Lili Yan Ing noted how the author shows that the value-added in manufacturing is decreasing but other papers using disaggregated trade data show that the domestic component increased in the same time period as this study. Siow Yue Chia said that the changes in China's production chain are interesting, and wondered what the process that China is moving toward is. She asked what is in the domestic value-added on the higher domestic value-added component. Chia said we know that wages are increasing, so it is not surprising to see domestic value-added increasing. Also, the rise of e-commerce in China may be important in explaining this.
She asked if other countries could emulate China.
Prema-chandra Athukorala began by asking the author to define the concept of ”value-added” used in the paper. OECD published the data without defining value-added. He said that this is not the same as the national accounting concept...