Analysis of the Impact of Chinese Wood Product Manufacturers' Exports

Since the end of the last century, exports from the Chinese wood processing sector have experienced very rapid growth and played an increasingly important role in the world's wood product trade market. Based on data from Chinese wood product companies for 1998 to 2007, an empirical analysis of the factors influencing wood product exports was conducted using a panel Tobit model. We discovered that companies in the eastern regions can export more easily compared with those in the midland and western areas; larger companies enjoy more favorable export conditions, with more advantageous outcomes during risk taking and higher sunk costs; enterprises with a higher proportion of foreign capital tend to export more, as do enterprises whose capital originates principally from Hong Kong, Macao, or Taiwan; the original equipment manufacturer or original design manufacturer still predominates in the wood processing industry; exporting made negative influence for wood processing enterprises' performance during that time; capital density makes no impact on wood processing enterprises' exports; and, finally, companies' registered addresses have no direct connection with exports of wood processing enterprises.