Table 4.5 reports sector-specific estimates for US imports from China. For each of the
sectors, the trade elasticity estimate based on the value-added data is less than
the alternative estimate that assumes 100 per cent domestic content. The largest
reduction (in percentage terms) is for the electrical and optical equipment sector. The
smallest reduction is for the food products sector. The final column reports the ratio
of the price index effect to the own price effect for the trade elasticity based on the
value-added data. For some of the sectors, there is a large price index effect that
offsets much of the own price effect. This is the case for the textiles, electrical and