Export Spells and the Position of Global Value Chain: Evidence from China’s Industrial Firms

The international division of labor has entered the era of the global value chain (GVC) due to the continuous influence of the scientific and technological revolution. At the same time, sustainable development has taken center stage in the evolution of international trade, and the export spell is an important indicator to measure the sustainable development of export trade. Based on the China customs data, the Chinese industrial enterprises database and the Chinese input-output table from 2000 to 2012, this paper uses the survival analysis method to estimate the enterprises’ export spells and calculate their positions in the GVC through upstreamness. It then investigates the impact of export spells on the position changes of the GVC enterprises. According to the paper, export enterprises near the bottom of the GVC are more vulnerable to extinction. And the duration of enterprises’ export spells has a U-shaped relationship with their positions in the GVC, which means that enterprises will continue to move downstream of the GVC as duration increases, but positions will shift upstream if duration reaches the inflection point. The mechanism test shows that the quality of export products is an important channel through which the duration of enterprises’ export spells influences their GVC positions.

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Publication Details

Journal
SAGE Open
Published
2024-10-01
DOI
https://doi.org/10.1177/21582440241271942
Primary Topic
Global trade and economics
Type
article
Field-Weighted Citation Impact
0.00

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article

Export Spells and the Position of Global Value Chain: Evidence from China’s Industrial Firms

Xue Ge, Xiangyi Li
SAGE Open
Global trade and economics
article

Export Spells and the Position of Global Value Chain: Evidence from China’s Industrial Firms

Xue Ge, Xiangyi Li
article en

Abstract

The international division of labor has entered the era of the global value chain (GVC) due to the continuous influence of the scientific and technological revolution. At the same time, sustainable development has taken center stage in the evolution of international trade, and the export spell is an important indicator to measure the sustainable development of export trade. Based on the China customs data, the Chinese industrial enterprises database and the Chinese input-output table from 2000 to 2012, this paper uses the survival analysis method to estimate the enterprises’ export spells and calculate their positions in the GVC through upstreamness. It then investigates the impact of export spells on the position changes of the GVC enterprises. According to the paper, export enterprises near the bottom of the GVC are more vulnerable to extinction. And the duration of enterprises’ export spells has a U-shaped relationship with their positions in the GVC, which means that enterprises will continue to move downstream of the GVC as duration increases, but positions will shift upstream if duration reaches the inflection point. The mechanism test shows that the quality of export products is an important channel through which the duration of enterprises’ export spells influences their GVC positions.

SAGE OpenVol. 14(4)
Zhongnan University of Economics and Law (CN), Hubei University of Technology (CN), Nanjing University (CN)
National Social Science Fund of China
Openalex Percentile: Top 65%
Global trade and economics
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