Asian International Input Output Table Research Articles

동북아 역내 제조업의 글로벌 공급망 변화와 특징 분석

Purpose: This paper analyzes how the manufacturing supply chain has changed over the past 20 years according to the trilateral division of labor between Korea, China and Japan. Also, by measuring changes in the trade structure and competitiveness between Korea, China and Japan during the same period, the effect on the changes in the supply chain between the three countries is examined.
 Research design, data, and methodology: This study analyzes the trade structure, export competitiveness, and supply and distribution structure of 10 manufacturing industries in Korea, China and Japan. The analysis period was set from 2000 to 2020. The statistics use the UN Comtrade and the Asian International Input-Output Table. In the analysis of the trade structure between Korea, China and Japan. The Revealed Symmetric Comparative Advantage (RSCA) index was introduced to analyze the trade structure between Korea, China and Japan. And for the supply chain structure between the three countries, the Leontief inverse multiplier decomposition of the International Input-Output Analysis was used.
 Results: As a result of the analysis, it was observed that the supply chain of the manufacturing industry between Korea, China and Japan has changed to an interdependent structure since 2010, and the reason for this is that the production technology gap between the three countries has been greatly reduced. Accordingly, the supply chain of the manufacturing industry between the three countries has shifted from the past one-way dependence structure to a two-way dependence structure. In terms of industry, the deepening dependence among the three countries centered on electrical/electromechanical machinery, metal products, general machinery, chemical products, transportation machinery, precision machinery and textile products, which are key export industries for both Korea, China and Japan, means that the supply and distribution structure is being strengthened.
 Implications: Considering the relationship between the supply chain between Korea, China and Japan from 2000 to 2020, institutional integration, such as the trilateral FTA, is delayed, but functional integration is deepening due to interdependence and complementarity and increased production and trade. However, if trade frictions or disputes between Korea, China and Japan occur between specific countries, it is interpreted that this can lead to negative effects, so-called big losses, not only for the country concerned but also for the other country.

INTERDEPENDENCE OF MANUFACTURING INDUSTRY BETWEEN KOREA AND ASEAN-5 COUNTRIES: ASIAN INTERNATIONAL INPUT-OUTPUT ANALYSIS

The purpose of this study is to analyze the interdependence of the manufacturing industry between South South Korea and ASEAN-5 countries. To conduct an international analysis for the manufacturing industries, an interregional input-output (IRIO) model is applied. The Asian International Input-Output Table (AIIO) provided by IDE-JETRO (2017) is employed and the spillover effects of manufacturing industry are compared in terms of inducement production, value added and backward/forward linkages. The results indicate that the production inducement outcome between Malaysia and South Korea and the effect of forward and backward linkage industry are high, and the dependence on industry is high. On the other hand, in terms of decomposition of value added exports to ASEAN from South South Korea in the manufacturing sector; Vietnam, Singapore, and Indonesia are the states where South South Korea's domestic value-added exports are high. The result shows that South South Korea is necessary to diversify economic cooperation between East Asian and ASEAN member states.

PERAN INDONESIA DALAM RANTAI NILAI GLOBAL PRODUK ELEKTRONIK

Globalization has transformed the structure of industry into global integration of socalled global value chains (GVCs). Some literatures suggest that electronic industry is known as a successful industry in establishing global value chain. Electronic industry is one of leading cluster in driving economic growth in Indonesia. This study aimed to analyze the role of Indonesia in electronic global value chain according to its share towards global electronic industry, linkages, and value added distribution. An input output analysis by using the Asian International Input Output Table 2005 was employed to analyze the share of each country in electronic global value chain, inter-sector linkages, value added, also output and income multiplier. The result showed that Indonesia had low participation in electronic global value chain. Indonesia’s output share was the lowest among all countries which resulted in low valueadded acquisition. Indonesia played the role as the input user from the various sectors. It is suggested that Indonesia electronic manufacture sector should be integrated with the input supplier sectors. Electronic computing equipment sector can be the main priority in enhancing Indonesia electronic manufacture sector since it has the biggest effect to economic growth. Keywords: electronic, global value chain, Indonesia, input output analysis

PERAN INDONESIA DALAM RANTAI NILAI GLOBAL PRODUK ELEKTRONIK

Globalization has transformed the structure of industry into global integration of socalled global value chains (GVCs). Some literatures suggest that electronic industry is known as a successful industry in establishing global value chain. Electronic industry is one of leading cluster in driving economic growth in Indonesia. This study aimed to analyze the role of Indonesia in electronic global value chain according to its share towards global electronic industry, linkages, and value added distribution. An input output analysis by using the Asian International Input Output Table 2005 was employed to analyze the share of each country in electronic global value chain, inter-sector linkages, value added, also output and income multiplier. The result showed that Indonesia had low participation in electronic global value chain. Indonesia’s output share was the lowest among all countries which resulted in low valueadded acquisition. Indonesia played the role as the input user from the various sectors. It is suggested that Indonesia electronic manufacture sector should be integrated with the input supplier sectors. Electronic computing equipment sector can be the main priority in enhancing Indonesia electronic manufacture sector since it has the biggest effect to economic growth. Keywords: electronic, global value chain, Indonesia, input output analysis

