Analysis of the evolution characteristics of international ICT services trade based on complex network

Abstract

Digital technology has brought profound changes in the services trade, particularly accelerating the growth of the international Information and Communications Technology (ICT) services trade. Understanding the evolving characteristics of the ICT services trade is pivotal for trade participants to formulate effective policies and enhance their competitive advantages. This study used the data from UN COMTRADE to construct ICT services trade networks spanning from 2004 to 2020. Using complex network analysis methods, it delved into several aspects of ICT services trade, including trade patterns, trade relationships, and participating countries. The findings revealed that central countries in ICT services trade are progressively dominating trade relationships. Moreover, many countries in the middle and lower tiers of the ICT services trade system tend to engage in bilateral trade with major economies or form trade alliances with a select few nations. Examining the evolution of trade participants, early adopter countries such as the United States, Ireland, and the United Kingdom have solidified stable competitive advantages in ICT services trade. Building upon these findings, the study puts forth several recommendations to enhance the competitiveness of the ICT services trade. This study not only enriches the existing knowledge base on ICT services trade networks but also provides valuable insights for shaping policies in this domain. The outcomes offer crucial guidance for interpreting cooperation and conflicts within the realm of ICT services trade.