IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v81y2023ics0301420723001253.html
   My bibliography  Save this article

Functional industrial policy mechanism under natural resource conflict: A case study on the Chinese new energy vehicle industry

Author

Listed:
  • Wang, Yufei
  • Liao, Zhongju

Abstract

Energy conflict is one of the natural resource conflicts that China is currently facing. In order to alleviate the conflict in non-renewable resources such as oil and natural gas, industrial policy is a widely used means by the government. In the early stage, China's industrial policies were selective industrial policies, which tended to replace market competition with government choice. Based on the case study of China's new energy vehicle industry, the industrial policy has been gradually transformed into functional industrial policies, and the policy objective is to create conditions to improve industrial competitiveness. The design of industrial policy tools is based on the market mechanism, strengthens the construction of infrastructure such as charging piles and hydrogen stations, and supports the R&D of core components of new energy vehicle enterprises. It is suggested that China's new energy vehicle industrial policy should return to the fundamental goal of energy conservation and emission reduction, avoid the government's choice to replace the market mechanism, and build a new industrial policy operation structure with the cooperation of the government, market and third-party professional institutions.

Suggested Citation

  • Wang, Yufei & Liao, Zhongju, 2023. "Functional industrial policy mechanism under natural resource conflict: A case study on the Chinese new energy vehicle industry," Resources Policy, Elsevier, vol. 81(C).
  • Handle: RePEc:eee:jrpoli:v:81:y:2023:i:c:s0301420723001253
    DOI: 10.1016/j.resourpol.2023.103417
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420723001253
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.resourpol.2023.103417?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Macartan Humphreys, 2005. "Natural Resources, Conflict, and Conflict Resolution," Journal of Conflict Resolution, Peace Science Society (International), vol. 49(4), pages 508-537, August.
    2. Philippe Aghion & Jing Cai & Mathias Dewatripont & Luosha Du & Ann Harrison & Patrick Legros, 2022. "Industrial Policy and Competition," World Scientific Book Chapters, in: Globalization, Firms, and Workers, chapter 15, pages 349-380, World Scientific Publishing Co. Pte. Ltd..
    3. Linden, Greg, 2004. "China Standard Time: A Study in Strategic Industrial Policy," Business and Politics, Cambridge University Press, vol. 6(3), pages 1-26, December.
    4. Parvin Sultana & Paul Michael Thompson & Naya Sharma Paudel & Madan Pariyar & Mujibur Rahman, 2019. "Transforming local natural resource conflicts to cooperation in a changing climate: Bangladesh and Nepal lessons," Climate Policy, Taylor & Francis Journals, vol. 19(S1), pages 94-106, July.
    5. Zhang, Sufang & Andrews-Speed, Philip & Zhao, Xiaoli & He, Yongxiu, 2013. "Interactions between renewable energy policy and renewable energy industrial policy: A critical analysis of China's policy approach to renewable energies," Energy Policy, Elsevier, vol. 62(C), pages 342-353.
    6. Di Tommaso, Marco R. & Tassinari, Mattia & Barbieri, Elisa & Marozzi, Marco, 2020. "Selective industrial policy and ‘sustainable’ structural change. Discussing the political economy of sectoral priorities in the US," Structural Change and Economic Dynamics, Elsevier, vol. 54(C), pages 309-323.
    7. Liu, Yingqi & Kokko, Ari, 2013. "Who does what in China’s new energy vehicle industry?," Energy Policy, Elsevier, vol. 57(C), pages 21-29.
    8. Ha‐Joon Chang & Antonio Andreoni, 2020. "Industrial Policy in the 21st Century," Development and Change, International Institute of Social Studies, vol. 51(2), pages 324-351, March.
    9. Hongchen Li & Huijun Qi & Hongjian Cao & Li Yuan, 2022. "Industrial Policy and Technological Innovation of New Energy Vehicle Industry in China," Energies, MDPI, vol. 15(24), pages 1-17, December.
    10. Elisa Barbieri & Marco Rodolfo Di Tommaso & Mattia Tassinari & Marco Marozzi, 2019. "Selective industrial policies in China: investigating the choice of pillar industries," International Journal of Emerging Markets, Emerald Group Publishing Limited, vol. 16(2), pages 264-282, March.
    11. Hotte, Louis, 2001. "Conflicts over property rights and natural-resource exploitation at the frontier," Journal of Development Economics, Elsevier, vol. 66(1), pages 1-21, October.
