TOKYO, Oct 16 (Bernama-BUSINESS WIRE) — In the publication, entitled Resilient Global Value Chains (GVCs) for ASEAN and its Relationship with Partner Countries published by the ASEAN-Japan Centre (AJC) today, AJC proposed that each country and each company in ASEAN engaged in international production networks should examine its vulnerability of value chains to external risks in the respective industry with possible reference to the AJC’s risk calculation.
There has been a series of calls at the international and regional levels for strengthening and rebuilding value chains since the outbreak of COVID-19. Although this is a natural consequence of efficient procurement, when their supply or distribution chains are concentrated in a few firms and a few countries, companies have always a legitimate concern as to whether they will continue to receive required materials and inputs from suppliers. Then, the question is where and at what stage the value chain is concentrated.