HOW IMPORTANT IS MARKET-DISTRIBUTION TO CHINA’S EXPORTS OF LOW-CARBON GOODS?

Abstract

The objective of this study is to gauge the potential and constraints of China’s low-carbon goods exports by first evaluating its exports performance, then finding the engines for exports growth, using the constant market share (CMS) analysis. The results of the empirical analysis covering the period 2006-2015 indicate that the market distribution effect is the main determinant for China’s low-carbon goods exports growth. While the diversification of China’s low-carbon commodity composition has the potential to increase China’s low-carbon export growth, its low-carbon goods exports appear to be not competitive against the exports from other competitor countries during the period of analysis.