Global Agenda Council on Advanced Manufacturing 2012-2014
Manufacturing is one of our most important economic activities. It has the greatest multiplier effect on economies and is a major driver of knowledge-building and job creation. Around the world, more than 300 million people are employed in manufacturing, accounting for some 14% of global employment. Nevertheless, the share of manufacturing activities and employment as a percentage of GDP continues to drop globally – it now rests at 17% compared to 27% in 1970. In some economies, this share is declining rapidly, such as the United States where it was 12% in 2010. In other countries, the decline is less rapid, such as in China, where it accounted for 33% in 2010.
One of the main challenges surrounding manufacturing is that the metric of describing it as a percentage of GDP fails to reflect the sector’s global and complex nature, especially as it relates to worldwide value chains, and its impact on capabilities and knowledge dissemination across value chains. To identify and address the fundamental drivers behind the future development of advanced manufacturing, more relevant metrics must be established and more public and private stakeholders aligned at the global level. To achieve this, the Global Agenda Council on Advanced Manufacturing has been working on two initiatives.
What the Council is doing about it
Firstly, we are working to identify and establish a common framework describing manufacturing capabilities that will support public-private dialogue. The framework could be based on global value chains, knowledge networks and manufacturing capabilities measurement. Gary Gerreffi, a professor at Duke University and expert on value chains, is leading a diverse group to compile relevant case studies on global value chains in specific regions and four industries: apparel, medical devices, smart phones and automotive. Jean Paul Rodrigue of Hofstra University is also defining a framework to measure manufacturing capabilities with the support of organizations such as the United Nations Industrial Development Organization (UNIDO).
“Nevertheless, the share of manufacturing activities and employment as a percentage of GDP continues to drop globally – it now rests at 17% compared to 27% in 1970.”
Secondly, we are working on the development of a global platform to foster high-level dialogue and negotiations in the manufacturing sector. This could be a Global Manufacturing Forum supported by an international organization such as UNIDO. To ensure we are on the right path, we have held talks with senior government and business leaders and heads of international organizations, including Pascal Lamy, the Director General of the World Trade Organization and Kandeh Yumkella, the Director General of UNIDO. The Council is also seeking support from relevant institutions worldwide, including international organizations, governments and industry, and plans to present strategic recommendations to the G20.
To get involved please contact
Research Analyst: Tiffany Misrahi, Knowledge Manager, Global Agenda Councils, firstname.lastname@example.org
Council Manager: Stefano Ammirati, Associate Director, Head of the Automotive Industry, Mobility Team, Stefano.email@example.com
Forum Lead: John Moavenzadeh, Senior Director, Head of the Mobility Industries, firstname.lastname@example.org
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