3. Evolution and patterns of international trade in cultural goods
3.4. Origin and destination of cultural goods: Five case studies
The following section presents examples of trading structure and distribution of trading partners in five countries from different parts of the world. These case studies present different models of integration into the global market of cultural goods in 2003.
The analysis identifies key trading partners of the selected countries for both imports and
exports. It gives an indication of the source of imported cultural goods that enter the country and the type of destination of cultural goods for a particular country’s exports.
Case 1: The United States of America
The United States of America (USA) was net importer of cultural goods in 2003. It was the major importer with US$ 13.7 billion and the second largest exporter with US$ 7.9 billion.
The main destination of American exports was high-income countries in 2003. Indeed, more than one-third of the USA’s exports of core cultural goods went to Canada (see Figure 12). Canada’s share among all partner countries increased between 1994 and 2003, from 31.5% to 40.2%. The position of Canada may be explained by the North American Free Trade Agreement (NAFTA) which provides privileged access of American products to the Canadian market. Mexico was the fifth destination of American exports, benefiting from the same agreement in 2003. The other major destinations of American exports were several high-income countries, such as Japan, Germany and the United Kingdom.
Figure 12. Trade partners of the USA’s exports of core cultural goods, 2003
Switzerland, 5.6%
Rep. of Korea, 2.5%
Germany, 3.3%
China, 1.4%
Rest of available countries, 18.7%
Canada, 40.2%
United Kingdom, 12.0%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
The main origins of American imports were mainly from China and other high-income countries. The pattern for imports was different, since in 1994 Japan had lost its leading position in favour of China. China became the USA’s major partner, with a
30.8% share in 2003 – this share was only 8%
in 1994 (see Figure 13 and Statistical Table IV-1 in Annex I). Leaving Japan and China aside, the source of American imports was concen-trated among the high-income countries in 2003.
Figure 13. Trade partners of the USA’s imports of core cultural goods, 2003
France, 10.9%
China, 30.8%
Spain, 1.8%
Canada, 10.5%
Rest of available countries, 14.7%
United Kingdom, 11.0%
Germany, 4.2%
Japan, 3.6%
Italy, 4.0%
Hong Kong, China, 3.3%
Mexico, 3.0%
Switzerland, 2.1%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Case 2: China
China started to be an important player in trade flows from the early 1990s. Since the mid-1990s, the Chinese trade balance has become positive. It is also the case for core cultural goods; China is a net exporter with US$ 5.8 billion in exports but only US$ 1.2 billion in imports (see Statistical Table IV-2 in Annex I).
Members of the high-income economies are the main partners of Chinese exports. As stated earlier in the case study for the U.S.A., in 2003 one-third of Chinese cultural goods were going to the USA (see Figure 14). This figure increased slightly between 1994 and 2003 with a percentage share from 31.3 to 34.7 (see Statistical Table IV-2 in Annex I).
Figure 14. Trade partners of Chinese exports of core cultural goods, 2003
U.S.A., 34.7%
Rest of available countries, 11.9%
Japan, 6.6%
United Kingdom, 6.5%
Netherlands, 14.5%
Italy, 1.2%
Australia, 2.0%
Hong Kong, China, 17.9%
Canada, 2.4%
Germany, 2.3%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
The sources of Chinese imports have been diversified since 1994. The top four partner countries represented 84% of Chinese imports, which had dropped however to 60%
in 2003. Two countries, the USA with 22.2%
(a decrease from 29% in 1994) and Germany with 14% in 2003, were the main sources of imports (see Figure 15).
Figure 15. Trade partners of Chinese imports of core cultural goods, 2003
U.S.A., 22.2%
Free Zones, 3.2%
Hong Kong, China, 12.5%
Rest of available countries, 10.7%
United Kingdom, 2.6%
Germany, 14.7%
Singapore, 10.2%
Finland, 7.1%
Japan, 6.4%
Other Asia, nes, 5.7%
Ireland, 4.7%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Case 3: South Africa10
South Africa is the only country in sub-Saharan Africa to play a prominent role in the trade of core cultural goods. Zimbabwe is starting to export some goods but at a much lower level. South Africa was a net importer, with total exports of US$ 64.1 million compared to US$ 322.6 million of imports for all core cultural goods in 2003.
South Africa exported about 40% of goods to other sub-Saharan African countries in 2003.
Nevertheless, the USA was the first destina-tion for South African goods, with a share of 20% in 2003 (see Figure 16).
Figure 16. Trade partners of South African exports of core cultural goods, 2003
Rest of available countries, 17.3%
Mauritius, 2.6%
Nigeria, 2.6%
Malawi, 3.7%
Angola, 2.9%
Germany, 3.2%
U.S.A., 19.9%
Dem. Rep. of Congo, 2.5%
United Rep. of Tanzania, 3.9%
Zimbabwe, 4.5%
Mozambique, 4.5%
Zambia, 10.4%
Kenya, 2.3%
United Kingdom, 16.2%
Australia, 2.2%
Africa, 39.8%
Netherlands, 1.3%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Whereas other sub-Saharan African countries receive a large number of goods from South Africa, they are not the major exporters to the South African market (see Figure 17). Indeed 60% of the South African imports of cultural
goods originated from high-income countries in 2003. Of these, the United Kingdom and the USA provided almost half of the imports in 2003.