Development of Social Intensity Database Using Asian International Input–Output Table for Social Life Cycle Assessment

The social impacts of products and service life cycles are increasingly of interest among policy makers and stakeholders. Workers’ issues are considered to be a source of key inventory data to assess social impacts, and are crucial in moving towards social sustainability. There is a need to develop a social inventory database for evaluating social impacts of products and services. This study aimed at the development of a social intensity dataset using an input–output analysis framework. The 2005 Asian International input–output table is used in this work. Six social issues are considered: total employment, paid workers, vulnerable employment, wages, fatal, and non-fatal occupational injuries. To verify the acceptability of this study, an estimation of total social footprint deduced from final consumption rates was carried out. The social intensities associated with 10 countries and 76 economic sectors were constructed. The results show that the social intensities from cradle to gate the agricultural sector has the highest in terms of total employment and vulnerable employment. Meanwhile, the mining sector in China has a higher non-fatal and fatal occupational injuries than the agriculture sector, secondary sector, and tertiary sector. The public administration sector and the education and research sector had a higher wages intensity than any other sectors due to these sectors being labor intensive and having higher wages. The social intensity in terms of total employment, paid workers, vulnerable employment, non-fatal injuries, and fatal accident cases in the developing countries was higher than the developed countries whereas wages intensity in developing countries was lower than that of developed countries. The social footprints resulting from the final consumption of each country show that the social footprints had transferred from the developing countries to the developed countries. Exports from China to the USA, Japan, South Korea, Taiwan, and Singapore have a significant social impact in these countries.

Multiplier impacts and emission reduction effects of Joint Crediting Mechanism: analysis with a Japanese and international disaggregated input–output table

The reduction of emissions from developing countries is essential in tackling climate change. The Clean Development Mechanism has been effective but criticized by various parties. In response, the Japanese government has proposed the Joint Crediting Mechanism (JCM).Using the 2010 Japanese domestic and the 2005 Asian international input-output tables, we disaggregate the automobile industry and other electrical devices and parts industry to capture hybrid vehicles and solar panels. Moreover, we add the wind turbine industry and the geothermal turbine industry. In evaluating the JCM, we find that the multiplier impacts of hybrid vehicles, wind turbines and air conditioners are high, whereas boilers and solar panels produce smaller effects. In contrast, the results for the employment effects show that the coke dry quenching plants and lighting equipment create more jobs.We also estimate the emission reduction from the JCM. Taking into account the lifetime of each product/technology and country-specific emission coefficients, we find that lighting equipment’s emission reductions are the greatest, whereas washing machines’ reductions are the least. Thus, it is important to choose the technologies/items suitable for the JCM by balancing their economic and reduction effects. The government must assess various technologies/items before determining the eligibility of each technology/item.

Low-carbon and Economic Supplier Selection Using Life Cycle Inventory Database by Asian International Input-Output Tables

Assembly supply chains have been configured globally including not only developed countries but also emerging countries such as Asian countries, for example, Malaysia and China. On the other hand, it is necessary for global warming to pursue lower greenhouse gas (GHG) emissions in the global supply chain. Supplier selections, which select appropriate suppliers for appropriate purposes, should be decided by considering not only procurement costs but also the GHG emissions if they can be estimated. In addition, each part has a different procurement cost by the suppliers while their GHG emissions depend on each country and types of materials. Thus, it enables the global supply chain to harmonize the GHG emissions and the costs by procuring the parts from the different Asian countries. This study proposes a low-carbon and economic supplier selection with an estimation method of the GHG emissions for each part using the developed LCI database among Asian countries, and conducts a material based analysis for the both of the procurement costs minimization and the GHG emissions reduction.

Production-based emissions, consumption-based emissions and consumption-based health impacts of PM2.5 carbonaceous aerosols in Asia

