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Tariff pass-through: The case of china’s WTO accession

By: Dai, Mi.
Material type: materialTypeLabelBookPublisher: The Developing Economies Description: 61(4), Dec, 2023: p.278-296.Subject(s): WTO, China–US trade war In: The Developing EconomiesSummary: Recent studies on the China–US trade war surprisingly find complete tariff pass-through into import prices for both China and the United States. This paper provides additional evidence of tariff pass-through in China. Using firm-level monthly trade transaction data, we estimate the tariff pass-through for Chinese imports in the period of WTO accession during 2000–2006. Consistent with evidence during the trade war, tariff pass-through is also complete for tariff reductions induced by the WTO accession. Structural estimates of export supply elasticity also imply complete tariff pass-through. Additionally, we find the complete pass-through result holds regardless of firm ownership types, product end-use, or China's market share in world imports.-Reproduced https://onlinelibrary.wiley.com/doi/10.1111/deve.12381
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Articles Articles Indian Institute of Public Administration
61(4), Dec, 2023: p.278-296 Available AR130805

Recent studies on the China–US trade war surprisingly find complete tariff pass-through into import prices for both China and the United States. This paper provides additional evidence of tariff pass-through in China. Using firm-level monthly trade transaction data, we estimate the tariff pass-through for Chinese imports in the period of WTO accession during 2000–2006. Consistent with evidence during the trade war, tariff pass-through is also complete for tariff reductions induced by the WTO accession. Structural estimates of export supply elasticity also imply complete tariff pass-through. Additionally, we find the complete pass-through result holds regardless of firm ownership types, product end-use, or China's market share in world imports.-Reproduced

https://onlinelibrary.wiley.com/doi/10.1111/deve.12381

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