The clearest example of the global impact of Chinese industrial policy practices? High speed rail. Has it all. Technology transfer for market access. "Buy China" preferences that favor local over foreign firms. Digestion of foreign technology. And now subsidized exports.
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But it doesn't directly involve any US firms (US isn't a HSR technology pioneer) so it doesn't get the coverage it otherwise might in the US. But if you read French, do check out this article (h/t
@IMateosylago)https://www.lejdd.fr/international/asie/le-tgv-chinois-nouvelle-reference-mondiale-3736136 …3 replies 7 retweets 15 likesShow this thread -
China's new trains are "Cent pour cent made in China" The large foreign firms in rail: "Tous ont accepté de transférer leurs technologies et de former des ingénieurs chinois, en échange d'un maigre accès au marché chinois."pic.twitter.com/M42vnLqyud
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Replying to @danwwang @Brad_Setser
Unfortunately, we cannot see the parallel universe where China did not require JVs. Perhaps that universe's cars would be much worse than what China has today. I've read and seen myself that Chinese brand and Chinese made cars like Haval are getting better every day.
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I agree with you. However, if China is going to be a member of the WTO, whether or not it has hurt the automakers with the IP is not the determinant of whether this is a fair policy. Quite simply, giving away your IP should not be the admission fee for China's markets.
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