticities of substitution. Further analyses find that females tend to relocate to other foreign countries more than males do.

Suggested Citation

  • Yuan, Weidi, 2026. "The US–China tension and global reallocation of Chinese STEM talents," Journal of Comparative Economics, Elsevier, vol. 54(2), pages 484-510.
    • Handle: RePEc:eee:jcecon:v:54:y:2026:i:2:p:484-510
    DOI: 10.1016/j.jce.2025.11.004
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    JEL classification:

    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • I23 - Health, Education, and Welfare - - Education - - - Higher Education; Research Institutions

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