Is There A "Smile Curve" In The Manufacturing Industry?

China's manufacturing industry is under pressure to transform and upgrade.Enterprises are faced with problems of where to develop and how to develop.If you want to solve these problems,you first need to understand the value chain structure of the industry in which the company is located,and know that there are more opportunities in that part of the industry.To this end,this paper deeply discusses the value chain curve formed by the relationship between the relative position of the upstream and downstream of the various industries in the value chain and the value-added rate.When studying the value chain of an industry,the model of a single country can only describe the use of imports and the production of exports in a country.It is difficult to determine which countries produce intermediate products in the production of final consumer goods.The production of this product,as well as the intermediate products produced in the industry in the country,ultimately go where.Therefore,if we want to study the value chain curve of an industry in depth,we must be more reasonable in the perspective of global value-added trade statistics.Based on the international input-output table,this paper calculates and combines the production length based on forward linkage and the production length based on backward linkage from the perspective of value-added trade statistics,and the relative position of upstream and downstream of each industry in the industrial chain.The stability was tested and the value chain curve corresponding to each segment of the manufacturing industry was plotted.This paper classifies the shape of the value curve by combining the definition of the distance between any two value chain curves and the results of cluster analysis in the industry.The shape of the value chain curve is divided into five categories: linear decreasing type,U type,inverted U type,inverted J type and L type.In the process,the following conclusions are obtained:(1)There is indeed a “Smile Curve” in China's manufacturing industry,but there is also a “Upside-down Smiling Curve” opposite to the “Smile Curve”.The industry with “smile curve” mainly involves a large number of parts processing and assembly,and labor-intensive industries with obvious characteristics;while the industry with “Upside-down Smiling Curve” is mainly in several resource-based and low-tech manufacturing industries.(2)Through comparative analysis,we can find that the division of labor in various industrial chains in China has become more detailed.There are more stages of division of labor in the production process,and the length of each industrial chain has increased significantly.The value added per unit of production has been diluted,and the value-added rate at both ends of the industrial chain is higher,resulting in an increase in the production and supply of high value-added products at both ends of the industrial chain,increased competition among enterprises,and a decrease in the value-added rate.This has caused the overall value chain curve of China to move downwards;the industries participating in the industrial chain are less,and the added value brought by the production of industrial chain products is concentrated in fewer industries;compared with the United States,China The value chain curve is generally located below the US value chain curve,and the profit per unit of output is less.The development of China's manufacturing industry has been locked into the "comparative advantage trap" dilemma.(3)There are convergence phenomena in the value chain curves of various industries,but most of the 43 countries only converge to a equilibrium point,and there is no convergence to multiple equilibrium points,but before and after 2009,they converge to a equilibrium point.The trend has changed significantly.