A Comparative Study Of The Division Of Labor In The Global Value Chain Between China And The United States

The cross-border flows of factors of production in the international trade system,the more detailed international division of labor has penetrated into the production process.The proportion of intermediate products in international trade continues to increase,and the phenomenon of double counting in international trade has intensified.The traditional gross value trade accounting theory has been difficult to explain the distribution pattern of international trade interests.Therefore,the trade accounting method with the perspective of increasing value has become a new method of clearly defining the value distribution in the global value chain.Multinational corporations in developed countries dominate the existing global value chain division of labor and operate in the best way for themselves.Under the international division of labor led by multinational corporations,developing countries are locked at the low end of the value chain.The "China Manufacturing 2025,"and "Thirteenth Five-Year Plan" will accelerate industrial upgrading and create an internationally competitive manufacturing industry as an important part of the strategy.With the gradual deepening of the global value chain division of labor,whoever occupies an advantageous position in the distribution of value chains can be at the forefront of international competition.As the two countries with the world's largest economy and trade strength,China and the United States have always been concerned by scholars in the global value chain.Using the United States as a reference,studying the status of China-US manufacturing global value chain can fully understand the opportunities and risks of China's development under the division of value chain.With the rise of protectionist ideological trends,China will use the manufacturing industry as the main body to accelerate China's process of boosting globalization.This paper uses the KPWW decomposition method based on WIOD data to measure the division of labor in the global value chain of manufacturing between China and the United States from the overall manufacturing industry as well as the subdivided industries.The results of the study show that the share of China's manufacturing industry in international trade increased significantly between 2000 and 2014,and the total value of manufacturing exports as well as the value-added of the manufacturing industry has leapt to the top in the world.The degree of participation in the international division of labor between China and the United States is gradually deepening.Compared with the United States,China has a deeper degree of participation in the GVC.China's manufacturing industry is more engaged in the most terminal production,while the US manufacturing industry is more engaged in the production of intermediate products with higher technical levels.China's manufacturing industry is "large but not strong" and the division of labor in the global value chain of China's manufacturing industry is very different from that of the United States.In order to further study the division of labor in the global value chain of the manufacturing sub-sector,according to the OECD industry classification criteria,the manufacturing industry is divided into four categories:low-tech,low-tech,high-tech,and high-tech industries.China has advantages in low-tech and low-tech manufacturing,and the United States has advantages in high-tech and high-tech fields.During the period from the observation period of 2000-2014,China's advantages in the low-tech and low-tech areas have declined,and the areas of high-tech and high-tech have improved significantly.The structure of China's manufacturing industry has improved,which has enhanced the division of labor in the value chain.In order to study the mechanism of the rise in the status of China's manufacturing division of labor,based on the above research,FDI and intermediate goods trade will be regarded as important factors in the division of labor status of China's global value chain.It is found empirically that technological spillovers in manufacturing FDI with high technical level and knowledge transfer in intermediate goods trade can effectively increase the division of labor status in China's manufacturing global value chain.Manufacturing FDI with lower technological level weakens China's manufacturing in a low-end locking manner.Industry global value chain division of labor status.Based on the above conclusions,in order to improve the division of labor status of China's manufacturing global value chain.This article proposes targeted recommendations from three levels:country,industry,and enter...