Social Sciences in China, 2017, Issue 1

Authors: Wang Xiaosong, Lyu Yue and Zhao Chunming

Abstract: We have carried out complete decomposition of China's total trade flows, distinguishing among total merchandise exports, final product exports and intermediate product exports and quantitatively identifying the effect of trading partners' antidumping action on China's participation in the global value chain. Our findings show that during the period under study, antidumping caused a 4.5%—28.7% decrease in the domestic value-added rate of the total exports of the relevant industries; a 3.4%-17% decrease in the domestic value-added rate of the final product exports of the relevant industries; and a 1.2%-8.5% decrease in the domestic value-added rate of the intermediate product exports of the relevant industries. Further, antidumping measures also caused an 8.2%-28.6% decrease in the status index of the relevant industries' participation in the global value chain, and a 3.2%-13.7% increase in the upstream index of related industries. Foreign antidumping measures have had a significant negative effect on Chinese industries' participation in the global value chain and their ability to move up the value chain.

Keywords: global value chain, anti-dumping, foreign value-added rate, technological upgrading