This results in geographically dispersed trade through global production networks opening the opportunity for low-income countries to use their comparative advantage in labour-intensive value chains to enter these networks at different stages, including final assembly. The volatility of import prices and the increased availability of intermediate inputs may have a direct impact on the relative prices of manufactured goods. Opening up for trade is usually associated with an increase in competition, often resulting in a decrease in the relative prices of manufactured products (Pain et al.,