An Analysis of the Impact of Trade Facilitation in Africa on China’s Manufacturing Exports—Evidence from the Economic Community of West African States (ECOWAS)

China’s manufacturing exports to ECOWAS markets, especially in machinery, electronics, textiles, and automobiles have grown rapidly, yet the role of trade-facilitation reforms remains under-examined. Using a balanced panel of China’s annual exports to Benin, Ghana, Liberia, Nigeria, and Senegal (2010-2020), we estimate a Poisson Pseudo-Maximum Likelihood gravity model with country and year fixed effects. Key facilitation variables include Logistics Performance Index scores (customs and infrastructure), Doing Business “cost to import”, documentary requirements, and clearance times, alongside controls for importer GDP, GDP per capita, distance, and importer remoteness. Our results show that a 1% improvement in customs efficiency or transport quality raises exports by 1.25%, while a 1% increase in import costs reduces exports by 0.85%. Each additional document and day in import procedures lowers exports by 4% and 2%, respectively. These findings underscore that targeted investments in regulatory streamlining and logistics infrastructure are critical to deepening China-ECOWAS trade integration and informing Belt & Road and AfCFTA strategies.

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Publication Details

Journal
Open Journal of Business and Management
Published
2025-01-01
DOI
https://doi.org/10.4236/ojbm.2025.134150
Primary Topic
Global trade and economics
Type
article
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An Analysis of the Impact of Trade Facilitation in Africa on China’s Manufacturing Exports—Evidence from the Economic Community of West African States (ECOWAS)

Rita L. Kerkula
Open Journal of Business and Management
Global trade and economics
article

An Analysis of the Impact of Trade Facilitation in Africa on China’s Manufacturing Exports—Evidence from the Economic Community of West African States (ECOWAS)

Rita L. Kerkula
article en

Abstract

China’s manufacturing exports to ECOWAS markets, especially in machinery, electronics, textiles, and automobiles have grown rapidly, yet the role of trade-facilitation reforms remains under-examined. Using a balanced panel of China’s annual exports to Benin, Ghana, Liberia, Nigeria, and Senegal (2010-2020), we estimate a Poisson Pseudo-Maximum Likelihood gravity model with country and year fixed effects. Key facilitation variables include Logistics Performance Index scores (customs and infrastructure), Doing Business “cost to import”, documentary requirements, and clearance times, alongside controls for importer GDP, GDP per capita, distance, and importer remoteness. Our results show that a 1% improvement in customs efficiency or transport quality raises exports by 1.25%, while a 1% increase in import costs reduces exports by 0.85%. Each additional document and day in import procedures lowers exports by 4% and 2%, respectively. These findings underscore that targeted investments in regulatory streamlining and logistics infrastructure are critical to deepening China-ECOWAS trade integration and informing Belt & Road and AfCFTA strategies.

Open Journal of Business and ManagementVol. 13(04)
Shanghai University (CN), Shanghai University of Engineering Science (CN), Shanghai University of Finance and Economics (CN)
Partnerships for the goals
Openalex Percentile: Top 71%
Global trade and economics
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