Evolution of Machinery Production Networks: Linkage of North America with East Asia
This paper investigates the developing pattern of machinery trade and the extent and depth of production networks in North America from the perspective of their links with East Asia in the last two decades. Our descriptive analysis based on the total value of trade and the extensive margin demonstrates the expanding fragmentation of production in North America with a strong connection of Mexico, in addition to the US, with East Asia, particularly in the electric machinery sector. Our quantitative analysis on the total value of trade as well as extensive and intensive margins verifies the existence of such a strong connection with East Asia for machinery imports by North America, where Mexico enhanced a bridging role between East Asia and the US. These results reflect the reduction in services link costs, the further evolution of production sharing in the US-Mexico nexus, and the strengthening competitiveness for production networks in East Asia.
|Date of creation:||Nov 2013|
|Date of revision:|
|Contact details of provider:|| Postal: The ASEAN Secretariat Mezzanine Floor, 70A Jl.Sisingamangaraja, Jakarta 12110|
Web page: http://www.eria.org/
More information through EDIRC
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.:
- Thierry Mayer & Soledad Zignago, 2011.
"Notes on CEPII’s distances measures: The GeoDist database,"
2011-25, CEPII research center.
- Joao Santos Silva & Silvana Tenreyro, 2005.
"The log of gravity,"
LSE Research Online Documents on Economics
3744, London School of Economics and Political Science, LSE Library.
- David Hummels & Peter J. Klenow, 2005. "The Variety and Quality of a Nation's Exports," American Economic Review, American Economic Association, vol. 95(3), pages 704-723, June.
- Kazunobu Hayakawa & Fukunari Kimura & Kaoru Nabeshima, 2014.
"Nonconventional provisions in regional trade agreements: Do they enhance international trade?,"
Journal of Applied Economics,
Universidad del CEMA, vol. 17, pages 113-138, May.
- Hayakawa, Kazunobu & Kimura, Fukunari & Nabeshima, Kaoru, 2011. "Non-conventional provisions in regional trade agreements : do they enhance international trade?," IDE Discussion Papers 309, Institute of Developing Economies, Japan External Trade Organization(JETRO).
- Baldwin, Richard, 2011. "21st century regionalism: Filling the gap between 21st century trade and 20th century trade rules," WTO Staff Working Papers ERSD-2011-08, World Trade Organization (WTO), Economic Research and Statistics Division.
- Rubinstein, Yona & Helpman, Elhanan & Melitz, Marc, 2008.
"Estimating Trade Flows: Trading Partners and Trading Volumes,"
3228230, Harvard University Department of Economics.
- Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2008. "Estimating Trade Flows: Trading Partners and Trading Volumes," The Quarterly Journal of Economics, Oxford University Press, vol. 123(2), pages 441-487.
- Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2007. "Estimating Trade Flows: Trading Partners and Trading Volumes," NBER Working Papers 12927, National Bureau of Economic Research, Inc.
- Kimura, Fukunari & Ando, Mitsuyo, 2005. "Two-dimensional fragmentation in East Asia: Conceptual framework and empirics," International Review of Economics & Finance, Elsevier, vol. 14(3), pages 317-348.
- Timothy J. Kehoe & Kim J. Ruhl, 2013.
"How Important Is the New Goods Margin in International Trade?,"
Journal of Political Economy,
University of Chicago Press, vol. 121(2), pages 358 - 392.
- Timothy J. Kehoe & Kim J. Ruhl, 2006. "How Important is the New Goods Margin in International Trade?," 2006 Meeting Papers 733, Society for Economic Dynamics.
- Timothy J. Kehoe & Kim J. Ruhl, 2009. "How important is the new goods margin in international trade?," Staff Report 324, Federal Reserve Bank of Minneapolis.
- Ando, Mitsuyo & Kimura, Fukunari, 2013. "Production Linkage of Asia and Europe via Central and Eastern Europe," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 28, pages 204-240.
- Thomas H. Klier & Paul Ma & Daniel P. McMillen, 2004. "Comparing location decisions of domestic and foreign auto supplier plants," Working Paper Series WP-04-27, Federal Reserve Bank of Chicago.
- Daisuke Hiratsuka & Yoko Uchida (ed.), 2010. "Input Trade and Production Networks in East Asia," Books, Edward Elgar Publishing, number 13909.
- Mona Haddad & Ann Harrison & Catherine Hausman, 2010.
"Decomposing the Great Trade Collapse: Products, Prices, and Quantities in the 2008-2009 Crisis,"
NBER Working Papers
16253, National Bureau of Economic Research, Inc.
- Haddad, Mona & Harrison, Ann & Hausman, Catherine, 2011. "Decomposing the great trade collapse : products, prices, and quantities in the 2008-2009 crisis," Policy Research Working Paper Series 5749, The World Bank.
- Aaditya Mattoo & Zhi Wang & Shang-Jin Wei, 2013. "Trade in Value Added : Developing New Measures of Cross-Border Trade," World Bank Publications, The World Bank, number 15809, November.
When requesting a correction, please mention this item's handle: RePEc:era:wpaper:dp-2013-32. 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: (Hiroshi Okasaki)
If references are entirely missing, you can add them using this form.