Global value chains (GVCs) are broadly described as the process of breaking up vertically integrated production processes into finer stages and relocating each stage to the most suitable locality across borders. Naturally, GVCs encompass cross-border exchanges of parts and components, forming extended trade networks. Over the past several decades, this unbundling of production has defined trade patterns in East Asia.

The strength of GVCs includes adaption to volatile markets, as suppliers can quickly respond to changing market conditions by allowing the replacement of suppliers on short notice. The study by Todo et al. (2015) provides evidence that more extensive pre-existing production networks in terms of the number of suppliers outside the affected regions are associated with a quicker resumption of production and faster recovery of supplier links. GVCs can also be more susceptible to amplifying a shock to the system (Hayakawa et al., 2023) and the existence of relationship stickiness between upstream and downstream firms in GVCs remains resilient against short-term external shocks (Antràs, 2020). There is a strong need to further examine how shocks to GVCs are transmitted among the countries involved in East Asia and whether any policy instruments can be designed to reduce the associated risks.

With the aim of studying the resiliency of GVCs to exogenous shocks, including natural disasters, trade policies, and geopolitical conflicts, The Economic Research Institute for ASEAN and East Asia (ERIA) and Swinburne University of Technology (Swinburne) plan to organise a joint workshop on “A study of the resiliency of Global Value Chains (GVCs) in East Asia” in Melbourne, January 20-21, 2024.

Topics of Interest

We invite papers discussing the following topics of interest:

1. Identify the potential risks in GVCs in East Asia and the policy responses
2. Whether/how ASEAN and East Asian countries can find regional solutions based on common interests to minimise the risks inherited in GVCs
3. Any role played in digital transformation to facilitate the operations of GVCs in the region
4. The possibility and feasibility of regional collaboration on GVCs rule settings

For the selected papers, ERIA and Swinburne will provide air tickets (one Economy class per paper) from the home country to the location of the Workshop as well as three-night accommodations.

Timeline

• The submission of extensive abstract (4-5 pages) will be due on September 15, 2023
• The submission of full paper (draft) will be due on December 15, 2023
• The registration deadline for the workshop is January 1, 2024
• The submission, notification and related communication will be via the email address [email protected]

Extensive abstract should contain the following information:

• Research question
• Objective
• Brief literature review
• Description of study methodology
• Policy relevance
• References (optional)           

References

• Antras, Pol, 2020, Conceptual Aspects of Global Value Chains, World Bank Economic Review, 34(3), pp.551-74.
• Todo, Yasuyuki, Kentaro Nakajima, and Petr Matous, 2015, How Do Supply Chain Networks Affect the Resilience of Firms to Natural Disasters? Evidence from the Great East Japan Earthquake, Journal of Regional Science, 55(2): 209-229.
• Hayakawa, K., Pyun, J. H., Yamashita, N., & Yang, C.-h. 2023, Ripple effects in regional value chains: Evidence from an episode of the US–China trade war. The World Economy, 00, 1– 18. https://doi.org/10.1111/twec.13444