Chinese Services Gaining Significance in Global Production Chains

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Title: Chinese Services Gaining Significance in Global Production Chains
Author: Simola, Heli
Series: Asian Economic Papers
Series volume: 17
Series number: 2 ; Summer 2018
Year of publication: 2018
Publication date: 21.6.2018
Page range: 50-64
Publisher: MIT Press
Subject (yso): tuotantoketjut; tuotanto; tavarat; palvelut (toiminta)
Keywords: Kiina; palvelut
Other keywords: China; production chains; production; input-output
Abstract: China has been a key participant in international fragmentation of production during the last decades. China has specialized mainly in labor-intensive manufacturing, but is striving to shift toward higher value-added production stages and production. At the same time, during recent decades, services have contributed increasing shares of valued-added to products produced through global production chains. For this reason we examine the evolving role of Chinese services in international production chains. Our results suggest that Chinese services account for an increasingly large share of production for the domestic market, and more recently have made increasing contributions to foreign production chains, which suggests that Chinese production is shifting to activities in production chains that are associated with higher value-added.

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