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Causes and effects of FDI by the Norwegian maritime industry

Author

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  • Hans Jarle Kind
  • Siri Pettersen Strandenes

Abstract

This paper analyses foreign direct investments (FDI) in Asia by the Norwegian maritime industry. It focuses on three topics: (1) Why do Norwegian maritime companies invest abroad? (2) What are the effects of maritime foreign direct investments on the Norwegian maritime milieu? (3) What are the effects of these investments on the host country? By analysing specific Norwegian maritime companies, it was found that the FDIs have partly been induced by the instability of the Norwegian policy towards this sector. Several firms also point at the importance of being closer to the Asian market as a significant reason for FDI, and the Norwegian ship equipment industry tends to ‘follow’ the shipping companies abroad. The domestic effects of FDI are uncertain, and are likely to depend on the motivation behind the investments. Finally, using Singapore as an example, it is argued that the host country effects of FDI tend to be positive.

Suggested Citation

  • Hans Jarle Kind & Siri Pettersen Strandenes, 2002. "Causes and effects of FDI by the Norwegian maritime industry," Maritime Policy & Management, Taylor & Francis Journals, vol. 29(3), pages 223-239.
  • Handle: RePEc:taf:marpmg:v:29:y:2002:i:3:p:223-239
    DOI: 10.1080/03088830210132597
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    Cited by:

    1. Jane Jing Xu & Tsz Leung Yip, 2012. "Ship investment at a standstill? An analysis of shipbuilding activities and policies," Applied Economics Letters, Taylor & Francis Journals, vol. 19(3), pages 269-275, February.

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