The International Division Of Labor In Different Industries In China From The Perspective Of Value-Added

Foreign trade is an important engine of China’s rapid economic growth. International trade competitiveness has been widely discussed in the academic world. On the one hand, it is a powerful tool to improve the competitiveness of international trade. On the other hand, the lack of competitiveness may be a potential factor in the economic crisis. At the end of twentieth Century, the world’s major Multi-National Corporation outsources the production process of low added value to reduce the cost of production factors with the aim of obtaining global competitiveness, in the meantime, design marketing and other high value-added processes are left in the country. This global allocation of resources, the production of products and services has led to a series of global value chains. At the same time, the essence of the international competitiveness has also changed. The status of a country’s export trade is becoming more and more closely linked with the global value chain and it is also important to make a comprehensive and accurate assessment of the competitiveness of a country in the global value chain,In this paper, HIY method and WIOD data are used to estimate the trade volume during sixteen years between 1995 and 2011, and the gap with calculated traditional trade value. In addition, based on the global value chain theory, combined with the WIOD data, it is to do the calculation of global participation, the international position in the global value chain, and global value chain revenue these three indicators to measure the international division of labor in our country. By the calculation of value-added three indicators, the main conclusions of this paper are as follows:Since 1995, the difference between the nominal export volume and export volume in China has been increasing.2011, the nominal value of exports and exports of China increased by 14274.2 Million dollars. Since 2000, it is transferred from general trade surplus to the processing-trade surplus. And traditional statistics cannot accurately reflect the created value in the global value chain of different countries or regions. It caused a great error in trade surplus of china.China’s processing trade is still in the traditional stage of development, the development level is low, the technology content is low and the development is slow, the export products are concentrated in labor. Although our country taking participate in the high tech industry’s core value production in the global value chain, but our country has not completed the transformation from the initial product processing and general spare parts production to the core technology intermediate inputs. Even in the high tech industry processing trade, it concentrated in the production in the labor-intensive part of high-tech products. This shows that in the high-tech industry, the increasing part is coming from other countries’imports and exports of the rest of the world. On the whole, we can see that the participation of all industries in the global value chain has been deepened. But from the international division of labor status, we can see that most of China’s export growth is from processing trade in China, and only a small portion of the growth from high value-added exports, especially in electronic and optical equipment manufacturing, machinery manufacturing and other high-tech industries.There are big different gaps between the various industries in revenue. The textile industry, electronic equipment and chemical products industry are typical. The RCA value of the textile industry has been at a high level. The RCA value of the electronic equipment is growing the fastest; This industry is in a rapid development. The chemical RCA index is lower, and is in a downward trend.The innovation of this paper has two points, one is the combination of the more popular methods in the world. For increasing the value of trade, the use of HIY method, because this paper only on the trade data of China, there are other methods need to use the world input-output table, the method can only be used to China’s national input-output table can draw a clear conclusion. The other is the TIVA database, which is updated to our country’s trade data to 2009.