A Study Of Benefit Distribution In The Manufactures GVC And The Competitiveness Of China

Since the 1990 s, with the development of the global information technology and logistics industry, international vertical specialization has become the most significant features of economic globalization, production chain and value chain is to maximize the split between the nations and integratio n, and products in the traditional sense of "national manufacturing" has been transformed into a "world manufacturing". The Global Value C hain division mode has changed the nature of international competition. Evaluation of a country’s competitiveness in t he past usually based import and export volume of international competitiveness index, which exaggerates the competitiveness of those dependent on imported intermediate goods economy, while not fully and effectively explain a country’s international compet itiveness status,Global Value Chain Analysis(referred to GVC analysis) as an accurate measure of the international competitiveness of countries provides a new way. Compared to traditional methods of trade statistics, GVC analysis not only pay attention to increase the value of part of the production and trade, but also increase the value of a single vertical decomposition products in the global production chain in different economies and different sectors along the chain generated, therefore, can be more accurate effectively reflect the status of each country’s international competitiveness.In this paper, we calculate the distribution of value added of manufactures in main countries and different sectors. We also calculate the revealed comparative advantage index based on GVC income. The objective is to judge the competitiveness and position of C hina in the manufactures GVCs. In addition, we analyze the impact of human resource endowments, technology innovation, service development, foreign direct investment and trade openness on the competitiveness of China through econometric model. The results show:(1) Income obtained by C hina in manufactures GVCs ranks first in the world, but China is still in the low-end of manufactures GVCs.(2) China has comparative advantage in the GVCs of textiles, leather and footwear, electronic, electrical and optical equipment and mechanical equipment. The position has greatly improved in GVCs of transportation equipment, but C hina do not have comparative advantage in the GVCs of wood, paper products, printing and publishing and chemicals and nonmetal mineral products.(3) Human resource endowments, trade openness and foreign direct investment are driving forces to the competitiveness in manufactures GVC.