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The mechanics of production networks in Southeast Asia: the fragmentation theory approach

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  • Kimura, Fukunari
  • 木村, 福成
  • キムラ, フクナリ

Abstract

Southeast Asia is truly a unique area in that it deeply gets involved with sophisticated international production networks extended to the whole East Asia. This chapter provides an overview on the current status of economic analysis on this issue, placing its emphasis on the newly developed fragmentation theory approach. The two-dimensional fragmentation model is introduced and employed for disentangling the mechanics of production networks as well as the spatial structure of networking in East Asia. Profound policy implication for further activating production networks and economic development in Southeast Asia and other less developed countries is also discussed.

Suggested Citation

  • Kimura, Fukunari & 木村, 福成 & キムラ, フクナリ, 2007. "The mechanics of production networks in Southeast Asia: the fragmentation theory approach," CEI Working Paper Series 2007-8, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
    • Handle: RePEc:hit:hitcei:2007-8
    Note: March 2007 (revised); May 2007 (re-revised), IDE Kuroiwa Project "Economic integration in Southeast Asia: location of industries, production network (or value chain) and development strategy", References: p. 32-34
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    File URL: https://hit-u.repo.nii.ac.jp/record/2050926/files/wp2007-8a.pdf
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    References listed on IDEAS

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    1. Kimura, Fukunari & Takahashi, Yuya & Hayakawa, Kazunobu, 2007. "Fragmentation and parts and components trade: Comparison between East Asia and Europe," The North American Journal of Economics and Finance, Elsevier, vol. 18(1), pages 23-40, February.
    2. Fukunari KIMURA, 2006. "International Production and Distribution Networks in East Asia: Eighteen Facts, Mechanics, and Policy Implications," Asian Economic Policy Review, Japan Center for Economic Research, vol. 1(2), pages 326-344, December.
    3. Kei-Mu Yi, 2003. "Can Vertical Specialization Explain the Growth of World Trade?," Journal of Political Economy, University of Chicago Press, vol. 111(1), pages 52-102, February.
    4. Ando, Mitsuyo, 2006. "Fragmentation and vertical intra-industry trade in East Asia," The North American Journal of Economics and Finance, Elsevier, vol. 17(3), pages 257-281, December.
    5. 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.
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    Cited by:

    1. Anja Slany, 2019. "The Role of Trade Policies in Building Regional Value Chains – Some Preliminary Evidence From Africa," South African Journal of Economics, Economic Society of South Africa, vol. 87(3), pages 326-353, September.
    2. Rahul Sen & Sadhana Srivastava, 2012. "Asia' s international production networks: Will India be the next assembly centre?," Working Papers 11812, Asia-Pacific Research and Training Network on Trade (ARTNeT), an initiative of UNESCAP and IDRC, Canada..
    3. Yin-Wong Cheung & Matthew S. Yiu & Kenneth K. Chow, 2009. "A Factor Analysis of Trade Integration: the Case of Asian and Oceanic Economies," Economie Internationale, CEPII research center, issue 119, pages 5-23.

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