China's Participation In The Reconstruction Of The GVCs And Trade Frictions

In recent years,China has been the world's most severely affected economy in anti-dumping and countervailing investigations.Recently,the increasingly serious trade friction between China and the United States has taken China's high-end manufacturing industry as its main goal,which to a certain extent hinders the steady development of China's economy and trade.The difference in the list of tariff industries between China and the United States and Canada implies the difference in the global value chains and the different impact on trade friction decision-making.This paper adopts the matching data of the temporary trade barrier database and the WIOD database from 2000 to 2014 to study the impact of China's industrial value chain status and participation on international trade friction.The empirical results of this paper show that: First,the closer GVCs position of an industry in China to the position of a same industry of a trading partner,the more likely it is that China and the trading partner have fierce trade frictions,and that the trading partners have higher frequency of proposing trade complaints in related industries to China.Second,the higher the degree of participation in the relatively global value chain of China's complained industry,the easier the trade friction will be to resolve and the shorter the duration of trade friction.This conclusion also applies to the trade friction between China and the United States.Therefore,with Chinese companies surpassing and surging in the global value chains,the intensification of trade friction between China and the United States has inherent inevitability,and this friction will show a trend of normalization,long-term and complexity.For China,it is necessary to persevere in the multilateral framework of the World Trade Organization to make good use of WTO rules to properly handle trade frictions,and to actively participate in the formulation and improvement of international economic rules by adjusting economic development strategies,systems,and policies.Furthermore,China need to establish and complete response mechanisms,while building a corporation response system for international trade friction and respond to international trade frictions proactively.