UNCTAD Finds Growth In Global Creative Economy Led By ‘New Breed’ Of Countries

In a new report on the creative economy, the United Nations Conference on Trade and Development (UNCTAD) found that despite a slowdown in global trade since the 2008 financial crisis, the creative economy has remained robust and has exhibited significant growth. Leading this growth is China, with four times the creative goods exports as the United States in 2015.

The UNCTAD report Creative Economy Outlook: Trends in international trade in creative industries 2002-2015 [pdf] was released this week. It is the second UNCTAD report on the creative economy, but the first that also tracks trade in creative services, not just goods, according to an UNCTAD press release.

In addition to identifying trends in the global creative economy, the report also “features the independent profiles of 130 countries, observers, territories and non-state entities that have reported on their trade in creative goods and services.”

“While the financial crisis affected the creation, production and distribution of creative goods,” the report found that, overall, the creative economy’s “trade performance has generally been consistent, with an average growth rate exceeding 7 per cent between 2002 and 2015.”

According to the report, China is leading this growth, with “an annual average growth rate of 14 per cent for creative goods exports during the period 2002-2015.” By 2015, this rate of growth translated into creative goods exports amounting to “four times that of the United States, totaling $168.5 billion.”

Source: UNCTAD Creative Economy Outlook report

In addition to China, the report found that many other developing countries have exhibited significant growth of trade in creative goods during this period, with countries in East Asia and Southeast Asia driving this growth through South-South trade.

Source: UNCTAD Creative Economy Outlook report

The report refers to these developing countries as “the dynamic South,” and states that this “new breed of energetically growing developing countries is taking a more significant place in world trade and investment.”

Trade in creative goods covered by the UNCTAD report fall into the categories of art crafts; audiovisuals; design; digital fabrication; new media; performing arts; and publishing and visual arts.

Trade in creative services covered by the report include, but are not limited to, advertising, market research and public opinion services; architectural, engineering and other technical services; research and development services; personal, cultural and recreational services; and audiovisual and related services.

The report explains that data on creative services “is more complex to process,” in part due to gaps in data from developing countries, which it explains “does not necessarily mean that developing economies do not have thriving creative services markets and imports and exports, but rather that developing economies could improve their reporting on creative services.”

Source: UNCTAD Creative Economy Outlook report

In addition to identifying trends that point to the resilience of the creative economy in recent years, the report is also forward-looking, asserting that “there is significant scope to activate creative economies by leveraging digital disruption and new technologies,” and that this “digital and creative convergence is paving the pathway into the future.”

“Digital disruption looks set to completely reshape trade, and the world as we know it,” the report concludes, noting that it will be “critical that developing countries plan by paying attention to emerging trends and move quickly, and sustainably, to catch the digital headwinds.”

 

Image Credits: UNCTAD