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Are Production Networks Passé in East Asia? Not Yet

Author

Listed:
  • Ayako Obashi

    (School of International Politics, Economics and Communication Aoyama Gakuin University 4-4-25 Shibuya, Shibuya-ku Tokyo 150-8366, Japan Author email: obashi@sipeb.aoyama.ac.jp)

  • Fukunari Kimura

    (Economic Research Institute for ASEAN and East Asia (ERIA) and Faculty of Economics Keio University, 2-15-45 Mita, Minato-ku Tokyo 108-8345, Japan Author email: fkimura@econ.keio.ac.jp)

Abstract
Many people have a vague notion that the room for expanding international production networks is almost exhausted and that therefore international trade has slowed down since the recovery from the great trade collapse. This paper presents evidence against such a belief in the East Asian context by classifying finely disaggregated trade data based on the stages of the production process. The trade slowdown was attributed mainly to sluggishness of trade in primary goods and processed raw materials. In contrast, East Asian trade in manufactured parts and components and the assembled end-products within production networks continued to expand steadily.

Suggested Citation

  • Ayako Obashi & Fukunari Kimura, 2018. "Are Production Networks Passé in East Asia? Not Yet," Asian Economic Papers, MIT Press, vol. 17(3), pages 86-107, Fall.
    • Handle: RePEc:tpr:asiaec:v:17:y:2018:i:3:p:86-107
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    File URL: http://www.mitpressjournals.org/doi/pdf/10.1162/asep_a_00636
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    References listed on IDEAS

    as
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    Cited by:

    1. Ayako Obashi & Fukunari Kimura, 2021. "New Developments in International Production Networks: Impact of Digital Technologies," Asian Economic Journal, East Asian Economic Association, vol. 35(2), pages 115-141, June.

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