Production Sharing in Latin America and East Asia

BBVA Working Paper No. 0901

37 Pages Posted: 20 Aug 2009

See all articles by Alicia García-Herrero

Alicia García-Herrero

Bruegel; Hong Kong University of Science & Technology (HKUST) - HKUST Institute for Emerging Market Studies (IEMS); Natixis

Alan Siu

The University of Hong Kong - School of Economics and Finance

K. C. Fung

University of California at Santa Cruz

Date Written: January 31, 2009

Abstract

In this paper we empirically examine the extent and properties of production sharing in Latin and North America as well as that in East Asia. In 2006, exports of parts and components from Latin and North America constituted 29.7% of the region’s exports of manufactured goods to the world. Both exports and imports of parts and components were declining shares of trade in manufactured goods or trade in all goods. A large amount of trade in parts and components in the region was with members of NAFTA, particularly the United States. Imports from East Asia and from China were increasingly important. There was a relatively thick production network of parts of motor vehicles in Latin and North America, followed by networks of parts of telecommunication equipment and electronic components. But the network was primarily within the United States, Mexico and Canada, with Brazil also playing a role. For East Asia, the motor vehicle parts network was not as significant, but the electronic components network was much wider and deeper.

Suggested Citation

Garcia-Herrero, Alicia and Siu, Alan K. F. and Fung, K.C., Production Sharing in Latin America and East Asia (January 31, 2009). BBVA Working Paper No. 0901, Available at SSRN: https://ssrn.com/abstract=1457476 or http://dx.doi.org/10.2139/ssrn.1457476

Alicia Garcia-Herrero (Contact Author)

Bruegel ( email )

Rue de la Charité 33
B-1210 Brussels Belgium, 1210
Belgium

Hong Kong University of Science & Technology (HKUST) - HKUST Institute for Emerging Market Studies (IEMS) ( email )

IAS 2019, Lo Ka Chung Building,
Lee Shau Kee Campus, HKUST
Clear Water Bay, Kowloon
Hong Kong

Natixis ( email )

France

Alan K. F. Siu

The University of Hong Kong - School of Economics and Finance ( email )

8th Floor Kennedy Town Centre
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Kennedy Town
Hong Kong
+852 2859 2192 (Phone)
+852 2548 1152 (Fax)

HOME PAGE: http://www.econ.hku.hk/~asiu

K.C. Fung

University of California at Santa Cruz ( email )

Santa Cruz, CA 95064
United States
831-459-3273 (Phone)
831-459-5900 (Fax)

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