10 No trend analysis can be made for South Africa since its trade data were previously amalgamated within the data of the South African Customs Union until 1999.
Figure 17. Trade partners of South African imports of core cultural goods, 2003
Rest of available countries, 15.3%
United Kingdom, 27.2%
U.S.A., 21.3%
Ireland, 10.7%
Germany, 6.3% Areas, nes, 5.9%
China, 5.2%
Netherlands, 2.6%
Japan, 1.6%
Australia, 1.8%
France, 2.1%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Case 4: Brazil
Brazil was a net importer of cultural goods in 1994, with a level of imports of US$ 165.9 million, which was three times higher than the value of its exports (US$ 56.9 million) (see Statistical Table IV.4 in Annex I). The balance was negative in 2003 but has fallen since due to the loss of one-third of the value of imports (totalling US$ 105.7 million in 2003) while the value of exports remained almost at the same level. The decrease in Brazilian imports is explained by the drastic drop in the value of video games and recorded media, with a decrease of 50% between 1994 and 2002.
Another possible factor is the creation of a free economic zone of Manaus in the mid-1990s which increased Brazil’s own produc-tion capacity and lessened the need for imports.
Mexico is the only country within the Latin American and Caribbean (LAC) region which appears among the top 20 countries importing or exporting cultural goods in 2003. Thus the destination of Brazilian products did not show a strong regional bias in 2003 (see Figure 18).
The regional focus was more marked in 1994 when 38.1% of Brazilian exports were directed to Hispanic countries but decreased to 21% in 2003. Between 1994 and 2003, Japan lost its position as leader among all recipient coun-tries in favour of Portugal (dropping from 28.8% to 11.9%). In 2003, the USA became the second most common destination for Brazilian exports.
Figure 18. Total trade partners of Brazilian exports of core cultural goods, 2003
South Africa, 1.1%
Angola, 1.1%
Italy, 1.1%
Germany, 0.8%
United Kingdom, 0.8%
France, 1.9%
Rest of available countries, 5.9%
Colombia, 4.4%
Chile, 4.3%
Argentina, 4.0%
Mexico, 3.8%
Spain, 3.3%
Peru, 0.7%
Japan, 11.9%
U.S.A., 25.9%
Portugal, 28.9%
LAC, 21.0%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
In 2003, 45.1% of Brazilian imports originated from only two countries - the USA (with 28.8 percentage share) and the United Kingdom (with 16.3 percentage share) (see Figure 19), while LAC countries represented only 14% of originators of Brazilian imports. Nevertheless, since 1994 Brazil has diversified the prove-nance of its imports to a small degree. The
USA encountered a significant drop in relative share from 41.3% in 1994 to 28.8% in 2003.
Japan fell from 10.9% to 3.6%; Argentina and Chile also faced a small decrease in their percentage share. The countries which in-creased their share in 2003 were the United Kingdom, Spain and China.
Figure 19. Total trade partners of Brazilian imports of core cultural goods, 2003
Chile, 2.5%
Uruguay, 3.2%
Peru, 3.3%
Argentina, 5.2%
Sweden, 1.0%
Italy, 2.4%
Hong Kong, China, 2.9%
Portugal, 2.9%
Japan, 3.6%
Germany, 4.0%
France, 4.0%
China, 5.2%
Rest of available countries, 6.6%
Spain, 8.2%
United Kingdom, 16.3%
U.S.A., 28.8%
LAC, 14.0%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Case 5: Egypt
Egypt was a net importer of cultural goods in 2002. Exports of cultural goods from Egypt lost one-third of their current US$ value between 1994 and 2002, with a decrease from US$ 15.5 million to US$ 10.7 million (see Statistical Table IV-5 in Annex I). During the same time, imports gained an increase of one-third in dollar value, from US$ 22.1 million in 1994 to US$ 33.2 million in 2002.
Key destinations of Egypt’s exports were mainly Arabic countries, with 58.4% of the share in 2002, and the USA. (see Figure 20). The destinations of Egyptian exports have changed moderately between 1994 and 2002, since Saudi Arabia remained the first destina-tion country of exports, even tough its share dropped from 25.6% in 1994 to 15.5% in 2002.
Figure 20. Total trade partners of Egyptian exports of core cultural goods, 2002
U.S.A., 8.1%
Morocco, 2.8%
Kuwait, 3.0%
Lebanon, 5.9%
United Arab Emirates, 6.2%
Rest of available countries, 22.6%
Germany, 2.1%
Malaysia, 2.5%
France, 2.6%
United Kingdom, 3.7%
Arabic countries,
58.4%
Jordan, 2.1%
Saudi Arabia, 15.5%
Libya, 7.6%
Yemen, 6.7%
Algeria, 6.6%
Oman, 2.1%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.
Arabic countries account for 22.8% of Egyptian imports of cultural goods (see Figure 21). China and the United Kingdom were the major sources of cultural goods in
2002. The position of the United Kingdom remained the same between 1994 and 2002, while China doubled its share for the same period from 10.3% to 19.2%.
Figure 21. Total trade partners of Egyptian imports of core cultural goods, 2002
Qatar, 1.2%
Syria, 2.1%
Saudi Arabia, 2.7%
Kuwait, 3.3%
United Arab Emirates, 4.7%
Rest of available countries, 10.8%
Greece, 1.0%
Arabic countries,
22.8%
Source: UIS based on data from UN Comtrade, DESA/UNSD, 2004.