The evolution of value added in assembly operations: the case of China and Mexico
China and Mexico embarked, around the early 1980s, on the process of liberalization of trade and FDI and established some export oriented industries through assembly operations with the help of FDI. Both countries had the same objective of increasing value added in export processing industries. The authors examine the comparative achievements of their common objectives in the light of the export oriented strategy hypothesis. Applying the indicators of Revealed Comparative Advantage to exports and imports, the authors show that while there are some similarities in the performance of the two countries, there are also striking differences. Both have managed to increase manufactured exports, particularly in IT products, significantly during 1990s. Both, but particularly China, have developed comparative advantage in export and production of many industries, which had been initiated through import substitution. However, Mexico has achieved little, compared with China, in increasing value added in exports and in developing comparative advantage in production in assembly operations. Further, unlike China, since the early years of the 2010 decade it has not been able to sustain its rapid export growth.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 8 (2010)
Issue (Month): 4 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/RCEA20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/RCEA20|
When requesting a correction, please mention this item's handle: RePEc:taf:jocebs:v:8:y:2010:i:4:p:373-397. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If references are entirely missing, you can add them using this form.