Import Competition with China. Implications for Firms' Productivity Growth in the EU

The increase in the share of Chinese imports in total imports dampened the productivity growth of firms in the EU in the period 2003-2016. This effect was more pronounced for fast growing companies and stronger in the low-tech sector than in the high-tech sector. However, multinationals were able to benefit from an increase in import intensity with China, with high productivity growth amplifying the positive effects in this case.