Reproducibility package for Green Product Exports, Domestic Value Added And Trade Policies: Firm-Level Evidence From China
Overview
This paper examines the role of trade liberalization in China's meteoric rise as the world's leading supplier of green products. Evidence from firm-level customs transaction data from 2000 to 2016 matched with detailed tariff and non-tariff measure information shows that processing firms drove the export surge in solar panels and wind products. The empirical analysis uncovers a clear chain of transmission from upstream liberalization to downstream export performance. Processing firms producing green products benefited from greater domestic variety in inputs and materials. Upstream tariff reductions lowered domestic input prices and eased substitution of domestic materials for imported materials. This is turn raised the domestic value-added ratio for the processing firms and their exports of green products. A two-sector model rationalizes the empirical results. The results highlight the importance of supply-chain-wide openness for developing competitive new industries. They also emphasize the role of trade policy liberalization paired with domestic policies aimed at boosting capabilities and market scale, and with synchronized global demand, to explain how China achieved rapid dominance in solar and wind industries.
Reproducibility Package
| Repository name | URI |
|---|---|
| Reproducible Research Repository (World Bank) | https://reproducibility.worldbank.org |
Reproducibility
Paper exhibits were reproduced on a computer with the following specifications:
• OS: Windows 11 Enterprise, version 23H2
• Processor: Intel(R) Xeon(R) Platinum 8562Y+ 2.80 GHz (2 processors)
• Memory available: 64 GB
Runtime: ~10 minutes.
1. Access the data and code: Two datasets in the reproducibility package are accessible (public but not included) and one is restricted. Data cleaning and analysis scripts are temporarily embargoed by the authors. The scripts for the Working Paper will be added to the package once the paper is accepted for publication to a journal. Users need to gain access to the data and code files to be able to reproduce the results.
2. Place the data and code: Once all data and code files are obtained, paste all files in the corresponding folders according to the README.
3. Run the code: Add the root folder in line 9 of the do-file "main" and run it.
Data
Some data is restricted and has not been included in the reproducibility package. For more details, please refer to the README file. (Limited-access/Restricted Data)
Description
| Author | Affiliation | |
|---|---|---|
| Hiau Looi Kee | World Bank | hlkee@worldbank.org |
| Daria Taglioni | World Bank | dtaglioni@worldbank.org |
| Enze Xie | School of Economics, Zhejiang University | enzexie@zju.edu.cn |
2026-01-15
Scope and coverage
| Location | Code |
|---|---|
| China | CHN |
Disclaimer
The materials in the reproducibility packages are distributed as they were prepared by the staff of the International Bank for Reconstruction and Development/The World Bank. The findings, interpretations, and conclusions expressed in this event do not necessarily reflect the views of the World Bank, the Executive Directors of the World Bank, or the governments they represent. The World Bank does not guarantee the accuracy of the materials included in the reproducibility package.
Access and rights
| Name | URI |
|---|---|
| Modified BSD3 | https://opensource.org/license/bsd-3-clause/ |
Contacts
| Name | Affiliation | |
|---|---|---|
| Hiau Looi Kee | World Bank | hlkee@worldbank.org |
| Reproducibility WBG | World Bank | reproducibility@worldbank.org |
Information on metadata
| Name | Abbreviation | Affiliation | Role |
|---|---|---|---|
| Reproducibility WBG | DECDI | World Bank - Development Impact Department | Verification and preparation of metadata |
2026-01-15
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