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Path for China's high-tech industry to participate in the reconstruction of global value chains

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  • Song, Yiru
  • Yu, Chunjiao
  • Hao, Lulu
  • Chen, Xi

Abstract

With the deepening of the international division of labor, the change of the national interest distribution pattern, and the spread of de-globalization in some developed countries, the Global Value Chains (GVCs) are undergoing a new round of large-scale restructuring, and the situation of GVCs being dominated by developed countries is changing. Industries of different countries have different paths of participation in the reconstruction of GVCs, including active embedding in GVCs, constructing National Value Chains, and leading to the creation of Regional Value Chains (RVCs). Different high-tech industries in China choose different ways to participate in reconstruction of GVCs due to their different levels of competitiveness. Based on the Value-Added Revealed Comparative Advantage index, this study constructs the basis and criteria for choosing the path of reconstruction of GVCs and designs the appropriate path for Chinese high-tech industry. Pharmaceutical manufacturing and transportation equipment manufacturing industry tend to constructing National Value Chains against the background of globalization, and the chemical products manufacturing, electrical and electronic equipment manufacturing, and optical equipment manufacturing industries tend toward “indigenous innovation” while dominating the RVC reconstruction path, integratinging global and domestic Value Chains, to achieve the domestic and international double cycle goals.

Suggested Citation

  • Song, Yiru & Yu, Chunjiao & Hao, Lulu & Chen, Xi, 2021. "Path for China's high-tech industry to participate in the reconstruction of global value chains," Technology in Society, Elsevier, vol. 65(C).
    • Handle: RePEc:eee:teinso:v:65:y:2021:i:c:s0160791x20312896
    DOI: 10.1016/j.techsoc.2020.101486
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    7. Mostafiz, Md Imtiaz & Musteen, Martina & Saiyed, Abrarali & Ahsan, Mujtaba, 2022. "COVID-19 and the global value chain: Immediate dynamics and long-term restructuring in the garment industry," Journal of Business Research, Elsevier, vol. 139(C), pages 1588-1603.
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