Trade linkages between China, India and Singapore

Abstract

Purpose -The purpose of this paper is to examine the trade linkages and degree of export competitiveness between Singapore, China and India. Design/methodology/approach -Balassa's export performance index and the dynamic RCA index was adopted, as suggested by Kreinin and Plummer to identify the revealed comparative advantage (RCA) of the above countries in industrial products by SITC 1-and 2-digit levels. The Spearman's rank correlation coefficient is used to identify the degree of complementarity between RCA indices. Findings -Given the abundant resources, China and India have comparative advantage in a broad range of manufactured goods as compared to Singapore. From the disaggregated analysis at 2-digit level, the paper finds that the Singapore and China exports are complements, although the degree of complementarity has being declining over time. Meanwhile, Singapore and India exports are found to be stronger complements and stable over time. The results also show that China and India exports are strong substitutes. The paper also finds that the export specialization of China and India has experienced significant changes and shifting to new export products over time. Originality/value -Given the recent trade agreements between China and Singapore and India and Singapore, it is important to examine the trade linkages (complementarity/substitutability of trade) between these countries. The paper highlights the importance of China and India in complementing countries such as Singapore as it climbs the technological ladder to maintain its competitiveness in the world market.

Analysis of Competitiveness and Factors Affecting the Level of Potato Export to Singapore and Malaysia

“…States that the higher the price is set, the amount of demand will decrease. An increase in export prices in the destination country tends to result in a decrease in the quantity of the commodity demanded (Jayawickrama & Thangavelu, 2010). However, because the results show that the price does not have a significant relationship with the level of Indonesian potato exports to Malaysia, changes in the export price of export potatoes do not have much effect on the level of export.…”

Analysis of Export Competitiveness Textile and Apparel Indonesia, China, India

“…Analysis was performed using the "Diamond Model", where raw materials, labor, capital, demand, related industries, strategies and policies were included as explanatory variables, and the impact of international competitiveness on market share (MS), trade competitiveness (TC) and comparative advantage (RCA) Research findings imply that it is necessary to increase investment in the fixed assets of the Chinese textile and apparel industry, accelerate the pace of equipment upgrading, increase the rate of industrialization, while strengthening the supply of textile raw materials, and reduce raw material prices, thereby reducing company costs textiles and apparel. (Jayawickrama & Thangavelu, 2010) Test trade relations and the level of export competitiveness between Singapore, China and India. The Balassa export performance index and dynamic RCA index were adopted to identify revealed comparative advantages (RCA) from Singapore, China and India in industrial products with 1 and 2 digit SITC levels.…”

“…The Balassa export performance index and dynamic RCA index were adopted to identify revealed comparative advantages (RCA) from Singapore, China and India in industrial products with 1 and 2 digit SITC levels. (Jayawickrama & Thangavelu, 2010) found that exports of Singapore and China complement each other, even though the level of complementarity has declined over time. Meanwhile, Singapore and India exports were found to be a stronger and more stable complement.…”

“…The competitiveness of the textile industry and apparel to a country can be seen from Revealed Comparative Adventange, (Jayawickrama & Thangavelu, 2010) a method that measures the export performance of a particular commodity in the total exports of a country. If the RCA value is greater than 1 then a country can be said to have a comparative advantage in commodities and strong competitiveness and or vice versa.…”

The Rural Market and Urban Market Integration: A Marketing Panacea to Economic Development Issues of Zimbabwe

“…The study indicated that trade structures and processes between China, India and Singapore should be complementary due to the existence comparative advantages. Though India had some comparative advantages in a large category of products, it should complement with other countries (Jayawickrama & Thangavelu , 2010). This means that even if urban centres think that they have comparative advantages in many products than rural people, they should engage in trade to complement each other.…”