Abstract:

As a flagship project and iconic brand of the Belt and Road Initiative, the China-Europe Railway Express (CRE) marks the full establishment of a major land-based artery for international trade in western China, particularly against the backdrop of rising deglobalization and trade protectionism. This study employs a staggered difference–in–differences (DID) method to identify the causal impact of the CRE on the export technological complexity of Chinese cities, a- long with its underlying mechanisms. The results indicate that, compared with cities without CRE access, cities with CRE operations exhibit significantly higher export technological complexity.The launch of the CRE has notably enhanced the technological sophistication of urban exports. Mechanism analysis reveals that improvements in human capital, technological innovation, and industrial upgrading are the primary channels through which the CRE enhances export complexity. Heterogeneity analysis further shows that the positive effect of the CRE is more pronounced in large cities, in central and western regions, and in key policy-prioritized areas. Finally, extended analysis suggests that the CRE has not yet produced significant regional spillover effects, implying that its capacity for broader regional stimulation remains to be strengthened. This study provides empirical evidence and policy implications for building a new land-based trade corridor in western China and fostering new advantages in international cooperation and competition.

Key words:

China-Europe Railway Express, export trade, technological complexity, cross-border railway