Another way is for firms in rich countries to keep selling the "dirty" products but redesign their production networks.
However, late changes of previously configured products can cause disturbances in global production networks.
Much of the impact is from the transfer of knowledge and of ways of fitting into worldwide production networks, not visible in standard productivity measurements.
Currently, discussions on product designs and the distribution of competencies across production networks are based on transaction costs considerations.
They found evidence of increasing regional production networks and the importance of other regions as suppliers of intermediate products, with special attention on China.
This gives China power in the global production networks.
Pan-Asian production networks of increasing sophistication have superseded it.
Economic links have deepened as companies have set up worldwide production networks.
Japanese-led production networks fostered the industrialisation of East and South-East Asia.
Updating these rules to the realities of 21st century production networks is long overdue.
"Disruption to production networks, especially in automotive and electronics industries, could continue to pose problems," the World Bank said.