This study determined the production-based emissions, the consumption-based emissions, and the consumption-based health impact of primary carbonaceous aerosols (black carbon: BC, organic carbon: OC) in nine countries and regions in Asia (Indonesia, Malaysia, the Philippines, Singapore, Thailand, China, Taiwan, South Korea, and Japan) in 2008. For the production-based emissions, sectoral emissions inventory of BC and OC for the year of 2008 based on the Asian international input–output tables (AIIOT) was compiled including direct emissions from households. Then, a multiregional environmental input–output analysis with the 2008 AIIOT which was originally developed by updating the table of 2000 was applied for calculating the consumption-based emissions for each country and region. For the production-based emissions, China had the highest BC and OC emissions of 4520 Gg-C in total, which accounted for 75% of the total emissions in the nine countries and regions. For consumption-based emissions, China was estimated to have had a total of 4849 Gg-C of BC and OC emissions, which accounted for 77% of the total emissions in the Asia studied. We also quantified how much countries and regions induced emissions in other countries and regions. Furthermore, taking account of the source–receptor relationships of BC and OC among the countries and regions, we converted their consumption-based emissions into the consumption-based health impact of each country and region. China showed the highest consumption-based health impact of BC and OC totaling 111 × 103 premature deaths, followed by Indonesia, Japan, Thailand and South Korea. China accounted for 87% of the sum total of the consumption-based health impacts of the countries/regions, indicating that China's contribution to consumption-based health impact in Asia was greater than its consumption-based emissions. By elucidating the health impacts that each country and region had on other countries and from which country the impacts were received, we demonstrated that the characteristics of the consumption-based health impact varied significantly by country and region. We also determined the difference in the health impacts to other countries and regions due to the domestic final demand of each country and region, and the health impact due to the domestic final demand of that country or region.

COMPILATION AND APPLICATIONS OF IDE-JETRO'S INTERNATIONAL INPUT–OUTPUT TABLES

International input–output (IO) tables are among the most useful tools for economic analysis. Since these tables provide detailed information about international production networks, they have recently attracted considerable attention in research on spatial economics, global value chains, and issues relating to trade in value added. The Institute of Developing Economies at the Japan External Trade Organization (IDE-JETRO) has more than 40 years of experience in the construction and analysis of international IO tables. This paper explains the development of IDE-JETRO's multi-regional IO projects including the construction of the Asian International Input–Output table and the Transnational Interregional Input–Output table between China and Japan. To help users understand the features of the tables, this paper also gives examples of their application.

The Asian International Input-Output Table: Its History and Prospect

The Asian International Input-Output Table: Its History and Prospect

Impact of the US Economic Crisis on East Asian Economies: Production Networks and Triangular Trade through Chinese Mainland

AbstractThis paper investigates the impact of the 2008 economic crisis on industries in East Asia. It attempts to identify the transmission mechanism and the magnitude of the impact of the crisis on industries in East Asia using the updated Asian international input–output table for 2008. The analyses reveal that the crisis significantly affected industrial output of the nine East Asian economies included in the present study. The economies that are deeply involved in production networks were affected most seriously. Our analyses also show that the impact was transmitted to East Asian industries through triangular trade, in which Chinese mainland imports parts and components from neighboring East Asian economies and then exports final products to the US and EU markets. Although such intricate production networks have improved the competitiveness of East Asian economies, they have also increased vulnerability to external shocks.

Regional production networks, service offshoring, and productivity in East Asia

Using the Asian International Input–Output Table (1990, 1995, and 2000), this paper explores regional production networks and offshoring of material and service inputs in East Asia. In doing so, offshoring is measured directly from the Table, which has not been used in previous literature regarding this issue. It turns out that East Asian countries source significant shares of inputs within East Asia. In addition to material offshoring, service offshoring in East Asia has become increasingly common in the era of globalization. We also evaluate the effects of this fast growing offshoring on productivity. Our econometric results demonstrate that offshoring exerts a significant and positive impact on total factor productivity in East Asia. Service offshoring, in particular, performs a more significant role than material offshoring.

Has Emerging Asia Decoupled? An Analysis of Production and Trade Linkages Using the Asian International Input-Output Table

Due to the emergence of global production networks, trade statistics have became less accurate in describing the dependence of emerging Asia on external demand. This paper analyses, using an update of the Asian International Input-Output (AIO) table, the interdependence of emerging Asian countries, the United States, the EU15, and Japan via trade and production linkages. According to the results, we do not find evidence of the decoupling of emerging Asia from the rest of the world. On the contrary, we find evidence on increasing trade integration, both globally and regionally. Nonetheless, our analysis indicates that emerging Asia’s dependence on exports is only about one-third of its GDP, i.e. well below the 50% exposure suggested by trade data. This finding can be explained by the high import content of exports in these economies, which is a result of the increasing segmentation of production across the region. JEL Classification: F14, C67, E23

Analysis of Japan-Thailand Free Trade Agreement using Asian International Input-Output Model

This paper aims at analyzing regional impact throughout Asian-Pacific as a result of free trade agreement between Japan and Thailand. To analyze regional impact, Asian International Input-Output Model is constructed basing on 4-data set of Asian international input-output table developed by Institute of Developing Economies (IDE). The model estimates income, price, and substitution elasticities providing insight to behavioral parameters. Moreover, sector prices are modeled taking into account international comparison of purchasing power using data from UNSTAT and Eurostat(1994).

