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China in the international fragmentation of production: Evidence from the ICT industry

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Author Info
Alessia Amighini

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Abstract

This paper investigates the position of China in the international fragmentation of production in the ICT industry, the most dynamic and globally dispersed sector in the world economy. The evidence shows that during the 1990s China dramatically increased its market shares in ICT products and now ranks among the top three world exporters. Moreover, China has upgraded from mere assembly of imported inputs to the manufacturing of high-tech intermediate goods. As a result, import dependence has declined and the domestic value added of exports has increased. This supports the hypothesis that industrial upgrading occurred in some tradable sectors through technological learning associated with processing trade. Therefore, a pattern of specialization initially dominated by processing trade could be favourable to a country's long-term development, to the extent that entering at the lower end of high-tech sectors is promotive of catching up in more sophisticated technology-intensive production

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Publisher Info
Article provided by Cattaneo University (LIUC) in its journal The European Journal of Comparative Economics.

Volume (Year): 2 (2005)
Issue (Month): 2 (December)
Pages: 203-219
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Handle: RePEc:liu:liucej:v:2:y:2005:i:2:p:203-219

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Related research
Keywords: China; Fragmentation; Industrial Upgrading; Information and Communication Technology;

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Find related papers by JEL classification:
F02 - International Economics - - General - - - International Economic Order; Noneconomic International Organizations;; Economic Integration and Globalization: General
F14 - International Economics - - Trade - - - Country and Industry Studies of Trade
L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
N60 - Economic History - - Manufacturing and Construction - - - General, International, or Comparative

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

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    Other versions:
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  4. Alessia Amighini & Stefano Chiarlone, 2003. "Rischi e opportunità dell’integrazione commerciale cinese per la competitività internazionale dell'Italia," CESPRI Working Papers 149, CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy, revised Nov 2003. [Downloadable!]
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    Other versions:
  6. Coe, David T & Helpman, Elhanan & Hoffmaister, Alexander, 1995. "North-South R&D Spillovers," CEPR Discussion Papers 1133, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  7. Gene M. Grossman & Elhanan Helpman, 2002. "Outsourcing in a Global Economy," NBER Working Papers 8728, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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    Other versions:
Full references

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Saccone Donatella & Valli Vittorio, 2009. "Structural Change and Economic Development in China and India," Department of Economics Working Papers 200907, University of Turin. [Downloadable!]
  2. Li, Kunwang & Song, Ligang & Zhao, Xingjun, 2008. "Component Trade and China?s Global Economic Integration," Working Papers RP2008/101, World Institute for Development Economic Research (UNU-WIDER). [Downloadable!]
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