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The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective
This paper, based on the notion of Trade in Value Added (TiVA), combines the global trade analysis project (GTAP) model with the value-added model in seeking to simulate and assess the impact of the COVID-19 pandemic on China's manufacturing sector in global value chain (GVC) reconfiguration. T...
Autores principales: | , , , |
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Formato: | Online Artículo Texto |
Lenguaje: | English |
Publicado: |
Frontiers Media S.A.
2021
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Materias: | |
Acceso en línea: | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8160105/ https://www.ncbi.nlm.nih.gov/pubmed/34055731 http://dx.doi.org/10.3389/fpubh.2021.683821 |
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author | Song, Yuegang Hao, Xiazhen Hu, Yilin Lu, Zhou |
author_facet | Song, Yuegang Hao, Xiazhen Hu, Yilin Lu, Zhou |
author_sort | Song, Yuegang |
collection | PubMed |
description | This paper, based on the notion of Trade in Value Added (TiVA), combines the global trade analysis project (GTAP) model with the value-added model in seeking to simulate and assess the impact of the COVID-19 pandemic on China's manufacturing sector in global value chain (GVC) reconfiguration. The empirical study provides three major results. First, at the macroeconomic level, the pandemic wreaks a negative impact on all the economies, including the U.S., in regard to import & export trade, GDP and social welfare policy. Second, nation-level simulation shows that there's a remarkable disparity across different pandemic scenarios in the level of division of labor and of GVC participation for China and its trade partners. Third, sector-level analysis shows that the impacts of the pandemic include promoting the level of GVC participation and of labor division in China's manufacturing sector (electromechanical equipment and computer goods). This paper also provides policy advice for Chinese government: participation in higher-end GVCs, introduction of further structural reforms and retention of foreign investors, and active responses to GVC reconfiguration and cross-border capital flow. |
format | Online Article Text |
id | pubmed-8160105 |
institution | National Center for Biotechnology Information |
language | English |
publishDate | 2021 |
publisher | Frontiers Media S.A. |
record_format | MEDLINE/PubMed |
spelling | pubmed-81601052021-05-29 The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective Song, Yuegang Hao, Xiazhen Hu, Yilin Lu, Zhou Front Public Health Public Health This paper, based on the notion of Trade in Value Added (TiVA), combines the global trade analysis project (GTAP) model with the value-added model in seeking to simulate and assess the impact of the COVID-19 pandemic on China's manufacturing sector in global value chain (GVC) reconfiguration. The empirical study provides three major results. First, at the macroeconomic level, the pandemic wreaks a negative impact on all the economies, including the U.S., in regard to import & export trade, GDP and social welfare policy. Second, nation-level simulation shows that there's a remarkable disparity across different pandemic scenarios in the level of division of labor and of GVC participation for China and its trade partners. Third, sector-level analysis shows that the impacts of the pandemic include promoting the level of GVC participation and of labor division in China's manufacturing sector (electromechanical equipment and computer goods). This paper also provides policy advice for Chinese government: participation in higher-end GVCs, introduction of further structural reforms and retention of foreign investors, and active responses to GVC reconfiguration and cross-border capital flow. Frontiers Media S.A. 2021-05-14 /pmc/articles/PMC8160105/ /pubmed/34055731 http://dx.doi.org/10.3389/fpubh.2021.683821 Text en Copyright © 2021 Song, Hao, Hu and Lu. https://creativecommons.org/licenses/by/4.0/This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) and the copyright owner(s) are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms. |
spellingShingle | Public Health Song, Yuegang Hao, Xiazhen Hu, Yilin Lu, Zhou The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title | The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title_full | The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title_fullStr | The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title_full_unstemmed | The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title_short | The Impact of the COVID-19 Pandemic on China's Manufacturing Sector: A Global Value Chain Perspective |
title_sort | impact of the covid-19 pandemic on china's manufacturing sector: a global value chain perspective |
topic | Public Health |
url | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC8160105/ https://www.ncbi.nlm.nih.gov/pubmed/34055731 http://dx.doi.org/10.3389/fpubh.2021.683821 |
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