How Much of Chinese Exports is Really Made In China? Assessi (2024)

Author

Listed:

  • Robert Koopman
  • Zhi Wang
  • Shang-Jin Wei

Registered:

  • Robert B. Koopman
  • Zhi Wang
  • Shang-Jin Wei

Abstract

The rise of China in world trade has brought both benefits and anxiety to other economies. For many policy questions, it is crucial to know the extent of domestic value added (DVA) in exports, but the computation is more complicated when processing trade is pervasive. We propose a method for computing domestic and foreign contents that allows for processing trade. By our estimation, the share of domestic content in exports by the PRC was about 50% before China's WTO membership, and has risen to over 60% since then. There are also interesting variations across sectors. Those sectors that are likely labeled as relatively sophisticated such as electronic devices have particularly low domestic content (about 30% or less).

Suggested Citation

  • Robert Koopman & Zhi Wang & Shang-Jin Wei, 2008. "How Much of Chinese Exports is Really Made In China? Assessing Domestic Value-Added When Processing Trade is Pervasive,"NBER Working Papers 14109, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:14109
    Note: ITI

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    References listed on IDEAS

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    More about this item

    JEL classification:

    • F1 - International Economics - - Trade
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

    NEP fields

    This paper has been announced in the following NEP Reports:

    • NEP-CNA-2008-06-27 (China)
    • NEP-DEV-2008-06-27 (Development)
    • NEP-INT-2008-06-27 (International Trade)

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    How Much of Chinese Exports is Really Made In China? Assessi (2024)

    FAQs

    How Much of Chinese Exports is Really Made In China? Assessi? ›

    By our estimation, the share of domestic content in exports by the PRC was about 50% before China's WTO membership, and has risen to over 60% since then.

    What percentage of China's production is exported? ›

    In 2009, China overtook Germany as the largest exporting nation worldwide. Since 2014, China has been not only the world's largest exporter, but also the largest trading nation in terms of the sum of its exports and imports. In 2023, China's export of goods and services constituted nearly 19 percent of its GDP.

    How much is China's total export? ›

    Yearly Trade

    In 2022, China exported a total of $3.73T, making it the number 1 exporter in the world. During the last five reported years the exports of China have changed by $1.17T from $2.56T in 2017 to $3.73T in 2022.

    What percentage of Chinese exports go to us? ›

    China top 5 Export and Import partners 2021

    China exports to United States worth US$ 577,125 million, with a partner share of 17.16 percent. China exports to Hong Kong, China worth US$ 349,442 million, with a partner share of 10.39 percent.

    How much of Chinese exports is really made in China? ›

    By our estimation, the share of domestic content in exports by the PRC was about 50% before China's WTO membership, and has risen to over 60% since then. There are also interesting variations across sectors.

    What percentage of goods are made in China? ›

    China produces 28% of the world's manufacturing output.

    Who is the largest exporter in the world? ›

    With the second-largest economy in the World, China is the leader in exports. China exported nearly $3.59 trillion worth of goods in 2022. China's major exported goods are electronics and other machinery, and major imported goods are electronics, including integrated circuits and other computer components.

    How much of China's emissions are from exports? ›

    Previous studies show that the CO2 emissions contributed by products exported to developed countries have accounted for more than 10% of China's CO2 emissions since 1997, reaching 25% in 2007 (1.7 billion tons of CO2) (Davis and Caldeira, 2010). In China, Chen et al.

    What is the export to import ratio of China? ›

    China Export to Import Ratio was reported at 133.003 % in Dec 2023. This records an increase from the previous number of 130.596 % for Nov 2023. China Export to Import Ratio data is updated monthly, averaging 117.312 % from Jan 1992 to Dec 2023, with 384 observations.

    What does China export the most of? ›

    Export of goods from China

    Machinery such as computers, broadcasting technology, and telephones as well as transport equipment make up the largest part of Chinese exports. This category amounted to approximately 1.69 trillion U.S. dollars in export value in 2022.

    What percentage of manufacturing comes from China? ›

    China – 28.4% Global Manufacturing Output

    It is the world's most populous country with around 1.4 billion inhabitants. China has an entrepreneurial economy and is one of the best places to do business due to its low costs. China makes up 28.7% of the total global output for manufacturing.

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