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         An Analysis of Influencing Factors for Export in Firms Using FTA



                                               1           2
                                      YUE Wen & HAN Jian
                      (1. School of Business, Jiangnan University, Wuxi Jiangsu 214122, China;
                     2. School of Economics, Nanjing University, Nanjing Jiangsu 210093, China)

       Abstract: At present, regional free trade agreements represented by FTA are gradually becoming the important means for
   countries to carry out the economic strategic cooperation and competition. In order to probe into the reasons, firstly, this paper
   establishes a theoretical model to analyze the FTA use of firms from the perspective of the use cost and benefit of FTA, and clari鄄
   fies the mechanism behind firms蒺 choice of FTA strategy. Secondly, based on the questionnaire data of China鄄ASEAN FTA in
   2017, using the order probit model, this paper also empirically finds that the difficulty of firms obtaining the related information
   of FTA, the length of time required to apply for the certificate of origin are important factors that affect the FTA utilization rate of
   Chinese firms. Exporting by Using FTA can help firms to increase the export volume, help firms to export products with lower
   price, and help firms to join the global / regional production network and product supply chain. Finally, the results of heteroge鄄
   neity tests show that compared with production firms, the reduction of the difficulty of obtaining FTA related information and of
   the time required for firms to apply for certificate of origin are more conducive to the improvement of FTA utilization rate of foreign
   trade firms. At the same time, the FTA utilization rate of large鄄scale firms is greatly affected by the use benefits of FTA, while
   the FTA utilization rate of small鄄scale firms is relatively more sensitive to the use cost of FTA. In order to improve the utilization
   rate of FTA, the government should strengthen the publicity of FTA鄄related policies to improve the awareness of firms. In the
   meantime, it should simplify various procedures for examination and approval to shorten the required time in application for certif鄄
   icate of origin.
       Key Words: FTA utilization rate; FTA use cost; heterogeneous firm; China鄄ASEAN FTA; order probit model

                                                                          (本文责编摇 邓摇 艳)


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