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Exploring Efficiency and Potential of China’s Textile and Apparel Export to the RCEP Countries Reflections on the Stochastic Frontier Gravity Model

DOI: 10.4236/ojbm.2025.131031, PP. 563-582

Keywords: China Textile, Apparel Products, Export Efficiency, Potential, Stochastic Frontier Gravity Model

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Abstract:

The signing of the Regional Comprehensive Economic Partnership (RCEP) has brought new opportunities for the development of China’s textile and apparel industry. The article uses the stochastic frontier gravity model (SFGM), selects the relevant data on China and RCEP countries from 2010 to 2022, and explores the factors influencing China’s textiles and apparel exports to the RCEP countries. The results show that: in terms of export efficiency, China’s export efficiency of textile and apparel products to Japanese and Cambodian countries is high, while its export efficiency to Brunei, New Zealand and Singapore is low, but its export potential and expansion space are large. In terms of influencing factors, bilateral Gross Domestic Product (GDP), government expenditure of importing countries, monetary freedom, dependence on foreign trade and free trade agreements have all significantly improved the export efficiency of China’s textile and apparel products, while geographical distance, tariff level of importing countries and commercial freedom have significantly hindered the improvement of the export efficiency of China’s textile and apparel products. Given the findings, China should dig deep into the markets of countries with low efficiency and great potential, and at the same time work with RCEP countries to promote the process of trade facilitation.

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