Revisiting Globalization

Southeast Asia in the Global Factory
One of the most significant innovations in international industrial organization over the past half-century has been the vertical disintegration of production, with different stages carried out in different countries-a process widely known as the Global Manufacturing Value Chain (GMVC). Trade based on global production sharing within GMVC has been the primary driver behind the dramatic shift in world manufacturing exports from developed to developing countries. However, there are growing concerns in policy circles about whether the GMVC is beginning to lose momentum. This study examines this issue with reference to Southeast Asian countries, which serve as an ideal laboratory for such an analysis. Engagement in GMVC has played a major role in the economic dynamism of these countries, although their levels of participation vary significantly. This title is also available as open access on Cambridge Core.

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