Facts and Figures on Intermediated Trade

In this paper, we provide a broader set of facts on trade intermediaries, using new datasets for Chile-Argentina trade. We analyze information from Chilean transaction-level import data between 2004 and 2008. Small exporters from Argentina match typically with one large Chilean importer. Import intermediaries specialize in countries, with, on average, 75% to 95% of imports coming from two countries. These intermediaries achieve scale by importing a small number of large volume HS6 codes; at the same time, intermediaries import a large total number of HS6 codes. For wholesalers, initial growth in total import value occurs by adding countries and features switches in the highest value import country. Additional growth occurs by pruning countries and growing with the previous highest value import country. In both instances, wholesaler growth features significant increases in the number of HS6 codes. Firms that fail to grow continue to see significant amounts of switches in the highest value export firm. We find that firms with small amounts of worldwide exports almost invariably match with an importer that is a large worldwide importer.