Transmissions of real economic shocks across the Pacific Rim economies

We use Asian International Input–Output Tables 1995 in measuring trade dependencies of 10 Pacific Rim economies within a regional general equilibrium model. We develop two sets of metrics in measuring the trade dependencies of the economies. First, we use final demand elasticity of exports in measuring the sensitivities of the economies in the model to autonomous changes in the final demand in any other economy in the region. Second, we use a final-demand-weighted index of export elasticities that are induced by variations in the final demand vector of any economy in the model as indicators of the strength of the shocks transmitted across countries. The estimated coefficients have important policy implications. First, these coefficients identify the most vulnerable sectors of the economies in terms of the export/import dependency. Second, these coefficients may be readily used in bilateral and regional trade negotiations. Using these coefficients, policy makers can provide mutual trade concessions in dampening the effects of real and financial shocks transmitted from the trading partners.

Structural Changes in International Industrial Linkages and Export Competitiveness in the Asia‑Pacific Region

I. Introduction After the second half of the 1980s, developing countries in the Asia-Pacific region have achieved remarkable economic growth, by adopting export-led strategies, with inflows of huge amounts of foreign direct investment (FDI), mainly from Japan. This has made the degree of economic interdependence in this region much deeper, and has changed the industrial structure of each country--and the whole region--especially in the manufacturing sector. One of the concrete phenomena arising has been the globalization of demand, inducing production and procurement of raw materials or intermediate inputs for production, especially in the electric/electronics sector. This article shows this globalization process in a quantitative form, based on an international input-output analysis, with the use of the Asian international input-output tables for 1985 and 1995. The electric/electronics sector and the transportation equipment sector are used here as illustrative examples. From the analysis, two results emerge. First, the electric/electronics sector in Asian countries heavily depends on the demand of the developed countries, especially the United States, and second, the transportation equipment sector depends on Japan for intermediate inputs, since the local supporting industries for the transportation equipment sector have not been sufficiently nurtured. The globalization of demand and procurement patterns for production indicates the importance of export competitiveness among countries. In this regard, the Asian countries have been competitive with each other in the same sector, rather than complementary in terms of production, even after the recent economic crisis. Indeed, the players sometimes compete in the same field, irrespective of their comparative advantage. This will be shown by indicators such as the Revealed Comparative Advantage (RCA) and Trade Specialization Coefficient (TSC), and will suggest that setting up a reasonable international division of labour is indispensable for sustainable growth in the Asia-Pacific region. II. Data and Methodology In this article, the main methodological approach is an international input-output (I/O) analysis, based on Asian international input-output (Asian I/O) tables compiled by the Institute of Developing Economies (IDE). The framework of the Asian Input-Output table is introduced first. (1) The whole picture of the Asian International Input-Output Table 1995 is given in Figure 1. Looking at Figure 1 according to the columns, each cell in the table shows input compositions of the industries of respective countries. [A.sup.II], for example, shows the input compositions of Indonesian industries vis-a-vis domestically produced goods and services. [A.sup.MI], on the other hand, shows input compositions of Indonesian industries for the imported goods and services from Malaysia. The cells [A.sup.PI], [A.sup.SI], [A.sup.TI], [A.sup.CI], [A.sup.NI], [A.sup.KI], [A.sup.JI], and [A.sup.UI] allow the same interpretation for the imports from other countries. The transaction values thus tabulated are all given at producers' prices of the countries of origin. International freight and insurance paid by Indonesian industries for these imported transactions are all recorded in the row vector B[A.sup.I]. H[A.sup.I] and W[A.sup.I] are input compositions of Indonesian industries vis-a-vis imported goods and services from Hong Kong and those from the rest of the world, and they are given in cost, insurance, and freight (CIF) value. Import duties and import sales taxes levied on all Indonesian imports are recorded in the row vector D[A.sup.I]. The value-added items of Indonesian industries are shown in [V.sup.I]. The bottom of the column gives [X.sup.I], the gross inputs of Indonesian industries. Turning to the eleventh column from the left side of the table, it shows the compositions of goods and services that have gone to final demand sectors of Indonesia. …

Input-output assessment of energy consumption and carbon dioxide emission in Asia.

Input-output model was applied to analyze the direct and indirect energy consumptions aswell as the corresponding carbon dioxide emissions in the Asia-Pacific region including nine Asian countries and the USA for the year 1985. The analysis was made by combining the Asian International Input-Output Table (1985) of the Institute of Developing Economies with energy statistics available for thecountries. The results of the model application were compared among different inter industry sectors of acountry, and between inter industry sectors of different countries. The results reveal that almost all the Chinese inter industry sectors have very high energy consumption intensities and carbon dioxide emission intensities per unit monetary production, in sharp contrast to those of other countries. It is also shown that Japan and Singapore substantially rely upon the energy consumption and carbon dioxide embodied in the goods and services imported from other countries.