Productive Services Trade Liberalization And The Upgrade Of Manufacturing Global Value Chains

In the process of economic globalization,China seized the opportunity to continue to deepen reforms,relying on the resource endowment advantages such as the "demographic dividend",and deeply integrated into global production and embedded in the global value chain.While realizing the rapid expansion of production and export scale,China is also facing the problem of "low-end locking".Under the background of the rising trade frictions and trade protectionism,the developed countries’ blockade of core technologies has been strengthened,and the "learning by doing" has been gradually ineffective.At the same time,the production costs have been rising and the competition from other emerging economies has become increasingly fierce.China needs to break through the pattern of "low-end locking".Historical research results show that producer service industry has gradually become a new engine of economic development,playing an important role in the production link of manufacturing industry as "binder" and "lubricant",but it is affected by the relatively backward domestic producer service industry.Therefore,it is of great practical significance to study the impact of producer services trade liberalization on the status of manufacturing value chain.This paper used the World Bank’s Service Trade Restriction Database and OECD input-output database to estimate China’s producerservices trade liberalization index and manufacturing industry’s GVC location index from 2005 to 2015,and studies the impact of production service trade liberalization on the global value chain of manufacturing industry from the perspective of the global value chain length and location.The study results indicate: Although the liberalization of trade in productive services shows a restraining effect on the manufacturing industry global value chain position,the restraining effect is mainly on the processing trade manufacturing industry,and it has a significant positive impact on the status of the non-processing trade manufacturing industry global value chain position.After distinguishing the technical level,it was found that the liberalization of productive service trade showed a restraining effect on low-and medium-tech manufacturing industry,and had no significant impact on high-tech manufacturing industry.From the different productive service sectors,the liberalization of distribution and transport services has a significant role in promoting the manufacturing global value chain position,while telecommunication services have a restraining effect,and financial services have no significant effect.Further studies show that the liberalization of producer services can restrain the promotion of global value chain status through squeezing effect and technology dependence effect.