Impact of Embedded Global Value Chain on Technical Complexity of Industry Export—An Empirical Study Based on China’s Equipment Manufacturing Industry Panel

Yan, Li; Zhang, Haiyan; Liu, Yihui; Huang, Qingbo

doi:10.3390/su12072694

Cited by 19 publications

(19 citation statements)

References 12 publications

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“…It can be seen from columns (1)-(3) and (4)-(6) that GVC participation has a more positive moderating effect on enterprises with low and medium productivity. The results show that when GVC participation is high, manufacturing servitization significantly promotes the export technological sophistication of low-efficiency enterprises, which is similar to previous literature conclusions [ 65 , 68 ]. The possible explanation is that there are a large number of processing trade enterprises engaged in low value-added business in China, and their productivity can not accurately reflect their international competitiveness, that is, there is a "productivity paradox" phenomenon.…”

Section: Expansibility Analysissupporting

confidence: 90%

“…The existing research shows that manufacturing servitization plays an important role in promoting the international competitiveness of enterprises when the global value chain has deeply participated [ 64 , 65 ]. However, there is still little literature on the economic effects of GVC (global value chain) participation based on the data of micro-enterprises, especially the further research on the combination of the new production division system of GVC and the servitization of the manufacturing industry.…”

Section: Expansibility Analysismentioning

confidence: 99%

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Research on the promoting effect of servitization on export technological sophistication of manufacturing enterprises

Sun

Jiang

et al. 2021

PLoS ONE

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Based on multiple micro databases involving Chinese manufacturing enterprises and World Input-Output Database, this article investigates the impact of China’s manufacturing servitization on export technological sophistication from 2000 to 2010. The results show that manufacturing servitization has an inverted U-shaped impact on export technological sophistication. From the perspective of heterogeneity at the enterprise level and industry level, manufacturing servitization has an inverted U-shaped impact on export technological sophistication for mixed trade enterprises, central and western located enterprises, domestic and foreign enterprises, and knowledge-intensive industries, the nonlinear impact is in the promotion range. Besides, manufacturing servitization with domestic and foreign service input source has an inverted U-shaped impact on export technological sophistication, manufacturing servitization with the domestic consumption-oriented service input source and foreign production-oriented service input source have a promoting effect. Servitization with financial industry and technical research and development service source has a promoting effect, while servitization with transportation service input source has an inverted U-shaped effect. Overall global value chain participation level and simple global value chain participation have a positive moderating effect on the impact, especially for enterprises with lower production efficiency. Mechanism analysis confirms that the "spillover" effect and "cost" effect are important channels for manufacturing servitization to promote export technological sophistication.

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Section: Expansibility Analysissupporting

confidence: 90%

Section: Expansibility Analysismentioning

confidence: 99%

Research on the promoting effect of servitization on export technological sophistication of manufacturing enterprises

Sun

Jiang

et al. 2021

PLoS ONE

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“…Regarding the China-US trade, in 2014, China exported USD 468 billion in goods to the United States, 41% on final goods (FG), and 59% as intermediate parts and components (IPCs). A large share of IPCs is shipped to the US via indirect partners as it is well documented [5,17,18]. The largest exports from China to the US originate from computers, electronic, and electrical equipment, equal to USD 158 billion in 2014.…”

Section: Resultsmentioning

confidence: 99%

“…Since 2018, trade tensions between the United States (US) and China have escalated, amidst concerns of currency manipulation [1], state subsidies [2], trade imbalances [3,4], re-launching of export strategies [5], intellectual property issues [6], national security [7], and many others [8]. Increased US tariffs on Chinese imports were straightaway responded with counter tariffs from China on at least three big 'special tariffs' waves.…”

Section: Introductionmentioning

confidence: 99%

The American–China Trade War and Spillover Effects on Value-Added Exports from Indonesia

et al. 2022

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This paper examines the impact of special tariffs between China and the United States (US) on their indirect trade partners via spillover effects. We applied a Value-Added Real Effective Exchange Rate (VA-REER) index to simulate how an increase in tariffs induces changes in demand for goods from Indonesia and selected Asian partners. We used the Input–Output Database (WIOD) to simulate the spillover effects across partners via the Global Value Chain (GVC) using data from 2000 to 2014. The results suggest that demand is doubly more responsive to prices (tariffs) when value-added (VA-REER) index is used instead of the conventional REER index (gross trade). We found that US tariffs on Chinese goods have a negative spillover impact on Indonesia’s exports. Meanwhile, the Chinese tariffs on American goods lead to small increased demand for Indonesian exports. We also found that US and China become equally crucial for Indonesia under the Value-Added REER scheme, concluding that the conventional REER approach may have underestimated the impact of US tariffs on Chinese goods. Finally, we found that Indonesia would be at risk to trade shocks if the US applies tariffs on China, Asian partners (Japan and South Korea), and the European Union (EU).

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“…At a significance level of 0.01, H3a, and H3b passed the test. Li et al (2020) found that establishing the GVC can improve the export technical complexity of the equipment-manufacturing industry, and with the promotion of domestic openness and industry R and D investment conditions, this improvement is likely to be healthy. Through interviews with executives of Chinese business groups and its subsidiaries, it was found that in order to improve the companie's overseas low carbon products and technology marketing activities, the companies were strengthening their marketing management innovations.…”

Section: Direct Effect Testingmentioning

confidence: 99%

The Role of the Global Value Chain in Improving Trade and the Sustainable Competitive Advantage: Evidence From China’s Manufacturing Industry

Shi

Chen

Hajduk-Stelmachowicz

et al. 2021

Front. Environ. Sci.

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In the domain of globalization, the global value chain (GVC) is formed across diverse economies. Owing to the expansion of economic globalization and the resultant global trade liberalization, the geographical isolation of production and consumption has resulted in the transfer of polluting emissions from advanced economies to developing states. Developing economies, falling in the middle and low end of the GVC, have to strive hard to expand their production in the GVC, while simultaneously addressing the consequent environmental damage and attending to the core environmental concerns of sustainable growth, energy preservation and drastic cuts in CO2. This paper addresses how manufacturing subsidiaries can improve their low-carbon innovation ability and help to achieve a sustainable competitive advantage through the embedded GVC. Data were gathered employing interview and survey methods, 31 manufacturing companies and 56 enterprise groups across 16 Chinese provinces were selected as the case study. A partial least square structural equation modelling was adopted to analyse the responses. The results indicate that the embedded GVC significantly enhances low-carbon innovation capability and promotes a sustainable competitive advantage. This study proposes that companies should continuously identify high-quality resources from the GVC and discover ways of integrating internal and external carbon innovation resources to form innovation capabilities.

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Impact of Embedded Global Value Chain on Technical Complexity of Industry Export—An Empirical Study Based on China’s Equipment Manufacturing Industry Panel

Cited by 19 publications

References 12 publications

Research on the promoting effect of servitization on export technological sophistication of manufacturing enterprises

Research on the promoting effect of servitization on export technological sophistication of manufacturing enterprises

The American–China Trade War and Spillover Effects on Value-Added Exports from Indonesia

The Role of the Global Value Chain in Improving Trade and the Sustainable Competitive Advantage: Evidence From China’s Manufacturing Industry

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