Abstract:
Objective/Meaning The analysis on the level, influencing factors and changing trend of intra-industry trade of agricultural products between both sides of the Taiwan Strait from 2014 to 2023 can provide reference for promoting the development of agricultural products trade between both sides of the Taiwan Strait.
Methods/Procedures The G-L index and MIIT index were used to measure the level of intra-industry trade, and the influencing factors of intra-industry trade between both sides of the Taiwan Strait were compared and analyzed based on the multiple regression gravity model.
Results/Conclusions The G-L index showed that the agricultural trade between both sides of the Taiwan Strait has shown the tendency of changing from intra-industry trade to inter-industry trade, and Vietnam maintained a high level of intra-industry trade in agricultural products with both sides of the Taiwan Strait. The MIIT index showed that the trade increment between both sides of the Taiwan Strait was mainly driven by the inter-industrial trade. The index of MIIT between Chinese mainland and Vietnam, and those of Taiwan-South Korean and Taiwan-Thailand were high. The difference in market openness and geographical distance had a significant inhibitory effect on the cross-strait intra-industrial trade. The competitiveness of agricultural products trade had a positive effect on the intra-industrial trade of Chinese mainland whereas its impact was negative for Taiwan. It was suggested to further promote the development of the cross-strait agricultural products trade by deepening the regional cooperation, coordinating the market opening policies, improving the product differentiation and reducing the logistics costs.