Evolution of Eurasian Countries' Participation in Global Value Chains

This paper provides a measurement of the position and participation of the Greater Eurasian countries in the global value chains (GVCs), as well as the driving factors behind them. Due to the different economic models, the Greater Eurasian countries are divide into Asian group and Eurasian group in most analysis. This paper extracts specific trade flow data of 29 countries in the Greater Eurasia in the period 2000 - 2015, processes them and calculates out the indices of participation and position of each country. The indexes suggest that while the position of the Greater Eurasian countries raises, their participation drops. Meanwhile, the regional convergence among Asian countries is more significant than the Eurasian countries. Furthermore, this paper examines the influence of a handful of driving factors on the upgrading of countries in GVCs. The most critical drivers are R&D expenditure and capital accumulation, while improvement in institutional quality is also important