Transcript International trade by end-use and the BEC classification Colin Webb and Norihiko Yamano OECD STI/EAS.

International trade by end-use and the
BEC classification
Colin Webb and Norihiko Yamano
OECD STI/EAS
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Motivation
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Estimating international flows of
intermediate goods
Estimating I-O import matrices for
countries that do not produce them
Linking I-O tables with bilateral trade
Domestic content of exports / ‘trade in
value added’
Origin of imported consumption and
investment goods
Vertical Specialisation indicators
 Analysis of GVCs
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Classification by Broad Economic Categories
1 Food and beverages
11 Primary
111 Mainly for industry
112 Mainly for household consumption
12 – Processed
121 Mainly for industry
122 Mainly for household consumption
2 Industrial supplies not elsewhere specified
21 Primary
22 Processed
3 Fuels and lubricants
31 Primary
32 Processed
321 Motor spirit
322 Other
Basic classes of
goods in the SNA
Intermediate
Consumption
Intermediate
Consumption
Intermediate
Intermediate
Intermediate
Not classified
Intermediate
4 Capital goods (except transport equipment), and parts and
accessories thereof
41 Capital goods (except transport equipment)
Capital
42 Parts and accessories
Intermediate
5 - Transport equipment and parts and accessories thereof
51 Passenger motor cars
52 Other
521 Industrial
522 Non-industrial
53 Parts and accessories
Not classified
Capital
Consumption
Intermediate
6 Consumer goods not elsewhere specified
61 Durable
62 Semi-durable
63 Non-durable
Consumption
Consumption
Consumption
7 - Goods not elsewhere specified
Not classified
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Straightforward methodology?
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Classification of Broad Economic Categories
(BEC)
HS  BEC and HS  ISIC conversions exist
Therefore ISIC x BEC
Also BEC  SNA end-use categories
(Consumption, Intermediates, Capital)
Therefore ISIC x end-use
i.e. reported HS trade data  trade by ISIC and end-use
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Not so simple …
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BEC items: Mainly for industry / Mainly for household
consumption …
… Capital / Consumption split (e.g. ICT goods)
BEC items: Motor Spirit, Motor cars, NEC (mixed enduses)
Adjustments to reported HS trade in goods data:
– Re-exports
– Account for ‘confidential data’ and missing data
– Specific commodities e.g. Diamonds (HS 7102 ISICs 14, 36)
– Knowledge of specific bilateral flows …
– Customs data  BoP
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Services not covered
 Calibrate imports of intermediates with SUT/IOT info …
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Users of BEC conversions
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“Trade in intermediate Goods and Services”
Miroudot, Lanz and Ragoussis, OECD, 2009
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Current OECD(STI) projects: based on OECD
harmonised Input-Output tables
– Estimates of import matrices
– Inter-country I-O for environmental impacts of globalisation
(CO2 embodied in trade); technology diffusion (embodied R&D)
– development of VS indicators / analyses of GVCs
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WIOD project, US ITC Research …
UNSD, Eurostat : publication of trade data by BEC
NSIs: BEC derivatives (AUS, NZ) ; local classifications
(US, Canada)
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Future
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Review of BEC by UNSD  Revision of BEC?
include services?  develop an eBOPGS linked to
a new BEC?
Use National sources (e.g. USA / CAN end-use
data) ?
Exploit alternative sources for further adjustments
(e.g. HH expenditure on ICT?)
Develop a “sustainable” international bilateral
ISIC x end-use trade database at OECD ?
i.e. updated as bilateral trade in data updated
but ….. ISIC Rev.4 / SNA 2008 / HS 2012 …..
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