An Analysis of Change in Comparative Advantage in Overseas Direct Investment of South Korea Before and After the U.S.-China Tariff War

Key Points

• This analysis aims to evaluate the changes in comparative advantage in South Korea's overseas direct investment before and after the U.S.-China tariff war.
• Examined RCA and RSCA indices for global and South Korean manufacturing overseas direct investments.
• Analyzed product categories including rubber and plastic, primary metal, electrical equipment, and machinery from 2018 to 2020.
• Identified rubber and plastic products, primary metals, electrical equipment, and machinery as products with comparative advantage from 2018-2020.
• Coke and petroleum refining products were assessed as having comparative disadvantage in the same period.

Abstract