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Technological sophistication made in China? New insights from Germany's evaluation of COVID-19 antigen rapid tests

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  • Dreier, Silas
  • Liu, Wan-hsin

Abstract

By analyzing a unique dataset from Germany's evaluation of COVID-19 antigen rapid tests, we show that Chinese firms can excel under today's global competition and produce tests at quality levels higher than China's income level would suggest. We find these achievements are positively associated with China's rising innovation capability and robust industrial base. Further strengthening China's innovation and industrial base to support Chinese firms' future accomplishments is what the Chinese government clearly aims for. This would intensify the challenges facing Western economies that strive for technological sovereignty and eagerly seek to de-risk their economic relations with China.

Suggested Citation

  • Dreier, Silas & Liu, Wan-hsin, 2023. "Technological sophistication made in China? New insights from Germany's evaluation of COVID-19 antigen rapid tests," Kiel Working Papers 2261, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:280403
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    References listed on IDEAS

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    More about this item

    Keywords

    China; product quality; technological sophistication; trade; COVID-19;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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