A Study of the Influence of East Asian Service Trade Barriers on Manufacturing Industry's Participation in Regional Value Chain
DING Wenyu1, LIU Hongzhong2
1. School of International Economics and International Relations, Liaoning University, Shenyang 110036, China; 2. Shanghai Academy of Global Governance & Area Studies, Shanghai International Studies University, Shanghai 201600, China
Abstract In the information age, trade in services is crucial to the development of an economy's manufacturing industry. Based on the relevant data of East Asian economies from 2005 to 2015 in the TiVA database published by WTO-OECD, this paper examines the impact of service trade barriers on the participation of East Asian economic systems in the regional value chain by means of fixed effects and instrumental variables.The results show that the service trade barriers in East Asia hinder the manufacturing industry's participation in the regional value chain, and the impact of trade barriers in different service industries is different.On the one hand, service trade barriers directly affect the opportunity of the manufacturing to obtain service input; on the other hand, service trade barriers reduce the efficiency of division of labor and industrial competitiveness of the service industry and further affect the participation of manufacturing in the regional value chain through the service of of manufacturing inputs.Compared with the impact of service trade barriers on the forward participation of the regional value chain, the service trade barrier has a greater negative impact on the backward participation of the regional manufacturing value chain in East Asia.According to the conclusions, this paper puts forward some suggestions that we should further reduce trade barriers in finance, insurance, logistics and other service industries and strengthen regional cooperation such as RCEP in order to ensure the stability and security of China's manufacturing production and regional value chain.
DING Wenyu,LIU Hongzhong. A Study of the Influence of East Asian Service Trade Barriers on Manufacturing Industry's Participation in Regional Value Chain. Economic Survey, 2022, 39(6): 067.
2022, Vol. 39 
