Latin America, continued Relatively weak internal trade relationships compared to Europe or North America Relatively strong trade relationships with Europe A growing trade relationship with Asia High debt levels, high debt service, and strong pressure from IMF leading to currency devaluation, austerity, and angry reactions to the global north

Brazilian Trade Trade with Argentina, Paraguay, Uruguay ?? Why not part of Mercosur Includes computers and peripherals

Japanese Trade Imports dominated by lower value raw materials Exports dominated by high-value manufactured products Modest trade ties with nearby China and Korea Japanese Trade Surplus – has led to huge financial holdings abroad including real estate, T-bills, Cash, powerful banks, and is fueled by restrictions on sales in the Japanese market (such as rice)

Japanese Auto Sales: Exports in 1991 were about double their level in 1998 Does not convey the foreign production power of Japanese automakers

Fig Japanese Auto Exports – Note the big decline from previous figure

Chinese Trade Most of this Is “re-exports” Huge growth in export trade; strong inward foreign investment (ownership restrictions); special economic zones; highly unbalanced development; impact of WTO membership; impact of realignment of the Yuan

Hong Kong Employment Trends

Hong Kong Re-Exports and Export/Import Jobs

Fast Growth Sectors in China and South Korea Must be $ billions Strong growth In infrastructure Decline? Movement of labor intensive work out of Korea as wages rise to near European levels

Imports & Exports in Taiwan and South Korea U.S. accounts for about ¼ of Taiwan and S. Korea trade. Strong ties to Japan Diverse exports In high-tech Industry, and Much FDI by S. Korean and Taiwanese corporations

Australian Exports and Imports Raw material exporter; small country w/o scale economies in production Of many manufactured goods, leading to imports (Japan, U.S. EU) EU?

India – Exports & Imports Does not capture the boom in services work being done in India – call centers, software, and a host of advanced service activities. Very strong higher education system – producing cadres of engineers & scientists Very Different Mix of Imports And Exports Compared To other Countries In the text

Other Countries South Africa – exports largely of raw materials, imports of more highly manufactured products Russia – downfall of Soviet system & collapse of bases for economic growth. Corruption, inefficient industrial organization The Middle East – Oil dominated exports, but textiles are important (Egypt) and specialized industries in Israel (diamond cutting and polishing

Trade Flows in Microelectronics Numbers in the text do not correspond to the values in this figure Dominated by Mexico And East Asia

Trade Flows in Automobiles Again, numbers in figure differ from those in the text Mostly From Mexico Dropping as domestic production by Japanese firms rises

Global Rise of Japanese Auto Manufacturers Figure documents the global production presence of GM and Ford

Global Trade in Steel Strong exports From Japan And EU: A capital- Intensive sector ?Lack of Intra-country data & data differ from text

Global Trade in Textiles and Clothing Clearly huge Exports from The developing World to all Developed Economies, due To labor Intensity See Figure 13.31

Global Trade in Grains and Feed Reduced trade in grains and feeds as many nations have developed capacity in these sectors Exports partly governed by global climate and opportunities to exploit scale economies in areas with high yields

Trade in Non-oil Commodities I Includes: metals, ores, crude rubber, wood and pulp, hides, cotton fiber & other textile fibers, crude animal and vegetable materials As in the colonial past, developing countries are the primary sources of these commodities, but resource-rich developed economies such as the U.S. and Canada also have significant exports