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FDI and the Export Quality Upgrading: Evidence from the Chinese Manufacturing Firms |
LI Ruiqin, WANG Tingting, HU Cui
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School of International Trade and Economics, Central University of Finance and Economics; School of Finance, Central University of Finance and Economics |
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Abstract This paper studies the impact of FDI on the export quality of Chinese enterprises based on the upstream and downstream linkage, and we also decompose the impact in to that of FDI in the upstream service industry and upstream manufacturing industry. Furthermore, this paper discusses the differences of the upstream FDI on the export quality according to the trade patterns,ownership and regions. We find that the upstream FDI in service industry will significantly improve the export quality of the downstream enterprises, but upstream manufacturing FDI will reduce the export quality of the downstream enterprises to some extent. And the impact of the upstream comprehensive FDI is ambiguous because of the structure of the FDI in China. And at the same time, FDI mainly affects the downstream non-pure processing trade enterprises, non state-owned enterprises and enterprises in the high market-oriented areas.
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Received: 19 July 2017
Published: 01 November 2018
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