The US-China Trade War and Global Reallocations

A-Tier
Journal: American Economic Review: Insights
Year: 2024
Volume: 6
Issue: 2
Pages: 295-312

Authors (5)

Pablo Fajgelbaum (not in RePEc) Pinelopi Goldberg (not in RePEc) Patrick Kennedy (not in RePEc) Amit Khandelwal (Yale University) Daria Taglioni (not in RePEc)

Score contribution per author:

0.804 = (α=2.01 / 5 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The US-China trade war created net export opportunities rather than simply shifting trade across destinations. Many "bystander" countries grew their exports of taxed products into the rest of the world (excluding the United States and China). Country-specific components of tariff elasticities, rather than specialization patterns, drove large cross-country variation in export growth of tariff-exposed products. The elasticities of exports to US-Chinese tariffs identify whether a country's exports complement or substitute the United States or China and its supply curve's slope. Countries that operate along downward-sloping supplies whose exports substitute (complement) the United States and China are among the larger (smaller) beneficiaries of the trade war.

Technical Details

RePEc Handle
repec:aea:aerins:v:6:y:2024:i:2:p:295-312
Journal Field
General
Author Count
5
Added to Database
2026-01-25