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How Does Increased EV Production Affect U.S. Automotive Employment?
Topic
Advanced Technology
Labor
Manufacturing
Regional Focus
United States
Publication Topics
Residential Heat Pump (Hybrid) Water Heater Market, Production, and Trade
Topic
Advanced Technology
Energy
Environment
Innovation
Manufacturing
Regional Focus
Mexico
Publication Topics
Author(s)
Mihir P. Torsekar
Abstract
During the early years of the period 2001–16, the majority of China’s medical device exports were low-technology goods. However, the composition of these exports has gradually shifted towards medium-and-high-tech devices. Since 2012, these goods have become China’s leading medical device export categories. This article discusses two factors behind this trend: (1) the country’s large and growing healthcare market, which has created opportunities for local producers to supply all segments within the sector, and (2) government policies that have prioritized the production of innovative medical devices from local companies.
Author(s)
Mihir P. Torsekar
Abstract
This article discusses China’s transition towards higher-value-added segments of the medical device global value chain (GVC) as observed through changes in both the composition of foreign direct investment (FDI) and in the technological complexity of its medical device exports. The period under review is primarily 2003–17.
Author(s)
Andre Barbe, Dan Kim, David Riker
Abstract
The pattern of international trade, employment, and wages within the U.S. semiconductor industry shifted significantly during 2006–16. We examine the aggregate trends in these economic variables over this 10-year period, broken into 5-year segments, using detailed data on labor market outcomes by occupation, and data on trade flows by country. China and Vietnam became far more important in U.S. semiconductor trade as both import and export markets. These shifts in trade flows are reflected in the increase in earnings of workers in the U.S. semiconductor industry. Average earnings in the industry rose over the last decade, mostly due to a shift in the workforce to engineers and the technicians that support them. These trends in the semiconductor industry are broadly consistent with the predictions of the model of international trade in tasks found in Grossman and Rossi-Hansberg (2008).
Author(s)
David Coffin , Jeff Horowitz
Abstract
Electric vehicles (EVs) are a growing part of the passenger vehicle industry due to improved technology, customer interest in reducing carbon footprints, and policy incentives. EV batteries are the key determinant of both the range and cost of the vehicle. This paper explains the importance of EV batteries, describes the structure of the EV battery supply chain, examines current limitations in trade data for EV batteries, and estimates the value added to EV batteries for EVs sold in the United States.
Author(s)
Samantha DeCarlo, Daniel Matthews
Abstract
Demand for cobalt—a major input in the production of lithium-ion batteries (LIBs) used in electric vehicles (EVs)—is growing due to recent technological advancements and government policies designed to promote the use of EVs. This has led major automakers, battery manufacturers, personal electronic device companies, and their suppliers to attempt to secure stable supplies and develop new sources of cobalt throughout the world. Moreover, the rising demand for cobalt has led to global supply constraints, higher prices, and renewed drive in battery materials research for potential substitutes for mined cobalt.
Author(s)
Mihir P. Torsekar, John VerWey
Abstract
This paper traces the East Asia-Pacific (EAP) region’s participation in the global value chain (GVC) for electronic products over the past 20 years, with particular attention to trade in intermediate goods and recent foreign direct investment (FDI) into the region. During this time, China has been the principal driver of the GVCs for electronic products. However, recent increases in China’s production costs have created opportunities for other countries in the region—such as Malaysia, Singapore, Thailand, and Vietnam—to increase their participation in the sector’s GVC. In discussing these trends, this paper uses the World Bank’s Measuring Competitiveness in Global Value Chains (MC-GVC) database and provides a case study on the development of the semiconductor industry’s presence in the EAP region to illustrate the region’s role in the GVC for electronic products.
Author(s)
Lin Jones, Meryem Demirkaya, Erika Bethmann
Abstract
The development of global value chains (GVCs) and their economic impact on countries, industries, and firms has been much discussed in the business and economics literature. This introductory paper reviews and highlights some of the key topics covered in GVC literature, aiming to give readers a comprehensive overview of the relevant material to enhance their understanding of GVC research. It has three sections: the first section explains key concepts, describes the characteristics of GVCs, and briefly discusses the factors behind recent GVC developments. The second section summarizes major GVC analytical approaches commonly used in the business and economics literature. The final section highlights the economic impact of GVCs in four important areas: competitiveness, economic development, labor markets, and trade costs.
Author(s)
John VerWey
Abstract
This is the first of two papers that analyze China’s semiconductor industrial policies and factors that will dictate their success or failure. China’s attempts since 2014 to support and grow its domestic semiconductor industry have drawn considerable international attention. The purpose of this series is to place into context the various attempts by the Chinese government to support its domestic semiconductor industry, dating back to the 1950s. Part one presents a history of China’s past efforts at semiconductor industrial planning, describes the current plans, and discusses their execution to date. Part two explains why previous plans have failed, how lessons learned from past failures have been incorporated into current plans, and examines their prospects for success, finding that China’s current strategy will likely not achieve its aims.