UNU-MERIT Working Papers Series

Automation and the Margins of Export Performance: Evidence from French Firms

Trang Nguyen, Giacomo Domini, Marco Grazzi, Daniele Moschella & Tania Treibich #2025-028

We examine the effects of adopting automation technologies on the export performance of French manufacturing firms during the 2002–2019 period. Adoption is identified through imports of automation-related capital goods, and its effects are estimated by means of a staggered difference-in-differences method. Our results indicate that automation significantly improves export outcomes, such as export value, the exportto- sales ratio and particularly the number of destination countries. However, its effect on the number of exported products is limited. These results are primarily driven by single-product firms, which expand their product portfolios, often toward more complex products, and increase their presence in high-income countries. Multi-product firms, instead, tend to streamline their product offerings while targeting low-income markets. These findings underscore the distinct mechanisms of learning effects and resource reallocation that shape automation strategies and drive export success.

Keywords: Automation; exports; firm heterogeneity; single-product firms; multiproduct firms

JEL Classification: L11, L22, L25

DOI: https://doi.org/10.53330/IHIQ7522

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