The Research on the Influence of China-US Trade Friction on China's Communication Equipment Export

Shuo Wu

doi:10.6981/FEM.202602_7(2).0009

Authors

Shuo Wu

DOI:

https://doi.org/10.6981/FEM.202602_7(2).0009

Keywords:

Sino-US Trade Friction; Communication Equipment; Tariff; Heterogeneity Analysis.

Abstract

This study examines the impact of Sino-US trade frictions on high-tech industries such as communication equipment, systematically assessing the direct effects, underlying mechanisms, and structural differences of US tariff increases. Using 2017-2024 HTS-8-digit data and employing methods including two-way fixed effects models, the findings reveal: (1) Tariffs significantly suppress exports, with a 1% tariff rate increase leading to an average export decline of approximately 24.9%; (2) The impact exhibits heterogeneity, where intermediate goods and low-end products are more affected than final products and high-end goods; (3) A "price pass-through" mechanism exists, where exporters absorb part of the cost through strategic price reductions. The research demonstrates that trade frictions generate trade-distorting effects through cost and supply chain channels, providing a basis for industries to address international competition and optimize global layouts.

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