What does international division of labor mean?

The international division of labor system refers to an economic system in which countries rely on their own comparative advantages to carry out division of labor and trade on a global scale. This division of labor provides more economic opportunities for countries and promotes the development of the global economy. For example, in the global manufacturing division, China's labor cost is relatively low, so China has become the center of global manufacturing. The advantages of human capital and technological innovation in developed countries in Europe and America make them play high value-added roles such as design, research and development. Countries are interdependent and develop together.

With the acceleration of globalization and the development of technological progress, the international division of labor system is constantly adjusted. Many traditional industries have been transferred to developing countries such as Asia and Africa, while the demand for high value-added labor in developed countries is increasing. This change makes the global division of labor more complicated, and the economies of many developing countries are too dependent on a single industry and lack the ability to resist external shocks. Therefore, countries should further optimize their own industrial division of labor structure, strengthen industrial upgrading on the basis of their own advantages, and increase their own initiative.

However, the benefits of international division of labor are not equal. Some developing countries can only provide labor resources in the global division of labor, and it is not easy to obtain opportunities such as technology and intellectual property rights that require a higher level and higher added value. Therefore, it is also of great significance to deal with the inequality in the division of labor. Strengthening the protection of intellectual property rights, establishing technology transfer and cultivating local industries are all possible measures. Only by achieving a more equal and just international division of labor can globalization play a greater social benefit.