  Global value chains (GVCs) are formed through value-added trade, and some
regions promote economic integration by concluding regional trade agreements to
promote these chains. However, there is no way to quantitatively assess the
scope and extent of economic integration involving various sectors in multiple
countries. In this study, we used the World Input--Output Database to create a
cross-border sector-wise trade in value-added network (international
value-added network (IVAN)) covering the period of 2000--2014 and evaluated
them using network science methods. By applying Infomap to the IVAN, we
confirmed for the first time the existence of two regional communities: Europe
and the Pacific Rim. Helmholtz--Hodge decomposition was used to decompose the
value flows within the region into potential and circular flows, and the annual
evolution of the potential and circular relationships between countries and
sectors was clarified. The circular flow component of the decomposition was
used to define an economic integration index, and findings confirmed that the
degree of economic integration in Europe declined sharply after the economic
crisis in 2009 to a level lower than that in the Pacific Rim. The European
economic integration index recovered in 2011 but again fell below that of the
Pacific Rim in 2013. Moreover, sectoral analysis showed that the economic
integration index captured the effect of Russian mineral resources, free
movement of labor in Europe, and international division of labor in the Pacific
Rim, especially in GVCs for the manufacture of motor vehicles and high-tech
products.
