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International Trade in Intermediate Inputs: The Case of the Automobile Industry

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  • Diehl, Markus

Abstract

International trade statistics and input-output tables are analyzed in order to test the hypothesis that international production networks have become more relevant. The share of imported inputs in the gross output value of the motor vehicle industry has grown significantly during the last two decades. Moreover, some low-income countries have become strong exporters of automobile parts, but this trade is mainly regional rather than global. Detailed results are presented in case studies on four major producers (the United States, Japan, Germany and the UK).

Suggested Citation

  • Diehl, Markus, 2001. "International Trade in Intermediate Inputs: The Case of the Automobile Industry," Kiel Working Papers 1027, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:1027
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    7. Jones, Ronald Winthrop, 1996. "Vertical markets in international trade," Discussion Papers, Series II 318, University of Konstanz, Collaborative Research Centre (SFB) 178 "Internationalization of the Economy".
    8. Diehl, Markus, 1999. "The Impact of International Outsourcing on the Skill Structure of Employment: Empirical Evidence from German Manufacturing Industries," Kiel Working Papers 946, Kiel Institute for the World Economy (IfW Kiel).
    9. Ng, Francis & Yeats, Alexander, 1999. "Production sharing in East Asia : who does what for whom, and why?," Policy Research Working Paper Series 2197, The World Bank.
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    12. Venables, Anthony J., 1999. "Fragmentation and multinational production," European Economic Review, Elsevier, vol. 43(4-6), pages 935-945, April.
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    Citations

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    Cited by:

    1. Julius Spatz & Peter Nunnenkamp, 2002. "Globalization of the Automobile Industry - Traditional Locations under Pressure?," Aussenwirtschaft, University of St. Gallen, School of Economics and Political Science, Swiss Institute for International Economics and Applied Economics Research, vol. 57(04), pages 469-494, December.
    2. Kemal Türkcan, 2009. "Vertical Intra-Industry Trade: An Empirical Examination of the Austria’s Auto-Parts Industry," FIW Working Paper series 030, FIW.
    3. Sofka, Wolfgang & Zimmermann, Jörg, 2005. "There's no Place Like Home: A Strategic Framework to Overcome Liability of Foreignness in the German Car Market," ZEW Discussion Papers 05-84, ZEW - Leibniz Centre for European Economic Research.
    4. Nobuaki Hamaguchi & Silvio Miyazaki & Leonardo Correia, 2014. "State Space Application to Recent Automobile Sector Triangle Trade between Japan and Latin America," Discussion Paper Series DP2014-05, Research Institute for Economics & Business Administration, Kobe University.
    5. Nunnenkamp, Peter & Spatz, Julius, 2001. "Globalisierungsverlierer in der Automobilindustrie? Internationaler Wettbewerb und Arbeitsmarkteffekte in Deutschland, Japan und den Vereinigten Staaten," Open Access Publications from Kiel Institute for the World Economy 2608, Kiel Institute for the World Economy (IfW Kiel).
    6. Peter Nunnenkamp, 2002. "The effects of EU eastern enlargement on direct investments and their subsequent effects," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 55(11), pages 13-19, June.
    7. Shuhei Nishitateno, 2012. "Global Production Sharing in the Japanese Automobile Industry: A Comparative Analysis," Departmental Working Papers 2012-02, The Australian National University, Arndt-Corden Department of Economics.
    8. Kemal Türkcan, 2011. "Vertical Intra-Industry Trade and Product Fragmentation in the Auto-Parts Industry," Journal of Industry, Competition and Trade, Springer, vol. 11(2), pages 149-186, June.
    9. Nunnenkamp, Peter, 2002. "Auswirkungen der EU-Osterweiterung auf die Direktinvestitionen und die Rückwirkungen der Direktinvestitionen," Open Access Publications from Kiel Institute for the World Economy 2904, Kiel Institute for the World Economy (IfW Kiel).
    10. Veysel Avsar & Kemal Turkcan, 2013. "Exchange Rate Volatility and U.S. Auto-Industry Exports: A Panel Cointegration Approach," International Journal of Economics and Financial Issues, Econjournals, vol. 3(4), pages 772-787.

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    More about this item

    Keywords

    international trade; intermediate inputs; international outsourcing;
    All these keywords.

    JEL classification:

    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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    1. Studies on the automobile industry

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