Are global value chains truly global?

Are global value chains (GVCs) truly global or are they more of a regional phenomenon? We provide a new perspective on this issue using network analysis based on the measure of trade in value added. We first show that GVC activities can be consistently identified and grouped into three types of networks, i.e. traditional, simple, and complex trade networks, according to the number of times that factor contents cross national borders in global production sharing. Further investigation on the changes in topology and structure of various networks reveals that, GVCs are more likely organized regionally and dominated by large countries, like the US, China, and Germany. However, at the sector level, what GVCs look like largely depends on the perspective (supply or demand) and the type of networks adopted. This can help better understand the possible structural change of GVCs brought by the US-China trade war and the COVID-19 pandemic.