    12. Justin Conrad & Liana Eustacia Reyes & Megan A. Stewart, 2022. "Revisiting Opportunism in Civil Conflict: Natural Resource Extraction and Health Care Provision," Journal of Conflict Resolution, Peace Science Society (International), vol. 66(1), pages 91-114, January.
    13. Chen, Ling & Naughton, Barry, 2016. "An institutionalized policy-making mechanism: China’s return to techno-industrial policy," Research Policy, Elsevier, vol. 45(10), pages 2138-2152.
    14. Karl Aiginger & Dani Rodrik, 2020. "Rebirth of Industrial Policy and an Agenda for the Twenty-First Century," Journal of Industry, Competition and Trade, Springer, vol. 20(2), pages 189-207, June.
    15. Zallé, Oumarou, 2019. "Natural resources and economic growth in Africa: The role of institutional quality and human capital," Resources Policy, Elsevier, vol. 62(C), pages 616-624.
    16. Robert H. Wade, 2012. "Return of industrial policy?," International Review of Applied Economics, Taylor & Francis Journals, vol. 26(2), pages 223-239, November.
    17. Dong, Feng & Liu, Yajie, 2020. "Policy evolution and effect evaluation of new-energy vehicle industry in China," Resources Policy, Elsevier, vol. 67(C).
    18. Meckling, Jonas & Nahm, Jonas, 2019. "The politics of technology bans: Industrial policy competition and green goals for the auto industry," Energy Policy, Elsevier, vol. 126(C), pages 470-479.
    19. Rissman, Jeffrey & Bataille, Chris & Masanet, Eric & Aden, Nate & Morrow, William R. & Zhou, Nan & Elliott, Neal & Dell, Rebecca & Heeren, Niko & Huckestein, Brigitta & Cresko, Joe & Miller, Sabbie A., 2020. "Technologies and policies to decarbonize global industry: Review and assessment of mitigation drivers through 2070," Applied Energy, Elsevier, vol. 266(C).
    20. Linden Greg, 2004. "China Standard Time: A Study in Strategic Industrial Policy," Business and Politics, De Gruyter, vol. 6(3), pages 1-28, December.
    21. Chang, Ha-Joon, 1993. "The Political Economy of Industrial Policy in Korea," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 17(2), pages 131-157, June.
    22. Liu, Lanjian & Zhang, Tian & Avrin, Anne-Perrine & Wang, Xianwen, 2020. "Is China's industrial policy effective? An empirical study of the new energy vehicles industry," Technology in Society, Elsevier, vol. 63(C).
    23. Westphal, Larry E, 1990. "Industrial Policy in an Export-Propelled Economy: Lessons from South Korea's Experience," Journal of Economic Perspectives, American Economic Association, vol. 4(3), pages 41-59, Summer.
    24. Andreoni, Antonio & Chang, Ha-Joon, 2019. "The political economy of industrial policy: Structural interdependencies, policy alignment and conflict management," Structural Change and Economic Dynamics, Elsevier, vol. 48(C), pages 136-150.
    25. Ken Warwick & Alistair Nolan, 2014. "Evaluation of Industrial Policy: Methodological Issues and Policy Lessons," OECD Science, Technology and Industry Policy Papers 16, OECD Publishing.
    26. Chang, Ha-Joon & Park, Hong-Jae & Yoo, Chul Gyue, 1998. "Interpreting the Korean Crisis: Financial Liberalisation, Industrial Policy and Corporate Governance," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 22(6), pages 735-746, November.
    27. Colin O'Reilly & Ryan H. Murphy, 2017. "Do Institutions Mitigate The Risk Of Natural Resource Conflicts?," Contemporary Economic Policy, Western Economic Association International, vol. 35(3), pages 532-541, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wu, Anbing & Chen, Junying & Zhang, Yanyan, 2023. "Natural resources and energy resources prices an answer to energy insecurity? The role of mineral, forest, coal resources and financial development," Resources Policy, Elsevier, vol. 87(PA).
    2. Feng, Jianghong & Ning, Yu & Wang, Zhaohua & Li, Guo & Xiu Xu, Su, 2024. "ChatGPT-enabled two-stage auctions for electric vehicle battery recycling," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 183(C).
    3. Zhongzheng, Wang, 2023. "Extreme risk transmission mechanism between oil, green bonds and new energy vehicles," Innovation and Green Development, Elsevier, vol. 2(3).
    4. Xin Ma & Hong Jiang & Lijuan Tong & Jingyi Zhang & Mengyuan Dong, 2023. "Sustainability of the New Energy Automobile Industry: Examining the Relationship among Government Subsidies, R&D Intensity, and Innovation Performance," Sustainability, MDPI, vol. 15(20), pages 1-16, October.
    5. Ruoxi Pan & Yiping Liang & Yifei Li & Kai Zhou & Jiarui Miao, 2023. "Environmental and Health Benefits of Promoting New Energy Vehicles: A Case Study Based on Chongqing City," Sustainability, MDPI, vol. 15(12), pages 1-16, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Di Tommaso, Marco R. & Prodi, Elena & Pollio, Chiara & Barbieri, Elisa, 2023. "Conceptualizing and measuring “industry resilience”: Composite indicators for postshock industrial policy decision-making," Socio-Economic Planning Sciences, Elsevier, vol. 85(C).
