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Abstract
In the light of opposing views in the literature on the nature and dynamics of trade within the East Asian region, this study seeks to clarify the extent to which East Asian business activity is regionally oriented through an analysis of trade flows over the 1994–2007 period. It concludes that trade in the region is not yet strongly home region oriented, although imports are increasingly regionally sourced. Supply chains seem to be more regionally integrated than final product markets. There are striking differences depending on technology, especially among trade in high-, medium- and low-tech goods.
Notes
1. BACI is available to Comtrade users at: http://www.cepii.fr/anglaisgraph/bdd/baci.htm.
2. Lall also includes classifications of primary products and resource-based goods, but as we are primarily interested in industrial products, we do not explore the trends in these two sub-sectors.