China's Evolving Role in Regional Production Networks: Evidence from the ICT Industry

2020 ◽  
Vol 37 (1) ◽  
pp. 78-92
Author(s):  
Sarah Chan ◽  
2020 ◽  
Vol 19 (1) ◽  
pp. 19-37
Author(s):  
Son Thanh Nguyen ◽  
Yanrui Wu

The emergence of production networks has changed the structure of international trade, which is characterized by a large share of intra-regional trade flows and a rising value of intermediate goods trade or network trade between countries within the same region. This paper investigates the change in impact of trade determinants with the formation of regional production networks. At the global level, the results show that intermediate goods exports are more sensitive to trade barriers than total goods exports. At the regional level, the comparison reveals that, despite the efforts directed toward export market diversification in East Asia, the region is still more dependent on other regions’ economic conditions than the European Union is.


2017 ◽  
pp. 114-135
Author(s):  
Ben Shepherd ◽  
Moekti Soejachmoen

2011 ◽  
Vol 02 (01) ◽  
pp. 85-102 ◽  
Author(s):  
WILLEM THORBECKE

This paper considers how exchange rates affect East Asian trade. The evidence indicates that exports produced within regional production networks depend on exchange rates throughout the region while labour-intensive exports depend on exchange rates in the exporting country. These results make sense since the majority of the value-added of processed exports come from imported parts and components while most of the value-added of labour-intensive exports comes from the domestic economy. Recent findings also indicate that imbalances between China and the US are a major outlier and that an appreciation of the Chinese yuan (CNY) is necessary to reduce these imbalances.


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