Abstract
Taking into account that new trends are emerging in the field of international economic integration in pandemic world the authors aimed to study the role of the country's participation in global value chains (GVCs) in the development of the Eurasian Economic Union (EEU or EAEU) national pharmaceutical industry. The article reveals the contradictory essence of modern concepts of interaction between the countries of integration associations and GVCs including its specificity for the EEU. An analysis of the pharmaceutical industry in EEU before and in the pandemic is carried out, and the features of such interaction are revealed in more detail in Kazakhstan case. The results showed the presence of low volumes of pharmaceutical products in EEU intraregional trade and minimum presence in GVCs. The hypothesis was partially confirmed that the countries localized the GVC “production” stage on their territory received gain as the increase in domestic production in pandemic period, despite the fact that this stage corresponds to low added value. The novelty is in the development of a reproductive approach to the study of integration groups. Recommendations are given to increase the share of economic entities of the EEU countries in the process of forming regional value chains.
Highlights
In the last decade, the structure of the world economy has been determined by the activity of added value chains (VC)
Taking into account that new trends are emerging in the field of international economic integration in pandemic world the authors aimed to study the role of the country's participation in global value chains (GVCs) in the development of the Eurasian Economic Union (EEU or EAEU) national pharmaceutical industry
The results showed the presence of low volumes of pharmaceutical products in EEU intraregional trade and minimum presence in GVCs
Summary
The structure of the world economy has been determined by the activity of added value chains (VC). − One group of scientists, primarily Western, promotes a monopolar configuration of the world economy: supranational interests dominate in it, links of the chain are recommended for localization, along which the country has competitive advantages; for developing countries, this can lead to de-industrialization, and for developed countries, the placement of links with a high level of added value on their territory (R&D, brand management);. We want to note one more contradiction : - On the one hand, stages with high added value are subject to localization in order to increase the national part of the world added value (for the pharmaceutical chain, this is R&D link, which is located mainly in the developed countries); - On the other hand, the developed countries (including USA and China), localize on their territory the "production" stage with low added value in order to avoid the risks of international trade and solving economic problems. All of the above reveals the essence of the reproductive approach to the study of integration associations, while the literature focuses on the institutional component
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