Investigating ASEAN's electronic and labor-Intensive exports

Exporting has contributed to technological assimilation and development in ASEAN. This paper investigates ASEAN's electronics and labor-intensive exports. The results indicate that more foreign direct investment, weaker exchange rates, and other factors deepen the electronics value chain in ASEAN countries. The findings also indicate that, since 2001, price competition between China and ASEAN in labor-intensive goods has abated. Intermediate goods are now more important for ASEAN's labor-intensive exports and China is the leading supplier of these goods. Thus supply chains are playing a greater role in driving ASEAN's exports. The paper concludes by considering how Southeast Asian countries can promote the slicing up of the value chain.