Search

Begin New Search Topic Exports Publication Year within 25 Years

101. China’s Monopoly on Rare Earth Elements—and Why We Should Care

Author:
June Teufel Dreyer
Publication Date:
10-2020
Content Type:
Commentary and Analysis
Institution:
Foreign Policy Research Institute (FPRI)
Abstract:
According to geologists, rare earths are not rare, but they are precious. The answer to what appears to be a riddle lies in accessibility. Comprising 17 elements that are used extensively in both consumer electronics and national defense equipment, rare earth elements (REEs) were first discovered and put into use in the United States. However, production gradually shifted to China, where lower labor costs, less concern for environmental impacts, and generous state subsidies enabled the People’s Republic of China (PRC) to account for 97 percent of global production. In 1997, Magniquench, then-America’s leading rare earths company, was sold to an investment consortium headed by Archibald Cox, Jr., son of the same-named Watergate prosecutor, with two Chinese state-owned metals firms, San Huan New Materials and China National Nonferrous Metals Import and Export Company. The chairman of San Huan, son-in-law of paramount leader Deng Xiaoping, became chairman of the company. Magniquench was shut down in the United States, moved to China, and reopened in 2003, where it fit in well with Deng’s Super 863 Program to acquire cutting-edge technologies for military applications, including “exotic materials.” This left Molycorp as the last remaining major rare earths producer in the United States until its collapse in 2015.
Topic:
International Trade and Finance, Natural Resources, Exports, and Supply Chains
Political Geography:
China and Asia

102. Why are Africa’s Female Entrepreneurs not Playing the Export Game? Evidence from Ghana

Author:
Charles Ackah, Holger Görg, Aoife Hanley, and Cecília Hornok
Publication Date:
10-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
We explore the export performance of Africa’s underperforming female entrepreneurs, using the Ghanaian ISSER-IGC panel, a comprehensive dataset of manufacturing firms for 2011–2015. Uniquely, the data provides information about the severity of key business constraints, across both male and female entrepreneurs. We find that females are less likely to export (and optimize their exporting) than their male peers. Although reduced access to finance seriously constrains the exports of female entrepreneurs, this limitation does not explain their relative inability to leverage value from exports. Consistent with related work, we find that certain social and cultural constraints, in particular constraints linked to bribes and security concerns, are more deeply felt by female entrepreneurs. This may hint at the exclusion of Africa’s females (voluntarily or involuntarily) from male-dominated networks or business practices.
Topic:
International Political Economy, Women, Entrepreneurship, and Exports
Political Geography:
Ghana

103. Mask Wars: China's Exports of Medical Goods in Times of COVID-19

Author:
Andreas Fuchs, Lennart Kaplan, Krisztina Kis-Katos, Sebastian Schmidt, Felix Turbanisch, and Feicheng Wang
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
The COVID-19 outbreak has cut China's supply of and raised the world's demand for face masks, disinfectants, ventilators, and other critical medical goods. This article studies the economic and political factors that are associated with China's exports of medical equipment during the first two months of the global pandemic. Regression results show that—controlled for demand factors—countries with stronger past economic ties with China import more critical medical goods from China at both the national level and the level of Chinese provinces. Friendly political relations, such as the twinning of provinces, appear to work as a substitute for pre-existing economic ties at the provincial level. These findings imply that, to secure access to medical equipment in crises, countries are well advised to either diversify their sources or to develop closer relations with Beijing and China's provinces.
Topic:
International Political Economy, Exports, Pandemic, COVID-19, and Medicine
Political Geography:
China

104. Assessing Asia: Sub-Saharan Africa Global Value Chain Linkages

Author:
Heiwai Tang, Douglas Zhihua Zeng, and Albert Zeufack
Publication Date:
06-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This paper studies the relationship between Asia’s economic engagements in Africa and individual African nations’ participation in global value chains (GVC) over the past two decades. We find that while overall exports from Africa to Asia are still highly concentrated in resource-intensive sectors, a few African countries have exploited the emerging opportunities to diversify export portfolios through exporting to Asia. Each African nation has a distinct main trade partner in Asia, in contrast to the common view that China has become the dominant trade partner of most African nations. Using a panel data set for 46 African countries over 16 years from 2000 and 2015, we find that exports to Asia are positively correlated with exports to the rest of the world, suggesting that in contrast to trade diversion, trade with Asia complements exports to other countries. Asian economic engagement in the continent is associated with countries’ exports “moving up the value chain”, as measured by the upstreamness index proposed by Antras et al. (2012). However, such process was accompanied by a reduction in the length of their production chains, implying that fewer stages and countries are now involved in the production of exported goods.
Topic:
Development, International Political Economy, Natural Resources, Partnerships, Exports, Trade, Global Value Chains, and Data
Political Geography:
Africa, Asia, and Global Focus

105. The dynamic impact of FX interventions on financial markets

Author:
Lukas Menkhoff, Malte Rieth, and Tobias Stöhr
Publication Date:
03-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
Evidence on the effectiveness of FX interventions in the prevailing higher frequency approaches leaves a gap at horizons going beyond a few days. This is addressed by identifying a structural vector autoregressive model for the daily frequency with an external instrument. Using Japanese data, we find that FX interventions significantly affect exchange rates, although the effect is smaller than in emerging markets, and this impact persists for up to a year. There is no major effect on interest rates, but stock prices increase in line with currency devaluation, in particular those of large (exporting) firms. The results qualitatively hold for US and UK interventions.
Topic:
International Political Economy, Exports, Data, and Models
Political Geography:
United States, Japan, and United Kingdom

