The Research On The Competitiveness Of China’s Service Trade In The APEC Region Under The Global Value Chain Perspective

As global value chain, a new feature of economic globalization, reflects a new trend in the current international trade and division of labor. The final service and product are not produced by a single country, but by the world through the global value chain. The process to improve the position in the pattern of international trade and division of labor system for Emerging economies such as China is also the process to adapt to the trend of economic globalization, participate in regional organizations actively and integrate into the global value chain constantly.The article decomposes the structure of global value chain and trace value added by different countries. Therefore, the value structure of exports goods can be divided into value created by domestic and foreign activities.This paper is aimed to improve the traditional method of regional competitiveness based on the global value chain, analyzes the regional competitiveness of China’s service industry in APEC from 1995 to 2011 after comparing the result with the old method one. The paper also makes a transnational comparison among APEC countries (regions) after analyzing the location of China’s service industry through a series of indicators such as the trade value correction of regional dominant compared regional competitive advantage, the global value chain participation degree and the service trade restriction index.On the basis of the theory of national competitive advantage, this paper analyzes the factors that affect the competitiveness of service trade. Combined with the empirical results, this paper summarizes the current situation of China’s service trade competitiveness. According to the analysis above, China’s labor intensive service industry has the advantages of regional dominance, but the competitiveness is gradually weakened. The industry of knowledge intensive services has improved, but the financial intermediary industry is the short board of APEC. The barriers measures do have strong impact on liberalization of trade in services on the competitiveness of service industry. Finally, the future development of China’s service trade competitiveness is proposed to enhance the direction.