ABSTRACT
Because having abundant advanced factors such as technology, capital, information, human resources etc., developed economies represented by the United States occupy the producer service segments with high added value in the global value chains and dominate the development of the world service trade. Their share in the world service trade exceeds 75%, and most of them have rising trade surplus year after year. In contrast, developing countries accounts for less than one-fourth in the global service trade. Moreover, these countries, especially their technology-intensive producer service sectors, are mainly in the subordinate status and have trade deficit. Contemporary international division of labor has shifted from the situation that developing countries provides primary products and developed countries provide manufacturing goods to the labor division between low-end segments and high-end segments in the global value chains. And it strengthens progressively because of path-dependence. Therefore, when studying the current Sino-US trade issues, we need to consider these economic realities.
