Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/177774
Authors: 
Yao, Shunli
Year of Publication: 
2018
Series/Report no.: 
ARTNeT Working Paper Series 177
Abstract: 
China is a success story of inclusive trade growth as a result of its participation in Global Value Chains (GVCs). It is in transition from a processing and assembly hub towards an innovation centre, and is becoming a regional supplier of research and development (R&D) intensive parts and components. The infrastructure projects under the Belt and Road Initiative (BRI), a quasi-regional trade arrangement, are helping to improve regional connectivity and production linkage, but Chinese manufacturing also bring shocks to local production and employment. To achieve the full potential for job creation through production linkage with China as well as to buffer the shocks, BRI countries may consider a special customs regime to help build labour-intensive assembly and processing manufacturing. China's processing trade regime is an innovation in this regard and could be part of the strategy of inclusive trade growth for other developing countries. Inclusive trade is becoming a policy imperative, not only because governments in BRI countries need popular support for their foreign trade and investment policies, but also because it is in China's interest to establish mutually beneficial GVCs in order to help lay the political economy foundation for BRI and other initiatives.
Subjects: 
Global Value Chains
South-South cooperation
China
JEL: 
F15
O19
F50
Document Type: 
Working Paper
Social Media Mentions:

Files in This Item:
File
Size
844.44 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.