This study utilizes panel data from 2006 to 2020 on cultural product trade between China and RCEP member countries, applying pooled least squares regression. Through an analysis that includes both aggregate and categorized levels, and employs static and dynamic panel gravity models, the paper empirically investigates the factors influencing China's cultural trade flows with RCEP countries and estimates the trade potential of cultural products between China and each member country. The findings indicate that China's GDP, the population size of RCEP countries, advancements in technology, Confucian cultural ties, and territorial adjacency are significant drivers of cultural product trade. Moreover, China's cultural product exports demonstrate consumption network externalities, which enhance cultural trade by shaping foreign consumer preferences. At present, there exists substantial untapped potential for cultural product trade between China and RCEP member countries. These conclusions offer both a theoretical framework and empirical validation for the high-quality development of China's cultural trade. The paper concludes with policy recommendations, including the continued development of the real economy, expanded cooperation in technology sectors within RCEP, reduction of bilateral cultural distances, promotion of Confucian culture, and the formulation of strategies for export market diversification and differentiation of cultural products.

Keywords: RCEP, Trade Gravity Model, Cultural Product Trade, Consumption Network Externalities

Download the full text PDF for viewing and using it according to the license of this paper.

Funding

None.

Conflicts of Interest:

The authors declare that they have no conflicts of interest to report regarding the present study.

References

Janeba, E. (2007). International trade and consumption network externalities. European Economic Review, 51(4), 781-803.
Rauch, J., Trindade, V. (2009). Neckties in the tropics: a model of international trade and cultural diversity. Canadian Journal of Economics, 42(3), 809-843.
Maystre, N., Olivier, J., Thoenig, M., Verdier, T. (2014). Product-based cultural change: Is the village global? Journal of International Economics, 92(2), 212-230.
Levy, S. (1959). Symbols for sale. Harvard business review.
Sirgy, M (1982). Self-concept in consumer behavior: A critical review. Journal of consumer research, 9(3): 287-300.
Schulze, G. (1999). International trade in art. Journal of Cultural Economics, 23, 109–136.
Marvasti, A., Canterbery, E., (2005). Cultural and other barriers to motion pictures trade. Economic Inquiry, 43, 39–54.
Chan-Olmsted, S., Cha, J., Oba, G., (2008). An examination of the host country factors affecting the export of US video media goods. Journal of Media Economics, 21, 191–216.
Liu, A., Lu C., Wang, Z. (2020). The roles of cultural and institutional distance in international trade: Evidence from China's trade with the Belt and Road countries. China Economic Review, 61.
Eaton, J., Kortum, S. (2002). Technology, geography, and trade. Econometrica, 70(5), 1741–1779.
Melitz, M., Ottaviano, G. (2008). Market size, trade, and productivity. Review of Economic Studies, 75(1), 295–316.
Chaney, T. (2008). Distorted gravity: The intensive and extensive margins of international trade. American Economic Review, 98(4), 1707–1721.
Disdier, A., Tai, S., Fontagné, L., Mayer, T. (2010). Bilateral trade of cultural goods. Review of World Economics, 145(4), 575–595.
Wang, Q., Qin, L. Analysis of Factors Influencing China's Cultural Product Exports. Western Forum, 2015, 25(5): 99-108.
Wei, Y., Zhong, X. Consumption Addiction, Cultural Discount, and China's Core Cultural Product Exports. Learning and Practice, 2016(06): 128-134.
Jia, X., Lü, L. Analysis of Factors Influencing China's Cultural Trade: A Case Study of Core Cultural Product Exports. Scientia Geographica Sinica, 2017, 37(8): 1145-1150.
Lan, T., Lü, W. Research on the Dual Margins and Influencing Factors of the Growth in China's Cultural and Creative Product Exports. International Trade Issues, 2018.
Zhao, Y., Shen, Y. An Empirical Study on the Factors Influencing China's Cultural Product Trade and Trade Potential: Based on Cross-Country Panel Data. Industrial Innovation Research, 2020(04): 5-8.
Tu, Y. Estimation of China's Cultural Product Trade Flows and Export Potential: An Empirical Analysis Based on the Gravity Model. Enterprise Economy, 2014(03): 106-110.
Feng, Q. Growth Drivers and Trade Potential: An Empirical Analysis of Cultural Product Trade between China and Key Countries along the "Belt and Road". Journal of Shaoxing University (Humanities and Social Sciences), 2020, 40(11): 92-100.
Fang, Y., Ma, R. The Potential and Influencing Factors of Cultural Trade between China and Countries along the "Belt and Road": An Empirical Study Based on the Stochastic Frontier Gravity Model. World Economic Research, 2018(1): 112-121.
Li, S., Deng M., Liu D. Trade Gravity, Social Embeddedness, and Cultural Product Exports: An Empirical Analysis Based on China and Countries along the "Belt and Road". Journal of Guangdong University of Finance & Economics, 2017(4): 32-44.
Cui, C., Lü, W. A Study on the Efficiency and Trade Potential of Cultural Product Trade between China and India: Based on the Stochastic Frontier Gravity Model. Proceedings of the Emerging Economies Forum, 2019: 738-750.
Wang, L., Huang, F. International Competitiveness and Influencing Factors of Textile Trade between China and the BCIM Countries: Based on the "BCIM" Framework. Price Monthly, 2021(12): 44-51.
Chen, F., Lü, M. An Investigation into the Current Situation and Promotion Strategies of China's Cultural Product Exports to Other RCEP Member Countries. Economic Research Reference, 2022(08): 134-144.
Cai, Y., Wei, X. An Analysis of Factors Influencing China's Cultural Product Exports to RCEP Partner Countries and Trade Potential: An Empirical Study Based on the Gravity Model. Foreign Trade, 2023(10): 10-14.

This is an open access article under the CC BY-NC license.

Journal Menu

Journal Browser

Table of Contents

The Determinants and Potential Estimation of China's Cultural Product Trade with RCEP Member Countries