Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/280403 
Year of Publication: 
2023
Series/Report no.: 
Kiel Working Paper No. 2261
Publisher: 
Kiel Institute for the World Economy (IfW Kiel), Kiel
Abstract: 
By analyzing a unique dataset from Germany's evaluation of COVID-19 antigen rapid tests, we show that Chinese firms can excel under today's global competition and produce tests at quality levels higher than China's income level would suggest. We find these achievements are positively associated with China's rising innovation capability and robust industrial base. Further strengthening China's innovation and industrial base to support Chinese firms' future accomplishments is what the Chinese government clearly aims for. This would intensify the challenges facing Western economies that strive for technological sovereignty and eagerly seek to de-risk their economic relations with China.
Subjects: 
China
product quality
technological sophistication
trade
COVID-19
JEL: 
F10
O10
O30
Document Type: 
Working Paper

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