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State-led Catching up Strategies and Inherited Conflicts in Developing the ICT Industry: Behind the US-East Asia Semiconductor Disputes

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  • Lutao Ning

Abstract

Moving from labour to some capital and knowledge intensive sectors, East Asian countries have actively pursued strategic industrial policies and successfully promoted targeted sectors. However, their growth in high tech sectors challenged the US leadership and the World Trade Organization (WTO)-supported neo-liberal development “wisdom”. Tensions over trade and technology issues eventually exploded into fierce policy conflicts. This study explores the role of the state in a single information and communication technology (ICT) sector, the semiconductor industry, over the course of its evolution in Japan, Korea, Taiwan and China. It is hoped to tackle the issues surrounding the conflicts between the Western economic orthodoxy and East Asian development policies through explaining the ICT development pathway of these countries. The finding shows that the international frictions in both ICT trade and technology were inevitable and reflect the divergence of development visions held by latecomers and developed countries.

Suggested Citation

  • Lutao Ning, 2008. "State-led Catching up Strategies and Inherited Conflicts in Developing the ICT Industry: Behind the US-East Asia Semiconductor Disputes," Global Economic Review, Taylor & Francis Journals, vol. 37(2), pages 265-292.
    • Handle: RePEc:taf:glecrv:v:37:y:2008:i:2:p:265-292
    DOI: 10.1080/12265080802021243
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    References listed on IDEAS

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    1. Rodrik, Dani, 2004. "Industrial Policy for the Twenty-First Century," CEPR Discussion Papers 4767, C.E.P.R. Discussion Papers.
    2. Douglas A. Irwin, 1996. "Trade Policies and the Semiconductor Industry," NBER Chapters, in: The Political Economy of American Trade Policy, pages 11-72, National Bureau of Economic Research, Inc.
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    4. Heather Smith, 2000. "Industry Policy in Taiwan and Korea in the 1980s," Books, Edward Elgar Publishing, number 1985.
    5. Terutomo Ozawa, 1974. "Japan's Technological Challenge to the West, 1950-1974: Motivation and Accomplishment," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262650673, December.
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    Cited by:

    1. Elitsa R. Banalieva & Ravi Sarathy, 2011. "A Contingency Theory of Internationalization," Management International Review, Springer, vol. 51(5), pages 593-634, October.

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