COVID-19 and Global Value Chains in South-East Asia and Singapore

2020 ◽  
pp. 225-234
Author(s):  
Anikó Magasházi

Significance The development raises the prospect of retaliation against North American companies from Beijing, which is already incensed by US tariffs and restrictions on technology exports and investment. This fear is reinforced by the recent arrest in China of two Canadians and an Australian. Impacts Lower-wage countries have an incentive to streamline their domestic business climate, but reforms will be slow. Chinese firms will increase their investment in fast-growing South and South-east Asia. This will accelerate the trend towards fewer global value chains and more regional ones.


Subject Prospects for South-east Asia to end-2016. Significance Weak export shipments and severe drought undermined South-east Asia's regional economy in the first half. Growth is now likely to be only slightly better than in 2015, depending greatly on a recovery in global value chains, especially those involving China.


2015 ◽  
Vol 14 (3) ◽  
pp. 129-144 ◽  
Author(s):  
Nakgyoon Choi

The rise of global value chains (GVCs) has changed the patterns of trade in East Asia. This paper aims to analyze GVCs since the mid 1990s and to investigate the determinants of East Asian trade in value-added. At the world level, export (measured in value-added) is increasingly sensitive to the capital–labor ratio and high-skilled labor productivity. In East Asia, however, the opposite trend is seen. It is also found that free trade agreements do not promote export in East Asia, only export in intermediate goods.


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