    2. Hafele, Jakob & Le Lannou, Laure-Alizée & Rochowicz, Nils & Kuhls, Sonia & Gräbner-Radkowitsch, Claudius, 2023. "Securing future-fit jobs in the green transformation: A policy framework for industrial policy," ZOE Discussion Papers 10, ZOE. institute for future-fit economies, Bonn.
    3. Bessonova, Evguenia, 2023. "Firms’ efficiency, exits and government procurement contracts," European Journal of Political Economy, Elsevier, vol. 76(C).
    4. Ioanna Kastelli & Lukasz Mamica & Keun Lee, 2023. "New perspectives and issues in industrial policy for sustainable development: from developmental and entrepreneurial to environmental state," Review of Evolutionary Political Economy, Springer, vol. 4(1), pages 1-25, April.
    5. Gregory Trencher & Achmed Edianto, 2021. "Drivers and Barriers to the Adoption of Fuel Cell Passenger Vehicles and Buses in Germany," Energies, MDPI, vol. 14(4), pages 1-26, February.
    6. Jiang, Zhangsheng & Xu, Chenghao, 2023. "Policy incentives, government subsidies, and technological innovation in new energy vehicle enterprises: Evidence from China," Energy Policy, Elsevier, vol. 177(C).
    7. Samuel Klebaner & Anaïs Voy-Gillis, 2023. "The political economy of French industrial policymaking," Review of Evolutionary Political Economy, Springer, vol. 4(1), pages 49-74, April.
    8. Zhu, Zhaohui & Tan, Yafei, 2022. "Can green industrial policy promote green innovation in heavily polluting enterprises? Evidence from China," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 59-75.
    9. Shen, Wei & Ayele, Seife & Worako, Tadesse Kuma, 2023. "The political economy of green industrial policy in Africa: Unpacking the coordination challenges in Ethiopia," Energy Policy, Elsevier, vol. 179(C).
    10. Ferrannini, Andrea & Barbieri, Elisa & Biggeri, Mario & Di Tommaso, Marco R., 2021. "Industrial policy for sustainable human development in the post-Covid19 era," World Development, Elsevier, vol. 137(C).
    11. Neilson, Jeffrey & Dwiartama, Angga & Fold, Niels & Permadi, Dikdik, 2020. "Resource-based industrial policy in an era of global production networks: Strategic coupling in the Indonesian cocoa sector," World Development, Elsevier, vol. 135(C).
    12. Diogo Ferraz & Fernanda P. S. Falguera & Enzo B. Mariano & Dominik Hartmann, 2021. "Linking Economic Complexity, Diversification, and Industrial Policy with Sustainable Development: A Structured Literature Review," Sustainability, MDPI, vol. 13(3), pages 1-29, January.
    13. Ha-Joon Chang & Antonio Andreoni, 2021. "Bringing Production Back into Development: An introduction," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 33(2), pages 165-178, April.
    14. Caravella, Serenella & Crespi, Francesco & Cucignatto, Giacomo & Guarascio, Dario, 2023. "Technological Sovereignty and Strategic Dependencies: The case of the Photovoltaic Supply Chain," GLO Discussion Paper Series 1330, Global Labor Organization (GLO).
    15. Nomaler, Önder & Spinola, Danilo & Verspagen, Bart, 2021. "Demand-led industrialisation policy in a dual-sector small balance of payments constrained economy," MERIT Working Papers 2021-038, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    16. van der Ploeg, Frederick & Rohner, Dominic, 2012. "War and natural resource exploitation," European Economic Review, Elsevier, vol. 56(8), pages 1714-1729.
    17. Tianbiao Zhu, 2006. "Rethinking Import-substituting Industrialization: Development Strategies and Institutions in Taiwan and China," WIDER Working Paper Series RP2006-76, World Institute for Development Economic Research (UNU-WIDER).
    18. Clara Turner & Marco R Di Tommaso & Chiara Pollio & Karen Chapple, 2020. "Who will win the electric vehicle race? The role of place-based assets and policy," Local Economy, London South Bank University, vol. 35(4), pages 337-362, June.
    19. Gergely Buda & Judit Ricz, 2023. "Industrial symbiosis and industrial policy for sustainable development in Uganda," Review of Evolutionary Political Economy, Springer, vol. 4(1), pages 165-189, April.
    20. Cagé, Julia & Rouzet, Dorothée, 2015. "Improving “national brands”: Reputation for quality and export promotion strategies," Journal of International Economics, Elsevier, vol. 95(2), pages 274-290.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:81:y:2023:i:c:s0301420723001253. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.