106. Does the Belt and Road Initiative stimulate Chinese Exports? The Role of State-Owned Enterprises

Author:
Holger Görg and Haiou Mao
Publication Date:
02-2020
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This paper evaluates firms’ exporting responses to BRI and considers their heterogeneity in ownership types, product types, regional origin and trade mode. This is done by analyzing firm-product-destination level customs data from 2011 to 2015 in a gravity model framework. Our empirical results show that aggregate export behavior did not change significantly after BRI. However, ownership matters when evaluating firms’ reactions. SOEs increase their total exporting and average export value (the intensive margin) to BRI countries, while private domestic firms show no reaction to BRI at any margin. Further, our results on regional heterogeneity suggests that “open through the west”, i.e., boosting the development of western regions in China, did not appear to work in the short term. Our findings show clearly the implications of BRI’s impact from a firm level perspective.
Topic:
International Political Economy, Belt and Road Initiative (BRI), Exports, Trade, and Economic Development
Political Geography:
China and Global Focus

107. The US–China trade deal and its impact on China’s key trading partners

Author:
Sonali Chowdhry and Gabriel Felbermayr
Publication Date:
02-2020
Content Type:
Policy Brief
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
The US–China Economic and Trade Agreement (ETA) entered into force on 14th February 2020, marking a new phase in their protracted trade and geopolitical rivalry. The ETA includes specific targets for increased Chinese imports of US goods and services, amounting to 200 bn USD over 2020 and 2021. The authors show that these purchase commitments can generate substantial trade diversion effects and market share shifts for China’s top trading partners. In manufacturing, Germany is likely to experience the greatest trade diversion effects in a number of industries such as vehicles (-1.28 bn USD), aircraft (-1.59 bn USD) and industrial machinery (-0.72 bn USD). Moreover, developing countries will be hit if China re-directs its imports towards US suppliers. E.g. Brazil could experience a reduction of 4.95 bn USD in soybeans exports to China in 2021 as a result of the ETA.
Topic:
International Political Economy, International Trade and Finance, Exports, Trade, Trade Policy, and Imports
Political Geography:
United States and China

108. Special Commentary: Scenarios for a Post-COVID Middle East

Author:
Christopher J. Bolan
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
The Strategic Studies Institute of the U.S. Army War College
Abstract:
It is worth approaching an assessment of the likely impacts of the COVID-19 pandemic on the Middle East with a strong dose of humility. Nonetheless, it is clear that the spread of this disease has already had major impacts on the global economy, drastically reducing demand for Middle East oil exports, and leading to a historic collapse in oil prices. The immediate challenges of dealing with the monumental health and economic challenges posed by COVID-19 will add to the troubles of a region already burdened by multiple civil wars, poorly performing economies, growing civil discontent, and intensified sectarian divisions. This article offers a preliminary assessment of the potential impacts of COVID-19 on the security landscape of the Middle East and advances recommendations for how US military strategy and operations might adapt.
Topic:
Security, Oil, Military Strategy, Economy, Exports, Pandemic, and COVID-19
Political Geography:
Middle East

109. Conflict between Azerbaijan and Armenia: Scope and Implications

Author:
Mamuka Tsereteli, Margarita Assenova, Alex Vatanka, and Rauf Mammadov
Publication Date:
10-2020
Content Type:
Video
Institution:
Middle East Institute (MEI)
Abstract:
The military conflict between Armenia and Azerbaijan has entered its fourth week. The scope of the war has not been limited to the boundaries of the combat zone, resulting in human loss and destruction of civil infrastructure. The region’s important network of energy infrastructure, including oil and gas pipelines, are not immune to this latest round of fighting. The military confrontation is taking place in proximity to the critical energy infrastructure that connects the Caspian basin with the European markets. Can the fighting cause disruption to oil and gas flows to the West? What could potential disruption mean for global markets? Can the Southern Gas Corridor be prevented from being launched by the end of this year as had been planned? What are the interests of regional stakeholders such as Turkey, Georgia, Russia, Iran and others that are either energy exporters, consumers or transit nations for Caspian hydrocarbons. And finally, what are the interests of the United States in this conflict and its impact on the energy markets?
Topic:
Energy Policy, Territorial Disputes, Infrastructure, Conflict, and Exports
Political Geography:
Russia, Iran, Eurasia, Turkey, Armenia, Azerbaijan, Georgia, and United States of America

110. Shifting into Digital Services: Does a Crisis Matter and for Who?

Author:
Erik van der Marel
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
European Centre for International Political Economy (ECIPE)
Abstract:
How do trade patterns change after an external shock such as an economic crisis, and is this shift structural? This paper uses a Difference-in-Difference (DID) approach to investigate whether services trade became more digital after the Global Financial Crisis (GFC) in 2008. It finds that the GFC formed an independent break from the previous period that turned services trade to become more digital – although there are signs that this somewhat already happened before 2008. Software-intense services such as R&D services, information services, computer services and charges for Intellectual Property Rights (IPR) saw on average a 6 percent higher increase in global exports compared to other non-digital sectors post-2008. Countries with higher internet usage and with already comparative advantage in these sectors saw this higher increase in digital trade. More striking is that in particular upper-middle income countries and countries with high manufacturing activity saw the sharpest shift into digital services trade after the GFC. These significant outcomes forecast a direction into which patterns of services trade are likely to turn after the current economic crisis resulting from COVID-19.
Topic:
International Political Economy, International Trade and Finance, Digital Economy, Global Financial Crisis, Exports, and Digital Policy
Political Geography:
Global Focus