International Trade and Investment

The ‘International Trade and Investment’ research group conducts research and provides policy advice on the drivers, the barriers, and the consequences of the international division of labor and the integration of developed and developing countries into international supply chains. Our research has a strong focus on policy-relevant topics and is mainly empirical in nature, using predominantly micro-level data.

An important part of our research addresses the challenges that recent disruptive shocks (such as Brexit, the Covid-19 pandemic and the war in Ukraine), a changing geopolitical environment and technological progress pose for the global production networks of companies in advanced economies. Here we also examine the growing importance of cross-border flows of services and knowledge.

Another focus of our research is to analyze the economic, social and environmental impacts foreign trade, foreign direct investment and the integration into global supply chains have in developing and emerging economies. In this context, we also assess the effectiveness of policies, such as the establishment of special economic zones, which aim to better integrate developing countries into global production networks.