Trade, productivity, and innovation: Firm-level evidence from Malaysian manufacturing

► The paper examines the relationships between trade, productivity and innovation using firm-level data from the Malaysian manufacturing sector. ► The data used is primary data from three innovation surveys covering the period 1997-2004. ► The paper provides evidence on the relationship between exporting and innovation. ► The relationship between exporting and productivity is a weak one. ► There is some evidence that trade liberalization may promote exports especially for non-innovating firms.