The Impact Of FTAs On The Upgrading Of Export Product Quality Of Enterprises

Building a network of high-standard FTAs is an important part of new round of opening up of China.Previous studies and economic development data have proved that FTAs have a significant role in promoting foreign trade expansion.But as Hausman et al.(2007)emphasize,what is exported is more important than how much.At present,China is still at the lower end of the global value chain.So how to upgrade the quality of foreign exports and upgrade the global value chain is crucial.In this context,this thesis intends to explore the impact and mechanism of the implementation of FTAs on the upgrading of Chinese export product quality.On the basis of combing relevant theories and policies,this thesis uses the trade data of Chinese manufacturing enterprises from 2000 to 2014 to construct a time-varying DID model testing whether the FTAs effectively improves the export product quality of China or not.Then this thesis uses robust test to ensure the conclusion is robust,uses heterogeneous temperament analysis to study whether the enterprises were affected by heterogeneity based on different characteristics,and finally test the mechanism channel.It is found that:(1)The deeper the terms of the FTA,the more conducive it is for enterprises to improve the quality of export products.(2)Regardless of the scale and ownership of enterprises,FTAs promote the upgrading of the quantity of their exports.(3)FTAs promote the improvement of export quality of enterprises in the middle or low positions on the domestic export product quality ladder,but restrain in the high position.(4)Due to the low degree of overlap between the main trading objects and FTA members,the export quality of the listed enterprises is not significantly affected by the FTA.(5)The export product quality of enterprises in economic and technological development zones and national high-tech industrial development zones has improved more than enterprises in non-functional zones;the EPZ enterprises is not affected.(6)The export products quality of high-tech industrial enterprises can be upgraded from the FTA,so make full use of FTAs can increase the international competitiveness of Chinese high-tech products.(7)FTAs can promote the quality upgrading of enterprises’ export products by increasing the import of high-quality diversified intermediate goods and promoting enterprise innovation,and FTAs will also inhibit the quality upgrading of enterprises through competitive channels.Based on this,this thesis makes separate recommendations for governments and companies.For governments,(1)expand the construction of the FTA network,continue to promote high-level FTA negotiations,and increase the proportion of free trade partners in Chin exports;(2)continue to promote and deepen the reform of trade liberalization of imported intermediate inputs,and improve the trade environment for enterprises to use diversified imported intermediate inputs;(3)make full use of FTAs to cultivate new growth points for high-tech export industries;(4)grasp the implementation of FTAs;(5)guide enterprises to face competition and challenges scientifically.For enterprises,(1)make good use of free trade agreements;(2)continuously enhance the ability of international cooperation and competition,and upgrade innovative technologies.Compared with the existing research,this thesis has made certain innovations in the research perspective and research content:first,different from the macro or meso perspective of the existing research,this thesis uses trade data at the enterprise level to provide micro evidence of the impact of FTAs on the quality of Chinese export products;second,explore the role of firm characteristics deeply in influence,which provides more accurate empirical conclusions.