This research was prepared on behalf of the partnership between the National Analytic Center (NAC) at Nazarbayev University in Astana, Kazakhstan and Duke Global Value Chains Center (GVCC) at Duke University in Durham, North Carolina, USA. The partnership aimed at fostering collaboration in value chain research to advance Kazakhstan’s economic performance and participation in Global Value Chains (GVCs).
Transportation accounts for 30% of U.S. greenhouse gas emissions and 70% of the nation’s oil use. Our reports highlight transportation technologies that can reduce carbon emissions and oil dependence while creating U.S. manufacturing jobs. With support from the Rockefeller Foundation, the Duke GVC Center analyzed the value chain for Bus Rapid Transit (BRT) and created an interactive online tool for linking high-quality BRT features to firms that provide them. In partnership with Environmental Defense Fund, Apollo Alliance, and CALSTART, we mapped out value chains and domestic employment opportunities linked to batteries for electric vehicles, rail vehicles, and hybrid trucks. Our U.S. smart grid report features innovations that save energy, incorporate renewables, and integrate electric vehicles into the grid.
The global steel sector is once again in a state of overcapacity. The sector, predominantly fueled by China’s expansion since 2000, has grown to over 2,300 million metric tons (MT) while only needing 1,500 MT to meet global demand. The result is a global steel sector at unviable profit levels and an influx of cheap steel in the global trading system adversely affecting companies, workers, and the global trading regime. This report was prepared for the Alliance for American Manufacturing (AAM).
Research questions: What is overcapacity? Why is overcapacity a problem? What causes overcapacity? What can be done to address overcapacity?
Key takeaways: Capacity levels in the global steel industry are below 70%, slightly below the worst years of the global financial crisis, and levels at or above 80% are needed for industry profitability. China, as the world’s largest steel producer and net exporter recognizes that excess capacity must be reduced, yet commitments to reduce capacity have not had measurable effects. The global steel capacity problem raises questions about how countries with different development models affect the global trading system and how trade tensions among countries can be reduced.
This report by Duke GVCC was sponsored by the Surdna Foundation to investigate how six local governments within the United States (Cleveland, OH; Louisville, KY; Omaha, NE; Philadelphia, PA; San Francisco, CA; Seattle, WA) investing in water infrastructure have successfully incorporated targeted businesses in capital improvements, while also identifying which segments of the value chain have the highest levels of opportunity for these businesses.
Researchers explored the current state of transportation infrastructure and the economic impact of additional investment in renewing infrastructure in the United States for the Alliance of America Manufacturing (AAM). Results indicate the U.S. ranks 16th overall in transportation infrastructure and that each dollar of investment returns 3.54 in economic activity, creating 21,671 jobs for each $1 billion invested in transportation infrastructure.
AAM Press Release: No Reason to Wait: Rebuild Now to Save American Competitiveness: October 15, 2014 (see post).
The Skills for Private Sector Development Project, commissioned by the Education Division of the World Bank, employed the GVC framework to identify specific workforce development strategies to foster upgrading within three industries crucial to Burundi’s economic development: agribusiness, coffee and energy. Upgrading in these value chains is dependent on developing new capabilities and generally requires a substantially different set of workers with different skill sets. Knowing the requirements at each stage can help policy makers to prepare the workforce for the needs of future upgrading strategies. Burundi faces high and growing demand for electrical energy. Political and economic instability over the last two decades, however, has undermined the development of the country’s energy sector. With very low installed capacity, Burundi faces significant challenges with respect to energy supplies in the country. 90% of the country’s energy needs are currently met by the burning of biomass, primarily wood, for cooking and heat contributing to deforestation and health care issues, and the lack of electrical energy supply constrains the development of the country in the long term. As the country continues to rebuild its economy following the end of the crisis, policy makers, donors and the private sector have expressed interest in bolstering the sector, both as a means to promote economic output and also to leverage the sector for improved labor productivity and job creation for the large number of unemployed youth in the country.
The Skills for Private Sector Development Project, commissioned by the Education Division of the World Bank, employed the GVC framework to identify specific workforce development strategies to foster upgrading within three industries crucial to Burundi’s economic development: agribusiness, coffee and energy. Upgrading in these value chains is dependent on developing new capabilities and generally requires a substantially different set of workers with different skill sets. Knowing the requirements at each stage can help policy makers to prepare the workforce for the needs of future upgrading strategies.
The U.S. coal industry is coping with declining consumption as the nation burns less coal to generate electricity. The electric power sector drives coal demand and consumes over 90% of coal production. The coal industry is facing a number of challenges that include increasing production costs and competition from natural gas in the electric power market. The decreasing share of coal in power generation implies that the future of coal depends on technologies that change the way we manage and use coal such as carbon capture and utilization, coal gasification and coal liquefaction technologies. This report was prepared for the Bank of America partnership.
As more U.S. cities consider adopting Bus Rapid Transit (BRT), GVCC researchers offer a new online tool to help decisionmakers understand the value chain. A new report, supported by the Rockefeller Foundation, with interactive database analyzes the value chain of 390 firms that provide vehicles, technology, and services for high-quality BRT. Outputs of the project included a slide deck, interactive database, and a working meeting convened by GVCC on March 8, 2012.
