Local response to global crisis – the effect of COVID-19 pandemic on SMEs and government export assistance programs in Central California

Abstract

This study focuses on the effectiveness of export assistance programs (EAPs) perceived by the SMEs in Central California before and during the Covid-19 pandemic. Through the survey data and semi-structured interviews conducted with representatives from community banks and related government agencies, we find that EAPs were perceived less effective in financial support, information services, export facilitating, and education and training-related programs during the pandemic. Meanwhile, SMEs engaged in international trade more actively sought government assistance benefits, including the Paycheck Protection Program and Economic Injury Disaster Loan during the pandemic, besides EAPs such as Export Credit Insurance.

Keywords:

• Covid-19 pandemic
• export
• export assistance programs
• government assistance benefits
• international trade
• SME

JEL classification:

• F18
• H12
• H81

Disclosure statement

No potential conflict of interest was reported by the author(s).