AUTHOR=Fu Qingwei 

TITLE=The impact of global value chain embedding on the upgrading of China’s manufacturing industry

JOURNAL=Frontiers in Energy Research

VOLUME=Volume 11 - 2023

YEAR=2023

URL=https://www.frontiersin.org/journals/energy-research/articles/10.3389/fenrg.2023.1256317

DOI=10.3389/fenrg.2023.1256317

ISSN=2296-598X

ABSTRACT=In the current international trade characterized by global value chains, how to improve the trade interests of China's manufacturing industry and change the unfavorable situation of "big but not strong", industrial upgrading is an important issue to be solved urgently. Based on the analysis of the impact of embedding in global value chains on the acquisition of trade benefits, the paper empirically tests the impact of embedding global value chain on manufacturing upgrading by using industry segmentation data of China's manufacturing industry from the year 2000 to 2014 in the world input-output database. The research shows that: (1) From 2000 to 2014, forward and backward participation increased from 11.2% and 15.2% to 14.4.6% and 15.9%, respectively, China's manufacturing industry mainly participates in the global value chain in a backward way, which significantly improves trade interests; (2) Both forward participation and backward participation in global value chain are conducive to increase of trade benefits, and are positive at the 5% level, which has a significant driving effect on upgrading of manufacturing industry; (3) Heterogeneity testing shows that capital-intensive 、 technology-intensive and high-tech industries gain significant trade benefits, and embedding GVCs is more conducive to upgrading.