Facilitating international production networks: The role of trade logistics

Daniel Saslavsky and Ben Shepherd

The Journal of International Trade & Economic Development, 2014, vol. 23, issue 7, 979-999

Abstract: Networked trade in parts and components is more sensitive to the importer's logistics performance than is final goods trade. The difference between the two trade semi-elasticities is over 45%, which is quantitatively important. We also find that logistics performance is particularly important for trade among developing countries in the Asia-Pacific region, which is where the emergence of production networks has been most pronounced. Logistics performance is also more important for South-South trade than for South-North trade. Our results suggest that developing country policymakers can support the development of international production networks by improving trade logistics performance.

Date: 2014
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Working Paper: Facilitating international production networks: the role of trade logistics (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:taf:jitecd:v:23:y:2014:i:7:p:979-999

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DOI: 10.1080/09638199.2013.811534

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