Abstract
In this article, we make use of a unique world electronics production dataset to assess China's upgrading trajectory in the global electronics industry. Contrary to existing trade studies, we find no evidence that China's electronics production activities are more sophisticated than one would expect from its level of development. We also find little evidence that China is rapidly upgrading into more sophisticated production activities.
Acknowledgements
This article benefited from comments received at the 18th CEA (UK) annual conference in Nottingham and the 41st annual Canadian Economic Association meetings in Halifax. We would like to thank Nicolas Barbe for excellent research assistance and David Boileau for helpful discussions. Van Assche thanks the fonds québécois de la recherche sur la société et la culture (FQRSC) for financial support.
Notes
1Lall et al. (Citation2006) have developed a similar approach, but did not focus on China.
2 Production data could be subject to the same difficulty in identifying value added as opposed to the value of gross sales, which could in some cases, ‘amount to little more than assembly of imported piece-parts and sub-assemblies.’ The problem is likely smaller than for export values, however, since goods are counted in production only when ‘value is added in the assembly process and the finished article can be classified under a different SIC from those of its components.’ (Reed Electronics Research, Citation2007.)