scholarly journals Vertical Specialization of Production: Critical Review and Empirical Evidence for the Mexican Manufacturing Industries 1994-2014

2016 ◽  
Vol 6 (2) ◽  
pp. 11 ◽  
Author(s):  
Maritza Sotomayor
Keyword(s):  
Value Chain ◽  
Manufacturing Industry ◽  
Bilateral Trade ◽  
The United States ◽  
Global Value Chain ◽  
Vertical Specialization ◽  
Empirical Estimation ◽  
Quality Ladder ◽  
Empirical Approaches

<p>This paper surveys Vertical Specialization (VS) from different empirical approaches, including the various conceptualizations of VS, the problems with its quantification, and a case study. The empirical estimation of this paper refers to the Mexican manufacturing industry and the in-bond industry (also known as maquiladora). The purpose of this paper is to compare VS, through the application of the Vertical Intra-Industry Trade (VIIT) indexes, for maquiladora and non-maquiladora industries and to contrast the degree to which the maquiladora industry is integrated with the global value chain relative to the non-maquiladora activities for the 1994-2006 period. Furthermore, this paper quantifies VIIT for the post-maquiladora period (2007-2014) in order to discuss if there have been changes in the VIIT since the conclusion of the maquiladora program in 2006. In particular, this paper tests if the quality ladder hypothesis applies to Mexico for its bilateral trade with the United States and Canada. The empirical estimations show the remarkable differences between maquiladora and non-maquiladora VS and the impacts that changes in the NAFTA tariff schedule for the automotive industry have had on the bilateral trade pattern.</p>

scholarly journals The Impact of the COVID-19 Pandemic on the Global Value Chain of the Manufacturing Industry

2021 ◽  
Vol 13 (22) ◽  
pp. 12370
Author(s):  
Jiaze Sun ◽  
Huijuan Lee ◽  
Jun Yang
Keyword(s):  
Growth Rate ◽  
Value Chain ◽  
Manufacturing Industry ◽  
The United States ◽  
Output Growth ◽  
Added Value ◽  
High Tech ◽  
Global Value Chain ◽  
Epidemic Period ◽  
The Impact

This paper adopts the GDYN model to estimate the dynamic impact of the COVID-19 pandemic on global manufacturing industry and the value chain. Our simulation finds that (1) In the short run, the low-tech manufacturing industries will suffer greater shocks, with a decline of output growth in 2021 by 6.0%. The growth rate of the high-tech manufacturing industry showed an increasing trend of 3.7% in 2021. (2) In the post-epidemic period, the total manufacturing output will return to the baseline level, from which the growth rate of low-tech manufacturing will rebound, demonstrating a V-shaped development trajectory. (3) From the perspective of Global Value Chain (GVC), the participation in GVCs of manufacturers in countries along the Belt and Road, the European Union and the United States will weaken, while China’s manufacturing industry has witnessed an obvious improvement in export competitiveness. The import added value of China has decreased, which shows that its ability to meet domestic demand has been improving. This indicates that the COVID-19 pandemic is providing a crucial opportunity for China to upgrade its manufacturing value chain, which contributes to the accelerated construction of a new dual-cycle development pattern.

A Kind of Change Management Method for Global Value Chain Optimization and Its Case Study

2021 ◽  
pp. 1-15
Author(s):  
Guangyu Xiong ◽  
Huaiyu Wu ◽  
Petri Helo ◽  
Xiuqin Shang ◽  
Gang Xiong ◽  
...  
Keyword(s):  
Change Management ◽  
Value Chain ◽  
Global Value Chain ◽  
Management Method

Accounting of gross exports and tracing foreign values in the global pharmaceutical value chain

2018 ◽  
Vol 22 (4) ◽  
pp. 348-363
Author(s):  
Chang-soo Lee ◽  
Mikyung Yun
Keyword(s):  
Value Chain ◽  
Decomposition Method ◽  
Design Methodology ◽  
Bilateral Trade ◽  
Value Chains ◽  
Vertical Specialization ◽  
Content Type ◽  
Second Tier ◽  
First Time ◽  
European Regional

Purpose The purpose of this paper is to document for the first time the vertical specialization structure of the global pharmaceutical value chain. Design/methodology/approach The paper adopts Wang et al.’s (2013) gross exports decomposition method to trace foreign values in bilateral trade between major pharmaceutical producers, using the 2014 WIOT database. Findings The paper shows that as in other sectoral value chains, the pharmaceutical value chain is heavily regional. The paper identifies a strong European regional value chain, and a less intensive, Asian regional value chain. Korea is positioned in the middle of the Asian value chain, and is connected to the European regional value chain as a second-tier supplier. Originality/value The paper documents the vertical specialization structure of the global pharmaceutical value chain through gross exports decomposition method, making use of the World Input–Output Table Database 2014 which disaggregates pharmaceuticals in its industry classification for the first time.

Measuring economies’ pivotability on the global value chain under the perspective of inter-country input–output network

2021 ◽  
pp. 2150289
Author(s):  
Lizhi Xing ◽  
Yu Han ◽  
Dawei Wang
Keyword(s):  
Value Chain ◽  
Betweenness Centrality ◽  
Value Added ◽  
The United States ◽  
Global Value Chain ◽  
Input Output ◽  
Trade Disputes ◽  
Industrial Sectors ◽  
Edge Based ◽  
Novel Coronavirus

Under the dual background of trade disputes between China and the United States and the epidemic of 2019 novel coronavirus, the existing Global Value Chain (GVC) division and trading system are facing unprecedented impact. This paper reinforces the present studies on international trade by analyzing the fragments of GVC, which are made of numerous Inter-Country Input–Output (ICIO) relations. We first redefine the inter-country and inter-sector propagating process of intermediate goods, coming up with the concept of Strongest Relevance Path Length (SRPL) based on Revised Floyd–Warshall Algorithm (RFWA). Second, enlightened by betweenness centrality, we introduce Weighted Betweenness Centrality of Edge based on RFWA to measure the Value-Added Pivotability of Input–Output Relations, which brings forth pivotability at domestic, international, and global levels. The results show how much a given country can influence the world economic pattern by linking worldwide upstream and downstream industrial sectors, be it at home or abroad. Also, we can try to explain what is the cause of the phenomenon that the economic influence of nations is trading off and taking turns with all sorts of local or even global evens happening.

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