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China’s fare share? The growth of Chinese exports in world trade

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Listed:
  • Steven Husted
  • Shuichiro Nishioka

Abstract

The growth of Chinese exports in market share over the past two decades is a singular event in the history of world trade. Using data from 1995–2010, we document this growth in a variety of ways. We show that the expanded trade is pervasive. Virtually every country in the world has seen China claim a larger share of its import market. Then, we use Constant Market Share analysis to determine which country or countries have lost market share as China’s trade has grown. Contrary to much discussion in the popular press, we find strong evidence that other developing countries have not seen export shares fall as a result of China’s gains. Rather, our results suggest that China’s share growth has come largely at the expense of exporters based in developed countries, especially Japan and the United States. Copyright Kiel Institute 2013

Suggested Citation

  • Steven Husted & Shuichiro Nishioka, 2013. "China’s fare share? The growth of Chinese exports in world trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 149(3), pages 565-585, September.
  • Handle: RePEc:spr:weltar:v:149:y:2013:i:3:p:565-585
    DOI: 10.1007/s10290-013-0149-2
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    References listed on IDEAS

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    6. Hallak, Juan Carlos, 2006. "Product quality and the direction of trade," Journal of International Economics, Elsevier, vol. 68(1), pages 238-265, January.
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    11. Richardson, J. David, 1971. "Constant-market-shares analysis of export growth," Journal of International Economics, Elsevier, vol. 1(2), pages 227-239, May.
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    Cited by:

    1. Angela Cheptea & Lionel Fontagné & Soledad Zignago, 2014. "European export performance," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 150(1), pages 25-58, February.
    2. Soumyananda Dinda, 2014. "China integrates Asia with the world: an empirical study," Journal of Chinese Economic and Foreign Trade Studies, Emerald Group Publishing, vol. 7(2), pages 70-89, May.
    3. repec:pit:wpaper:521 is not listed on IDEAS
    4. Steven Husted & Shuichiro Nishioka, 2015. "Productivity growth and new market entry," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 151(4), pages 687-712, November.
    5. Matthias Flückiger & Markus Ludwig, 2015. "Chinese export competition, declining exports and adjustments at the industry and regional level in Europe," Canadian Journal of Economics, Canadian Economics Association, vol. 48(3), pages 1120-1151, August.
    6. Dinda, Soumyananda, 2015. "Impact of China’s slowdown on the Global Economy: Modified GVAR Approach," MPRA Paper 72472, University Library of Munich, Germany, revised 11 Sep 2015.
    7. Bernard, Christophe & Calmette, Marie-Françoise & Kilkenny, Maureen & Loustalan, Catherine & Pechoux, Isabelle, 2014. "Quality in Open Markets: How Larger Leads to Less," TSE Working Papers 14-505, Toulouse School of Economics (TSE).
    8. Giorgia Giovannetti & Marco Sanfilippo, 2016. "China’s competition and the export price strategies of developed countries," International Review of Applied Economics, Taylor & Francis Journals, vol. 30(2), pages 238-254, March.
    9. Eugene Bempong Nyantakyi & Steven Husted & Shuichiro Nishioka, 2015. "Trade Frictions and Market Access of Developing Countries: A Product-level Empirical Investigation," Review of International Economics, Wiley Blackwell, vol. 23(5), pages 924-945, November.
    10. Heli Simola, 2018. "Chinese Services Gaining Significance in Global Production Chains," Asian Economic Papers, MIT Press, vol. 17(2), pages 50-64, Summer.
    11. Asada, Raphael & Stern, Tobias, 2018. "Competitive Bioeconomy? Comparing Bio-based and Non-bio-based Primary Sectors of the World," Ecological Economics, Elsevier, vol. 149(C), pages 120-128.

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    More about this item

    Keywords

    Chinese exports; Constant market share analysis; Export shares; F14; P33;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • P33 - Economic Systems - - Socialist Institutions and Their Transitions - - - International Trade, Finance, Investment, Relations, and Aid

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